Minimum Wage Has Caused The Greatest Concern - 1287 Words

Rent, groceries, health care, clothes, and transportation are just a few of the many things that all people need in order to make a decent living. In this twenty-first century world all of these things cost various amounts of money depending on what that individual is able to afford. Since the start of the Industrial Revolution, people were divided by a thin line that separated the wealthy from the poor, a line that still exists today. It is said that money makes the world go ‘round yet so many people have plenty of it while others find it hard to come by. Throughout history government has tried to put a limit on a wage that they believe would best provide an individual with the bare necessities of life, unfortunately, with the modernizing†¦show more content†¦This wage was only twenty-five cents which was implemented to give all workers of that time fair working standards. Since then the national amount of minimum wage has increased, the latest increase being from $5. 15 to the current $7.25 back in the summer of 2009. These changes in wages were made to adjust wages according to the amount of inflation issues of that particular time. When there is inflation prices of goods increase while wages stay the same, therefore, making it harder for a person living on minimum wage to afford the minor goods they need to survive. However, the primary reason for minimum wage is that since it serves as a wage floor there is leeway to create more economic growth and reduce the poverty level here in the United States. Now after raising the minimum wage to $7.25 six years ago, there has been a great deal of inflation between then and now that has pushed the issue of raising it once again. This particular issue has led to a serious debate that has divided economists into a 50/50 on going disagreement. Since there are already so many problems with the current minimum wage and even more problems that can occur if it was to be increased economist have taken many dif ferent aspects into consideration. About half of the economist studying this issue believe that while increasing the minimum wage can be beneficial, the current $7.25 minimum wage should not be increased due to the reasons

Miranda vs Arizona - 1115 Words

Miranda v Arizona Westwood College Miranda v. Arizona Every time someone is arrested the police officer reads them their right, which was not always the case. They read as followed you have the right to remain silent anything you say can and will be used against you in the court of law. You have the right to an attorney, if you cant afford one, one will be provided to you. But why do the officers have to remind the people of their rights, because of the Miranda v. Arizona case. Before the Miranda v. Arizona case people were not reminded or even aware that they had such rights. In the 1963 Ernesto Miranda was arrested for kidnap and rape. He was accused of kidnapping†¦show more content†¦Due process means that Miranda did not have to go into the interrogation alone and that he should have had an attorney with him. The amendments were put into the constitution so that the government would not have too much power over the people and by the officers not respecting that they were being unconstitutional. Although a fter the case went through the Supreme Court and Mirandas conviction was overturned Arizona retried him, this time without his confession used against him, he was found guilty and was sentenced to 20-30 years. Miranda not serving time for his crime was what worried a lot of people because that would of meant he would be free to kidnap and rape more women, so by him still being found guilty made people feel a bit more comfortable with the whole situation. Because of the Miranda v Arizona case every officer before starting an interrogation has to repeat the person’s rights and wait until they receive either a verbal or written confirmation from the defendant saying they understand that they have the right to remain silent. Even if the officers tell the defendant their rights they have to be done properly or else whatever evidence they get from their interrogation cannot be used in court. Ernesto Miranda did commit the crime, by the officers not reading him his rights he took hi s case to the Supreme Court and his convictionShow MoreRelatedMiranda Vs. Arizona Case980 Words   |  4 Pagescase, Miranda vs. Arizona took place (Worrall, 2015). In this case, a man named Ernesto Miranda was arrested in Arizona because he was accused of raping a woman. Miranda was interrogated by officers for two hours before confessing both written and orally. He was charged with kidnapping and rape and sentenced to 20-30 years in prison. While this case is the main thing upholding the Supreme Court’s ruling, there were three other cases backing their decision – Vignera vs. New York, Westover vs. UnitedRead More Miranda vs. Arizona Essay608 Words   |  3 Pages Miranda vs. Arizona: nbsp;nbsp;nbsp;nbsp;nbsp;This case had to do with an Ernest Miranda who raped a Patty McGee*. After extracting a written confession from the rapist about the situation, Miranda’s lawyer argued that it was not valid since the Phoenix Police Department failed to read Miranda his rights, also in violation of the Sixth Amendment which is the right to counsel. Some factors that helped support Miranda’s arguments were that the suspect had requested and been denied an opportunityRead MoreMiranda Vs. Arizona Law2149 Words   |  9 Pagesare called Miranda warnings or the â€Å"Miranda Rights.