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	EBITDA - Wikipedia, the free encyclopedia
		EBITDA is not useful in assessing the impact of such changes in the company's balance sheet.
		EBITDA is often used as a proxy for cash flow from operations, for the purpose of calculating debt coverage ratios.
		Because EBITDA (and its variations) are not measures generally accepted under U.S., the U.S. Securities and Exchange Commission requires that companies registering securities with it (and when filing its periodic reports) reconcile EBITDA to net income in order to avoid misleading investors.
	en.wikipedia.org /wiki/EBITDA (1180 words)

	The Pitfalls of EBITDA: Understanding What is Being Measured
		EBITDA is used as the foundation for times earnings-based business valuation methodologies, financial covenants, and determining debt service capability among other things.
		When EBITDA is used as a measure for evaluating a borrower, lenders should be wary of falling prey to aggressive accounting practices of which they are unaware.
		While EBITDA ignores these items, understanding the actual impact of the depletion of these assets on the business is necessary to assess the cash generation and debt service ability of the company.
	www.trgusa.com /EBITDA.htm (2335 words)

	EBITDA - Glossary - Encyclopedia - Library - VC Experts
		EBITDA - Glossary - Encyclopedia - Library - VC Experts
		EBITDA looks at the cash flow of a company.
		This is especially useful when one company is considering a takeover of another because the EBITDA would cover any loan payments needed to finance the takeover.
	vcexperts.com /vce/library/encyclopedia/glossary_view.asp?glossary_id=155 (256 words)

	EBITDA: Facts and details from Encyclopedia Topic (Site not responding. Last check: 2007-11-03)
		The EBITDA is the earnings before cash expenses and income from interest income/expense, EHandler: no quick summary.
		EBITDA removes the variable effects from the income measure.
		Because EBITDA is also an earnings measure before interest and taxes (which vary with the amount of debt financing), EHandler: no quick summary.
	www.absoluteastronomy.com /encyclopedia/e/eb/ebitda5.htm (2199 words)

	Fool.com: Ignore EBITDA [Rule Maker] September 6, 2001
		EBITDA fails to recognize the capital expenditures that are taken into account when we calculate free cash flow.
		The rationale behind excluding depreciation from EBITDA is that the funds generated by non-cash charges for depreciation are not needed to fund ordinary capital expenditures.
		The bottom line is that while EBITDA may be useful in terms of evaluating firms in the same industry with widely different capital structures, tax rates and depreciation policies, it should not be used as a proxy for cash flow.
	www.fool.com /portfolios/rulemaker/2001/rulemaker010906.htm?source=eheyhopop001101&ref=yhoolnk (1264 words)

	Earnings Before Interest, Taxes, Depreciation, and Amortization - EBITDA
		EBITDA can be used to analyze the profitability between companies and industries, because it eliminates the effects of financing and accounting decisions.
		EBITDA first came into common use with leveraged buyouts in the '80s, where it was used to indicate the ability of a company to service debt.
		EBITDA is now commonly quoted by many companies, especially in the technology sector, even when it isn't warranted.
	baystreet.investopedia.com /terms/e/ebitda.asp (226 words)

	Infinity Reports Record Quarterly Revenue, Gross Profit and EBITDA
		EBITDA for the third quarter of 2005 was a quarterly record $2.8 million, a 27% increase over the EBITDA of $2.2 million in the prior year period.
		EBITDA for the first nine months of 2005 was $7.1 million, a 97% increase over the EBITDA of $3.6 million in the prior year period.
		EBITDA is equivalent to earnings before interest, income taxes, depreciation, depletion, amortization and accretion expenses, gains and losses on the sale of assets, expense related to the early extinguishment of debt and impairment of note receivable.
	www.prnewswire.com /cgi-bin/stories.pl?ACCT=104&STORY=/www/story/11-07-2005/0004209606&EDATE= (1667 words)

	Corporate Board Member - September/October 2004 : Time to Bury EBITDA, Pro Forma Earnings, and Stupid Cash Tricks
		But EBITDA didn’t gain currency among public companies until the merger wave of the 1980s, when companies such as Time Warner encouraged analysts and journalists to use the measure to evaluate corporate performance.
		EBITDA is a flawed gauge of cash flows and an incoherent measure of earnings.
		Of all EBITDA’s flaws, however, the most grievous is that it is vulnerable to the same accounting games found on the income statement (except for games related to taxes and depreciation).
	www.boardmember.com /issues/archive.pl?article_id=12019&V=1 (3392 words)

	EBITDA -- A complete definition
		EBITDA was once used strictly to measure the creditworthiness of financially distressed companies.
		EBITDA can also assist lenders when estimating the cash flows that a company will have available to service its debt -- as it more or less measures the amount of cash that a company has available for interest payments.
		However, EBITDA can also be deceptive when applied incorrectly, and is especially unsuitable for firms saddled with high debt loads or those subject to frequent upgrades of costly equipment.
	www.streetauthority.com /terms/e/ebitda.asp (813 words)