† The familiar phrases that have become well known by many citizens, regardless if one has been taken into custody or not are taken from a ruling in a landmark case, Miranda v. Arizona. According to Scribd website online, some of the contents contained within the Miranda warnings are, â€Å".†¦Ã¢â‚¬Ëœyou have the right to remain silent, anything you say can be used against you in the court of law†¦.† (Amor Claveria, 2016). Also included in the Miranda rights,Read MoreMiranda Vs. Arizona Law1210 Words   |  5 PagesMiranda rights are a set of warning imposed by the courts after the Miranda v. Arizona, 384 U.S. 436 decision that occurred June 13, 1966. As stated by Cassell the rights are: You have the right to remain silent. Anything you say can be used against you in a court of law. You have the right to talk to a lawyer and have him present with you while you are being questioned. If you cannot afford to hire a lawyer, one will be appointed to represent you before you answer any questions.Read MoreMiranda Vs. Arizona Is An Important Case That Happened887 Words   |  4 PagesMiranda versus Arizona is an important case that happened in the United States of America that has changed policing to what it is today. First, I will talk about the events leading to the arrest of a man named Ernesto Miranda. Then, I will talk about his trial, and next, on how this case has changed policing for the better. Lastly, I will talk about my point on this case and how I think it has affected the United States with policing. First, Miranda v. Arizona all started on March 2, 1963, when anRead MoreMiranda Vs. Nevada And Mapp V. Arizona2344 Words   |  10 Pagescases of Miranda V. Arizona and Mapp V. Ohio. Both these cases play a significant role in Due Process rights today. One of the most well-known cases in the United States is Miranda V. Arizona. This case deals with the legal provision of self-incrimination. It shows that some people today aren’t aware of the rights afforded to them under the constitution. In this case, Ernesto Miranda was put in a lineup and identified by a woman as the man that kidnapped and raped her. Ernesto Miranda was thenRead MoreThe Law Enforcement Interrogation Procedures1655 Words   |  7 PagesIn 1966, a milestone in Law Enforcement interrogation procedures was established through the case of Miranda vs Arizona. In the case of Orozco vs Texas, just a couple years later in 1969, the guidelines established by Miranda vs Arizona changed the ruling of Reyes Arias Orozco who self-incriminated himself without being read his Fifth Amendment rights while being interrogated in his home. Orozco vs Texas effected interrogation procedures due to Orozco being interrogated inappropriately in his ownRead MoreMiranda Warnin gs And The Miranda Warning976 Words   |  4 PagesThe Miranda Warning â€Å"Movie and TV shows often depict crime with a police officer handcuffing a suspect and warning him that he has the right to remain silent. While those warnings may appear clear-cut, almost 1 million criminal cases may be compromised each year in the United States at the 119th Annual Convention of the American Psychological Association.†(Rogers, 2011) The Miranda warning, also known as the Miranda rights, is important and in place to inform people of their rights upon arrest. EveryoneRead MoreCourt Case : Miranda V. Arizona941 Words   |  4 PagesCourt Case: Miranda v. Arizona ---------------------------------------------------------------------------------------------------------------------------- Introduction: In the case Miranda vs. Arizona. This case goes against the 5th and 6th amendments. Miranda says that the police had violated his 5th Amendment right to remain silent and his 6th Amendment right to legal counsel. Miranda addressed the Escobedo rule which states evidence obtained from an illegally obtained confession is inadmissibleRead MoreThe Miranda Rights Essay1706 Words   |  7 Pageshandicap young woman and a kidnap. After two hours of interrogating the suspect, Ernesto Miranda, confessed to the crime just after the detectives told him the victim had identified him in a lineup. Ernesto Miranda was found guilty of both crimes and was sentenced to twenty to thirty years in prison. In 1966, three years later, Miranda’s sentence was overturned by the Supreme Court due to the fact that Miranda was not notified about his fifth or sixth amendment. His fifth amendment gave him the

Essay on An Inside Look at the Diwali Festival Example For Students

Essay on An Inside Look at the Diwali Festival Diwali is one of the largest festivals found within Hindu tradition. Jains, Sikhs, and Buddhists also celebrate this festival (Dilwali). It is a festival of happiness celebrated by Hindus all around the world. It is five continuous days, each day having an ideal or thought and being based on a legend. The legends differ based on what part of the world Diwali is being celebrated in (Festival). It is the harmony between these five ideas that makes Diwali such a special festival for Hindus (Diwali: Festival). New clothes are worn, gifts are exchanged, and sweets are baked (Festival). Diwali translates into â€Å"row of lamps† and involves the lighting of small oil lamps, which signifies the victory of good over evil. Diwali is the Festival of Lights. It is known as the Festival of Lights because of the many lamps that are lit throughout its entirety (Festival). Diwali is usually celebrated in October or November. It began as a harvest festival, thanking God for the crops they were given, and marking the last harvest before winter. In India, the blessing of Lakshmi, the goddess of wealth, is sought for agriculture. Hindus would pray for the success at the beginning of a new fiscal year. The day after the ending of Diwali marks the beginning of the new fiscal year. Today, this is performed by Hindus and the residents on India (Diwali—National). The first day is Dhanteras and marks the beginning of Diwali. The root word, ‘Dhan,’ means wealth. Hindus worship the goddess Lakshmi this day for prosperity. Because of this, this day has become very significant for Hindu businesses. Houses and business are decorated to welcome Lakshmi. Using rice flour, small foot prints are drawn around the homes to exemplify her long anticipated arrival (Diwali). Windows are left open to welcome Lakshmi in the home (Festival). Diyas are offered up to Lakshmi to drive away evil spirits and prayerful songs are sung to praise Lakshmi. The lighting of the diyas is said to bring good luck and is a symbol of personal illumination (Diwali). The legend behind Dhanteras is about the sixteen year of son of King Hima who was meant to die. He was to be bitten by a snake four days after he was married and on that night, his wife did not let him sleep. Rather, she lit lamps, told stories, sang songs, and blocked the door with bags of gold and silv er and ornaments. Yama Raj, the god of death, arrived disguised as a serpent and was blinded by the lights. He was unable to enter the room so he sat on the pile of ornaments and listened to the beautiful songs the wife was singing. Yama Raj left in the morning and the wife saved her husband from death. At sunset, Hindus bathe and offer up a diyas, or lamps, and sweets to Yama Raj (Diwali). The diyas lit for Yama Raj are supposed to burn into the night in reverence and adoration of Yama. Hindus pray to him for protection from death. (Diwali: Festival). The second day is Choti Diwali. Many of the activities performed throughout the first day, such as decorating the home and worshiping Lakshmi and Rama, are also performed on the second day (Diwali). This day honors the destruction of the demon Narakasur by Lord Krishna, which removed fear from the world (Diwali: Festival). Narakasur had stolen earrings from Lord Krishna’s wife and captured many daughters of the gods and saints. Lord Krishna’s wife was infuriated because of this and asked her husband to allow her to destroy Narakasur, which he permitted. Narakasur was beheaded and the daughters were released and married to Krishna. Lord Krishna spread the blood of the demon on his forehead and went home where women massaged his body with oils and bathed him (Diwali). To commemorate this, Hindus are supposed to massage their bodies with oil to rid it of tiredness, bathe, and rest, allowing them to celebrate the rest of Diwali with devotion (Diwali: Festival). .ufda00fd48cab72016fbb7eed4a2c532c , .ufda00fd48cab72016fbb7eed4a2c532c .postImageUrl , .ufda00fd48cab72016fbb7eed4a2c532c .centered-text-area { min-height: 80px; position: relative; } .ufda00fd48cab72016fbb7eed4a2c532c , .ufda00fd48cab72016fbb7eed4a2c532c:hover , .ufda00fd48cab72016fbb7eed4a2c532c:visited , .ufda00fd48cab72016fbb7eed4a2c532c:active { border:0!important; } .ufda00fd48cab72016fbb7eed4a2c532c .clearfix:after { content: ""; display: table; clear: both; } .ufda00fd48cab72016fbb7eed4a2c532c { display: block; transition: background-color 250ms; webkit-transition: background-color 250ms; width: 100%; opacity: 1; transition: opacity 250ms; webkit-transition: opacity 250ms; background-color: #95A5A6; } .ufda00fd48cab72016fbb7eed4a2c532c:active , .ufda00fd48cab72016fbb7eed4a2c532c:hover { opacity: 1; transition: opacity 250ms; webkit-transition: opacity 250ms; background-color: #2C3E50; } .ufda00fd48cab72016fbb7eed4a2c532c .centered-text-area { width: 100%; position: relative ; } .ufda00fd48cab72016fbb7eed4a2c532c .ctaText { border-bottom: 0 solid #fff; color: #2980B9; font-size: 16px; font-weight: bold; margin: 0; padding: 0; text-decoration: underline; } .ufda00fd48cab72016fbb7eed4a2c532c .postTitle { color: #FFFFFF; font-size: 16px; font-weight: 600; margin: 0; padding: 0; width: 100%; } .ufda00fd48cab72016fbb7eed4a2c532c .ctaButton { background-color: #7F8C8D!important; color: #2980B9; border: none; border-radius: 3px; box-shadow: none; font-size: 14px; font-weight: bold; line-height: 26px; moz-border-radius: 3px; text-align: center; text-decoration: none; text-shadow: none; width: 80px; min-height: 80px; background: url(https://artscolumbia.org/wp-content/plugins/intelly-related-posts/assets/images/simple-arrow.png)no-repeat; position: absolute; right: 0; top: 0; } .ufda00fd48cab72016fbb7eed4a2c532c:hover .ctaButton { background-color: #34495E!important; } .ufda00fd48cab72016fbb7eed4a2c532c .centered-text { display: table; height: 80px; padding-left : 18px; top: 0; } .ufda00fd48cab72016fbb7eed4a2c532c .ufda00fd48cab72016fbb7eed4a2c532c-content { display: table-cell; margin: 0; padding: 0; padding-right: 108px; position: relative; vertical-align: middle; width: 100%; } .ufda00fd48cab72016fbb7eed4a2c532c:after { content: ""; display: block; clear: both; } READ: Judaism And Hinduism : Religions That Have Impacted Their Followers EssayThe third day is Lakshmi Puja and is the main day of celebration. On the third day, Hindus light candles and diyas and place them around their homes and fireworks are set off (Dilwali: Festival). Lighting these diyas shows the people’s honor and praise to God for the