	Earnings Before Interest, Taxes, Depreciation, and Amortization - EBITDA
		EBITDA can be used to analyze and compare profitability between companies and industries because it eliminates the effects of financing and accounting decisions.
		EBITDA is now commonly quoted by many companies, especially in the tech sector, even when it isn't warranted.
		EBITDA also leaves out the cash required to fund working capital and the replacement of old equipment, which can be significant.
	www.investopedia.com /terms/e/ebitda.asp (399 words)

	Define EBITDA - a definition from Whatis.com - see also: EBIT, EBITD
		EBITDA, EBITD, and EBIT are financial terms used to report a company's earnings as they would be without specific deductions taken from the total amount.
		EBITDA is often used to compare the profit potential between companies because it allows an "apples-to-apples" comparison.
		Experts caution, however, that EBITDA does not accurately reflect a company's ability to generate cash and should not be used interchangeably with the term "cash flow".
	searchcio.techtarget.com /sDefinition/0,,sid19_gci877929,00.html (149 words)

	EBITDA - Hydro
		EBITDA, which Hydro defines as income/(loss) before tax, interest expense, depreciation, amortization and write-downs is an approximation of cash flow from operations before tax.
		EBITDA is a measure that includes in addition to operating income, interest income and other financial income, results from nonconsolidated investees and gains and losses on sales of activities classified as "Other income, net" in the income statement.
		EBITDA should not be construed as an alternative to operating income and income before taxes as an indicator of the company's operations in accordance with generally accepted accounting principles.
	www.hydro.com /en/investor_relations/financial_rep/2002_q2/ebitda.html (268 words)

	EBITDA: Plagued by inconsistency - 31 Jan 2002
		Unlike most disclosure improvements, which are the result of accounting standards, the rise in EBITDA disclosure is down exclusively to the companies themselves and a drive to promote their EBITDA performance to financial analysts.
		It is this lack of consistency that threatens the credibility of EBITDA as a useful performance measure.
		EBITDA is growing in popularity and this growth shows no signs of abating - we know of no companies which have removed EBITDA from their annual results and every month we see new companies embrace its disclosure.
	www.accountingweb.co.uk /cgi-bin/item.cgi?id=70630 (762 words)

	Fool.com: The Limits of EBITDA (News -- Telecom Sector)
		Many publicly traded companies tend to refer to EBITDA as though it represents "cash" earnings, based in part on the fact that the "D" and "A" in EBITDA are non-cash expenses.
		Nevertheless, there are two problems: First, EBITDA leaves out so many expenses that to think of it as a measure of profitability is a huge mistake.
		EBITDA also falls short as a measure of cash flow -- which makes it especially confusing, since companies often use the terms interchangeably.
	www.fool.com /news/indepth/telecom/content/ebitdalimits.htm (739 words)

	EBITDA (Site not responding. Last check: 2007-11-03)
		EBITDA, which stands for "earnings before interest, taxes, depreciation and amortization," is a "fraud perpetrated on us by Wall Street—it's a joke," snorts Fred Hickey, editor of "The High-Tech Strategist," a Nashua, N.H.-based newsletter.
		EBITDA "creates the appearance of stronger interest coverage and lower financial leverage," says Pamela Stumpp, senior vice president of corporate finance at Moody's and lead author of the report, which was released last July.
		EBITDA is inappropriate for many industries because it ignores their unique attributes, according to Moody's.
	www.computerworld.com /managementtopics/management/itspending/story/0,10801,55895,00.html (1847 words)

	EBITDA: The Good, The Bad, And The Ugly
		EBITDA is one of those terms that is increasingly used, but usually for the wrong reason.
		EBITDA is used to analyze a company's operating profitability before non-operating expenses (such as interest and "other" non-core expenses) and non-cash charges (depreciation and amortization).
		EBITDA can be used to evaluate the profit potential between companies and industries because it eliminates some of the extraneous factors and allows a more "apples-to-apples" comparison.
	www.investopedia.com /articles/analyst/020602.asp (723 words)

	'WorldCon': The Death of EBITDA? - CFO.com (Site not responding. Last check: 2007-11-03)
		While it's true that the WorldCom accounting scandal — a $3.8 billion overstatement of EBITDA (earnings before interest, tax, depreciation, and amortization) —; has many CFOs and Wall Street analysts rethinking the value of the EBITDA metric, it would be rash for finance chiefs to shun the measure completely.
		"EBITDA is a way for analysts to measure the results of operations excluding the effect of interest costs and corporate income taxes, as well as the effects of depreciation and amortization of long-term assets," notes Edward Radetich, CPA and executive partner of regional accounting firm Heffler, Radetich and Saitta LLP, in Philadelphia.
		In practical terms, says Radetich, EBITDA is used to isolate operating numbers from long-term costs — for example, goodwill resulting from a flurry of acquisitions.
	www.cfo.com /printable/article.cfm/3005428?f=options (640 words)