harvest and all that he has given them. In some villages, those celebrating this religion decorate and worship their cows because cows are seen as the incarnation of the goddess Lakshmi, the goddess of wealth and prosperity (Diwali). Lakshmi Puja is a Hindu prayer sung in the evening to the Goddess Lakshmi for wealth and prosperity throughout one’s lifetime. It contains of the worship of five gods: Ganesha, Lakshmi in her three forms, and Kuber (Diwali). Family and friends present gifts to each other on this night. The day of the festival is determined by the position of the moon. â€Å"No moon day† or Amavasya is considered the best day for the festival to be held on, usually in November of December. The candles are lit to drive away the darkness of Amavasya. The lighting of candles on the third day holds a special importance with Hindus. To Hindus, darkness represents ignorance and the light represents knowledge. By lighting the candles, the ignorance and darkness is dispelled and destroyed. Through knowledge and light, violence, anger, injustice, suffering, and much more is scattered. Light also represents the beauty of the world and is seen as a gift from God. For this reason, Hindus view light as a symbol for what is good and positive in the world (Diwali: Festival). Homes are meant to be k ept clean and pure because Lakshmi is said to prefer cleanliness and visits the cleanest first. The lamps lit during the evening are meant to light Lakshmi’s path to the homes (Diwali). The fourth day is Padwa and Govardhan Puja. On this day, many families buy new clothing and visit family, presenting them with gifts and food. This day is symbolic of the love between husband and wife and newly married couples are given presents and invited for a special meal. The fourth day is meant to commemorate Krishna lifting Mount Govardhan. The legend says that as the people celebrated a festival to honor Lord Indra, Lord Krishna stopped them. Angry, Lord Indra sent heavy rainfall and the people became afraid, ignoring Indra. Lord Krishna then lifted the mountain top to shelter the people and ensure their safety. Annakoot, or mountain of food, is also performed to commemorate this. Many Hindus remain bake through the night to make a food offering for Krishna. While in the temples, the gods are given milk baths, dressed in bejeweled robes, and adorned with gems. Prayers are recited and the baked goods are made into the shape of a mountain to offer the food to Krishna. Hindus th en come to the mountain and accept a blessing from the gods (Diwali). The fifth and final day is Bhai Duj and marks the last day of Diwali. It is dedicated to sisters. Yama Raj, the Lord of Death, visited his sister on this day. She placed a lucky mark on his head and they had a meal together. Yama Raj proclaimed that whoever receives a mark from his sister on his head, no harm can come onto the brother. Brothers then give their sister’s gifts to show their love and appreciation for them. This tradition is still followed today (Diwali). He also declared that whoever visited her on this day their sins would be reconciled and will be able to achieve Moksha. From that day on, Hindu men have visited their sisters (Diwali: Festival). Diwali is incomplete without the last day because the fifth day is a celebration of the relationship of a brother and sister. The day consists of sharing food, giving gifts, and showing love from the deepest parts on one’s heart (Diwali). .u452bd04ade42446ab9247d16652a8daa , .u452bd04ade42446ab9247d16652a8daa .postImageUrl , .u452bd04ade42446ab9247d16652a8daa .centered-text-area { min-height: 80px; position: relative; } .u452bd04ade42446ab9247d16652a8daa , .u452bd04ade42446ab9247d16652a8daa:hover , .u452bd04ade42446ab9247d16652a8daa:visited , .u452bd04ade42446ab9247d16652a8daa:active { border:0!important; } .u452bd04ade42446ab9247d16652a8daa .clearfix:after { content: ""; display: table; clear: both; } .u452bd04ade42446ab9247d16652a8daa { display: block; transition: background-color 250ms; webkit-transition: background-color 250ms; width: 100%; opacity: 1; transition: opacity 250ms; webkit-transition: opacity 250ms; background-color: #95A5A6; } .u452bd04ade42446ab9247d16652a8daa:active , .u452bd04ade42446ab9247d16652a8daa:hover { opacity: 1; transition: opacity 250ms; webkit-transition: opacity 250ms; background-color: #2C3E50; } .u452bd04ade42446ab9247d16652a8daa .centered-text-area { width: 100%; position: relative ; } .u452bd04ade42446ab9247d16652a8daa .ctaText { border-bottom: 0 solid #fff; color: #2980B9; font-size: 16px; font-weight: bold; margin: 0; padding: 0; text-decoration: underline; } .u452bd04ade42446ab9247d16652a8daa .postTitle { color: #FFFFFF; font-size: 16px; font-weight: 600; margin: 0; padding: 0; width: 100%; } .u452bd04ade42446ab9247d16652a8daa .ctaButton { background-color: #7F8C8D!important; color: #2980B9; border: none; border-radius: 3px; box-shadow: none; font-size: 14px; font-weight: bold; line-height: 26px; moz-border-radius: 3px; text-align: center; text-decoration: none; text-shadow: none; width: 80px; min-height: 80px; background: url(https://artscolumbia.org/wp-content/plugins/intelly-related-posts/assets/images/simple-arrow.png)no-repeat; position: absolute; right: 0; top: 0; } .u452bd04ade42446ab9247d16652a8daa:hover .ctaButton { background-color: #34495E!important; } .u452bd04ade42446ab9247d16652a8daa .centered-text { display: table; height: 80px; padding-left : 18px; top: 0; } .u452bd04ade42446ab9247d16652a8daa .u452bd04ade42446ab9247d16652a8daa-content { display: table-cell; margin: 0; padding: 0; padding-right: 108px; position: relative; vertical-align: middle; width: 100%; } .u452bd04ade42446ab9247d16652a8daa:after { content: ""; display: block; clear: both; } READ: Henn An Ancient Art That Comes From The Middle East EssaySikhs and Jains also celebrate Diwali. For the Sikhs, Diwali is celebrated as the return of the sixth guru from captivity. To celebrate this, they light the path towards the Golden Temple in his honor. Diwali is one of the most important festivals for the Jains, commemorating the nirvana of Lord Mahavira (Diwali: Festival). In Christianity, Diwali can be compared to Christmas. Light is a very important aspect within Christmas. From the star that guided the shepherds to the manger to the lights hung on homes throughout the season, light is everywhere. Being in darkness has been associated with ignorance and fear, whil e being full of lights has been associated with understanding the true meaning of life. At this time, Christians are called to live in God’s light and spread his light and message to others (Festivals). Works Cited Diwali Festival. Diwali Festival. Souledout, 2014. Web. 30 Apr. 2014. Diwali: Festival of Lights. Diwali Festival. Society for the Conference of Festivals in India, 2014. Web. 16 Apr. 2014. Diwali National Geographic Kids. National Geographic. National Geographic, 2014. Web. 01 May 2014. Festival of Lights. BBC News. BBC, 2014. Web. 01 May 2014. Festivals Of Light. Festivals of Lights. SouledOut, 1 Jan. 2014. Web. 1 May 2014.

Supervalu Company Analysis free essay sample

One company that may provide investors such an opportunity is Supervalu, Inc. Supervalu is an Eden Prairie, Minnesota based retail supermarket chain that has experienced sharp drop in the value of their share over the past several years. The company has committed itself to a turn-around by replacing Wayne Sales with Sam Duncan as CEO. Duncan followed his appointment as CEO by shuffling the top management deck and bringing in a new president in charge of Save-A-Lot, the companies most important subsidiary. All this was done with the ultimate aim of speeding up the turnaround. The company is also trimming down with layoffs and selling some of its well known brand to investment group Cerberus Capital (Anderson, 2013). 2. Overview of Supervalu Supervalu is an American retail giant. It has been in business for more than a century. With over 130,000 employees, it is the third largest food retail company in the United States (after Kroger and Safeway), and ranks number seventy five on the 2012 Fortune 500 list of America’s largest companies (Forbes, 2012). We will write a custom essay sample on Supervalu Company Analysis or any similar topic specifically for you Do Not WasteYour Time HIRE WRITER Only 13.90 / page On June 2nd 2006, the company announced the purchase of Boise, Idaho based Albertsons, Inc and all of its 1,124 stores. The Supermarket News magazine’s ranking of â€Å"Top Wholesalers for 2008† put Supervalu at the very top of the list (Supermarket News, 2008). The company has been listed on the New York Stock Exchange since 1967. The company’s mission is served by operations consisting principally of grocery and pharmacy operations with a total of 2,432 stores with the firm also offering supply chain services for smaller retailers, serving over 4,300 retailers (Supervalu, 2012). The retail operations are supported by 22 distribution centers, and the wholesale distribution is supported by nine distribution centers, the latter of which also supply company owned stores. The company benefits from a solid level of diversification with a number of different brands targeting different markets, including Acme, Albertsons and Shop ‘n Save brands. The company owns 1,102 traditional food retail stores, as well as 397 hard discount stores trading under the Save-A-Lot brand name (Supervalu, 2012). In addition the company also licenses the Save-A-Lot brand to 935 independent operators. With what seems to be a successful operation, the company however still faces a number of uphill battles with the last three years reporting significant losses and extreme pressure from competitors. In 2012 CEO Craig Hackert in charge since 2009 was replaced by company chairman Wayne Sales. A move that saw a sharp drop in share prices was met eight months later with Sales’ own firing and replacement with newcomer Sam Duncan in January of this year with the aim of accelerating the company’s turnaround. There have been significant problems including massive losses and decline in revenue production. Measures are now being taken to limit losses, slash cost and regain sales, including the sale of non-profitable brands as well as a shakeup in top management as discussed earlier. However, issues such as high levels of debt, a low level of equity and difficult trading conditions may persist for some time. In order to assess the organization as a potential investment, it is necessary to look at the financial analysis. 3. Financial Analysis Companies produce annual reports designed with the shareholder as the primary audience. The annual reports which are published using the standard format present the performance of the organization in the preceding 12 month period. The annual reports the 10-K in the United States – are overseen by an auditor to ensure that they reflect a true and honest picture of the company and are compiled in line with the required account standards. It should however be noted that financial reports may sometimes be rife with misleading information as was the case in recent years with Enron and WorldCom. However, for the purpose of this project, it is assumed that there are no potential misstatements. 4. 1 Summary of Statements All figures presented will be in millions of US dollars when examining the different financial statements – unless otherwise specified with the exception of per-share numbers. All figures for Supervalu, Inc. , have been extracted from the 10-k for the financial year ending February 2011 and 2012. Where industry comparisons are made, these have been taken from relevant ratio pages on MSN Money. 4. 2. 1 Income Statement The income statement, which can be found in appendix 1 is also called the Consolidated Statement of Earnings and shows that the financial year which ended on February 25th 2012 (a 52-week year) saw net sales of $36,100. This represented a deep in revenues on the previous two years as the 2011 net sales was $37,534 and the 2010 net sales was $40,597. Since 2010 the company has seen an 11. 0 percentage point decline in revenues. Some downward movement in revenue was however expected as a result of the divestments that occurred in mid to late 2011. The gross profit for the year 2012 was $8,019 which is a gross profit margin of 22. 1%. However the company saw a loss in operating profit of $519, primarily the result of high cost on intangible assets. 2012’s operating profit was still a lower loss in operating profit compared to 2011 when it was $976 and a gain of $1,201 in 2010. Net earnings are shown on the income statement. For the sake of accounting, net earnings may be presente d before or after taxes. Since Supervalu is experiencing an adverse financial climate and took advantage of a negative tax payment in 2010 and 2011, this paper will utilize the definition of net earnings as being earnings after tax. After provisions for income taxes were factored in, the company showed a loss of $1,040 or -2. 88% in net earnings in 2012. It must however be noted that this number represents an improvement on the previous year when net earnings registered a -4. 02% loss at $1,510. In 2012 there was a loss of $43. 91 per share in net earnings. This number is however an improvement from 2011 when the net loss per share was $7. 13 . It should be noted that these changes are not influences by the weighted average of outstanding share which stood at 212 million (Supervalu, 2012). The income statement highlights a company in some serious difficulties; however the numbers show encouraging signs of a rebound to better times in 2010. 3. 1. 2Balance Sheet The balance sheet referenced in Appendix 2 defines the company’s position in terms of assets and liabilities. The company experienced a drop in the value of its assets in 2012, however there was also a decrease in total liabilities overall. Current assets generally calculated as having an economic shelf life of 12 months or less fell steadily from 2010 ($3,711) to 2011 ($3,420) and 2012 ($3,225). This decline can be seen across all asset categories. Long-term assets also declined to $12,053 representing a 12. 39% drop in value. Measures to cut cost and control debt are starting to take hold as the level of current liabilities has declined year to year since 2010. The long term liabilities of the companies on the other hand have seen an upward tick with total liabilities rising from $11,524 in 2011 to $12,032 in 2012. Important to investors is the decline in the level of equity within the organization. This has gone down from $2,887 in 2010 to $1,340 in 2011 and just $21 in 2012. The balance sheet continues to paint a picture of current gloom face the organization in the near term. 3. 1. 3 Cash Flow Statement The cash flow statement in Appendix 3 shows $157 in cash and cash equivalents in hand at the end of 2012. This represented a decline in the previous two years of $211 in 2010 and $172 in 2011. This represents a gradual but consistent drop in cash and cash equivalents of the company. Significant impacts are the losses carried over into cash flow which amounted to $1,040 for 2012 and $1,510 for 2011. The net effect is a reduction in the amount of cash provided for operating activities. It is important to make note of the fact that while the company has engaged in disposing of some assets, there have also been new investment resulting in overall net investing of $484 in 2012 and $227 in 2011. Cash flow from financing activities was also negative with $291 raised from the issuance of long-term debt, but this is counteracted with $798 payment of long-term debt and capital lease obligations. This results in net cash outflow from financing activities of $587. However, this is a decline on the previous year of $975. 3. 1. 4Statement of Owners Equity The consolidated statement of stockholders equity found in Appendix 4shows the balance of equity over a period of four years, 2009-2012. The statement shows that the position of common stock has not changed, with a total of $230. The capital in excess of par has only change very slightly from $2,853 in 2009 to $2,855 in 2012. The major factor of the equity level is a deficit which resulted in a negative balance of -$1,892 at the end of 2012. When added with other accumulated losses results in a total shareholder equity in the firm of $21. This is a notable change compared to 2009 when the total balance of equity was $2,581. . 1 Ratio Analysis Ratio analysis can be used here to explore the financial position of the firm and the way in which it is performing by analyzing internal performance as well as providing a benchmark for comparison with the industry. This section puts forward some ratio analysis calculations and makes comparisons with industry averages where available. 3. 2. 1 L iquidity Liquidity is an important measure companies facing hard times. It measures the firm’s ability to survive in the short term and meet its current financial obligations (Libby et al, 2010). The current ratio and the quick ratio are the two main measure of liquidity also known as the acid test. The current ratio measures the firm’s ability to use current assets to settle current liabilities. In the case of Supervalu, there are insufficient assets available to pay current liabilities. This is however not unusual as like in many industries with rapid cash flow, a relatively low current ratio may be acceptable based on expected cash flow. Supervalu is therefore not necessarily showing any signs of mounting distress with the current ratio at 0. 0 as shown in table 1. The industry average is slightly higher, however this difference may be indicative of better use of capital – although it could also indicate cash flow issues. Table [ 1 ]: Current ratio Current ratio| 2010| 2011| 2012| Industry Avg. | Current assets| 3,711| 3,420| 3,225|   | Current liabilities| 4,167| 3,786| 3,590|   | Current ratio| 0. 89| 0. 90| 0. 90| 1. 1| (Supervalu figures are extracted from Supervalu Inc. 10-K. Industry comparison figure from Microsoft Money, 2012). The quick ratio is another way to evaluate liquidity within a company. The idea behind this is that an organization may not be able to realize the full value of its inventory if they are required to liquidate inventory in order to pay current liabilities. Calculations for the quick ratio are similar to the current ratio minus inventory value which is deducted from the total current assets as can be seen in Table 2. Table 2: Quick ratio Quick ratio| 2010| 2011| 2012| Industry Avg. | Current assets| 3,711| 3,420| 3,225|   | Inventory| 2,342| 2,270| 2,150|   | Net current assets| 1,369| 1,150| 1,075|   | Current liabilities| 4,167| 3,786| 3,590|   | Quick ratio| 0. 3| 0. 30| 0. 30| 0. 7| (Supervalu figures are taken from Supervalu, Inc. 10K. Industry figures are taken from Microsoft Money, 2012) 3. 2. 2Asset Management The company’s ability to manage assets will be a key deciding factor in its return to profitability. Measures of asset management include return on assets and return on equity. For Supervalu, the return on assets shows a sligh t improvement in 2012 at -8. 06% compared to -10. 00% in 2011. Table [ 3 ]: Return on assets Return on Assets| 2010| 2011| 2012| Industry Avg. | Net income| 393| -1510| -1040|   | Total assets| 16436| 13758| 12053|   | Return on assets| 2. 31%| -10. 00%| -8. 06%| 6. 80%| (Supervalu figures taken from Supervalu Inc. 10-K, industry comparison figure from Microsoft Money, 2012) The return on equity is poor. While the actual loss has declined in 2012, the phenomenal change in the return on equity showing large losses is the results of adjustments that followed the steep decline in the level of equity. Table [ 4 ]: Return on equity Return on Equity| 2010| 2011| 2012| Industry Avg. | Net income| 393| -1,510| -1,040|   | Equity| 2,887| 1,340| 21|   | Return on equity| 13. 60%| -112. 69%| -4952. 38%| 15. 5%| (Supervalu figures taken from Supervalu Inc. 10-K, industry comparison figure from Microsoft Money, 2012) The return on equity may not be enough to make an assessment of management’s use of assets. An alternative measure will be asset turnover (Libby et al, 2010). This analyzes the way in which assets are used to generate revenue. It will show how many times assets have been turned over in a given year. Supervalu seems to be improving efficiency in terms of utilization. They turned over assets equivalent to 2. 8 times in 2012 which was an increase from the previous two years (2. 9 times in 2011 and 2. 39 times in 2010). Looking at this in terms of industry context where the average is 2. 4 times, Supervalu appears to be improving efficiency which is positive for recovery. 3. 2. 3Debt Management The company’s debt equity ratio seems to spell doom for the future. This ratio measures the proportion of debt to equity. Compared to the industry average of 1. 03 shown in table 5 Table 5: Return on equity Debt to equity ratio| 2010| 2011| 2012| Industry Avg. | Total debt|   | 11,524| 12,032|   | Total equity|   | 1,340| 21|   | Debt/Equity|   | 8. 6| 572. 95| 1. 03| Supervalu figures taken from Supervalu Inc. 10-K, industry comparison figure from Microsoft Money, 2012) Another measurement of debt management is the debt ratio. Supervalu’s debt ratio show s that it is in a delicate position with the majority of assets being funded by debt. Many companies have gone through similar issues due to losses in equity but have rebounded as was the case with auto maker General Motors. These numbers do not therefore signify an inability for Supervalu to rebound. 3. 2. 4 Profitability An important measure of viability is the profitability of the organization. There are various measures of profit, however in this report I shall focus on net profit margin. This is the level of profit that remains after all cost has been deducted. In this report, I shall utilize the measure after interest and taxes. As can be seen on table 6, the company is slowly digging itself out of a low point in 2011 when the net profit margin was negative 4. 02%. However in an industry where the average is 3. 24%, it is obvious the organization has a long way to go. Table 5: Return on equity Net profit margin| 2010| 2011| 2012| Industry Avg. | Revenue (Net sales)| 40,597| 37,534| 36,100|   | Net profit| 393| -1,510| -1,040|   | Net profit margin| 0. 96%| -4. 02%| -2. 88%| 3. 24%| (Supervalu figures taken from Supervalu Inc. 10-K, industry comparison figure from Microsoft Money, 2012) 3. 2. 5Market Value There are a number of different measures of market value, the most common of which is the price earnings ratio. This is a measure that assesses Harold company will take to earn is total capitalization. However, as Supervalu is making a loss this ratio is not relevant and cannot be calculated. To assess market value a measure which may be utilized are the earnings per share. The earnings per share are shown in table 10, and are a measure of the profit, or loss, the company makes attributed to each share outstanding. As expected, this is in line with the net profit margin in table 5, with the earnings per share being -$4. 91 in 2012 falling from -$7. 12 in 2011. Table 6: Return on equity Earnings per share| 2010| 2011| 2012| Net profit| 393| -1,510| -1,040| Average share out| 213| 212| 212| Net profit margin| 1. 84%| -7. 12%| -4. 91%| (Supervalu figures taken from Supervalu Inc. 10-K 3. Competitors Supervalu is widely considered the third largest supermarket chain in the country. Its main industry peers are  Safeway, Kroger, and  Whole Food Market. Supervalu generated a steady gross margin of 22. 21% in 2012 and 22. 41% in 2011. However, the company is a loss-maker and it produced negative earnings in the previous year. Safeway, Kroger and Whole Food Market generated operating margins of 2. 37%, 1. 61%, and 6. 36%, respectively. It is clear from these gross margin numbers that the grocery industry has very slim operating margins on sales. Table 7: Competitor Analysis Figure in Million| Net Income| Long term D/E| Operating Margin %| Supervalu| -1244| Very High| -2. 1| Kroger| 728| 1. 8| 1. 61| Whole Food Market| 465| 0. 001| 6. 36| Safeway| 523| 2. 3| 2. 37| (Competitor results taken from Finviz. com) It also seems that Supervalu continued to struggle with insufficient growth in its operating activities in the last quarter of 2012. The corporations operating income fell for fiscal 2012. Furthermore, Supervalu is susceptible to financial leverage as it took on a new $2. 5 billion of debt in the third quarter of 2012 (Boehme, 2012). Supervalu needs to continue to reduce its operational cost in order to record positive results. 4. Conclusion The shedding of 877 grocery stores in a $3. 3 billion dollar deal with Cerberus Management LP in the first quarter of this year seems to have been a sign of a new and positive beginning (Dezember, 2013). The company’s stock has been one of the top performers this year; contradictory for a company still drowning in debt and declining sales. However the market has a positive outlook on the company. Since January 1st this year, shared of the company have gained a solid 133%. Supervalu closed the first day of trading this year at $2. 60 and ended the last week trading at $5. 26. Thanks to these positive numbers, both Fitch and Moody’s have upgraded their ratings on the company from negative to stable which has been a boost to investor confidence. The reduction in non-performing assets is expected to continue to improve the stability of the company. With less exposure to market volatility, the company should be able to rebound and even thrive. Decreasing the debt level will boost the balance sheet and future net revenues. 5. Recommendation Although the bullish run of Supervalu which started early this year continues, the company still has a long way to go in its quest to recover. Therefore the subjective recommendation of this report will be to hold. Based on the company’s current trend, it is very likely that within the next year the company will show even more positive signs of improvement and therefore warrant a change to a buy recommendation. If the organization is able to make a recovery it will be in a very strong position in the market as the number three grocer that also benefits from a large wholesaler and supply chain management operation. References Anderson, Jake, (January 10th 2013), Supervalu to Sell 5 Chains in $3. 3B Deal, Replace CEO. Retrieved April 13th 2013 from http://tcbmag. om/News/Recent-News/2013/January/Supervalu-to-Sell-5-Chains-in-$3-3B-Deal,-Replace Patton, Leslie, (July 30th 2012), Supervalu Names Wayne Sales CEO Amid Strategic Review. Retrieved April 13th 2013 from http://www. bloomberg. com/news/2012-07-30/supervalu-names-sales-chief-executive-officer-to-replace-herkert. html Forbes Inc. (2012), Fortune 500 List of Best Companies (2012). Retrieved April 13th 2013 from http://money. cnn. com/magazines/fortune/fortune500/2012/full_list/ Supermarket News (2008, SN Top Wholesalers for 2008. Retrieved April 17th 2013 from http://supermarketnews. om/top-75-retailers-amp-wholesalers/sn-top-wholesalers-2008 Supervalu, (2012). About Supervalu. retrieved April 13th 2013 from http://www. supervalu. com/sv-webapp/about/about. jsp Boehme, Kate, (September 16th 2012), Can Supervalu Survive Its Debt? Retrieved April 18th 2013 from http://seekingalpha. com/article/869491-can-supervalu-survive-its-debt Dezember, Ryan and Hudson, Kris (January 10th 2012), Property Is Plum in Supervalu Deal. Retrieved April 18th 2013 from http://online. wsj. com/article/SB10001424127887324581504578233411904827872. html