	EBITDA: Anatomy of an Accounting Gimmick
		Although the term EBITDA is often used interchangeably with cash flow, the two aren't the same thing.
		In addition, EBITDA doesn't recognize changes to working capital, or current assets minus current liabilities, and their impact on cash flow.
		Brotman also added that EBITDA can be a valid measure, particularly when evaluating growth companies that spend a lot of money on building out their operations.
	www.thestreet.com /markets/rebeccabyrne/10029208.html (853 words)

	Much ado about EBITDA - Jul. 1, 2002
		And thanks to WorldCom's accounting woes, EBITDA is now one of the most fear-inducing words (or acronyms) on Wall Street.
		"EBITDA is particularly useful when you have companies with big capital investments, heavy up-front costs where it takes a while to get returns back," says Chuck Hill, director of research for First Call.
		But Cox's EBITDA was $2.61 a share last year and the company is expected to earn $2.90 this year and $3.30 in 2003, indicating that the company investments are generating a return.
	money.cnn.com /2002/07/01/pf/investing/q_ebitda (627 words)

	Forbes.com: EBITDA Addiction Growing At Dot-coms (Site not responding. Last check: 2007-11-03)
		EBITDA and pro forma are similar in that both exclude items deemed to be "non-cash," such as amortization of goodwill charges created by acquisitions, and payments made in stock.
		However, traditional use of EBITDA in analysis of telecom companies applied to their massive capital investment in long-lived assets such such as fiber-optic lines.
		But because definition of EBITDA isn't enforced by a standards-making body, companies can be as loosey-goosey about it as they have been in concocting pro formas.
	www.forbes.com /2001/05/03/0503simons.html (870 words)

	EBITDA Definition (Site not responding. Last check: 2007-11-03)
		Since the distortionary accounting and financing effects on company earnings do not factor into EBITDA, it is a good way of comparing companies within and across industries.
		This measure is also of interest to a company's creditors, since EBITDA is essentially the income that a company has free for interest payments.
		In general, EBITDA is a useful measure only for large companies with significant assets, and/or for companies with a significant amount of debt financing.
	www.investorwords.com /1632/EBITDA.html (251 words)

	BW Online \| January 14, 2003 \| EBITDA's Foggy Bottom Line
		The rationale behind EBITDA was that it reflects what's happening in core operations, while stripping out expenses that are, in theory, extraneous.
		EBITDA "can drift from the realm of reality," says Stumpp, who wrote a widely circulated report on its shortcomings in 2000.
		And of course, the EBITDA calculation excludes AOL's huge debt burden, notes Robert Burgoyne, a financial adviser in Ellicott City, Md. With $28 billion in long-term borrowings, AOL Time Warner likely paid more than $1.7 billion in interest in 2002 and could lay out the same amount in 2003.
	www.businessweek.com /bwdaily/dnflash/jan2003/nf20030114_1115.htm (1146 words)

	Results for 'EBITDA'
		EBITDA and is adjusted upward or downward based on the qualitative aspects...
		EBITDA) will be between $8.7 billion and $8.9 billion, the company estimated, up from its previous range of $8.5 billion to...
		EBITDA is taken as a rough measure of profitability, but it ignores such expenses as debt payments and capital expenditures.
	search.infoworld.com /query.html?qt=EBITDA (747 words)

	Parmalat pro forma FY EBITDA 307.8 mln eur, in line with forecasts UPDATE - Forbes.com (Site not responding. Last check: 2007-11-03)
		EBITDA margin rose to 8.0 pct in the full year, including 8.5 pct in the fourth quarter, from 2004's 7.2, it said.
		The EBITDA does not include the 9.6 mln eur cost of a write-down for goods suspected of being contaminated by ITX, a substance used in packaging.
		EBITDA also excluded 22.2 mln eur of write downs on credits, it said, without giving details on these.
	www.forbes.com /home/feeds/afx/2006/02/10/afx2516997.html (792 words)

	CanWest's EBITDA(1) and Net Earnings Increase in F2005
		However, underlying structural and regulatory issues for conventional television will need to be addressed at an industry level if we are to recapture the financial performance of earlier years.
		This supplementary earnings measure does not have a standardized meaning prescribed by Canadian generally accepted accounting principles and may not be comparable to similar measures presented by other companies nor should it be viewed as an alternative to net earnings.
		The reconciliation of EBITDA to net earnings is evident on the face of the following unaudited consolidated statements of earnings (loss).
	www.prnewswire.com /cgi-bin/stories.pl?ACCT=104&STORY=/www/story/11-02-2005/0004206846&EDATE= (2016 words)

	RMA Journal, The: Cash flow or EBITDA? Can't we have both?
		This article first explores some of the published debate on EBITDA and cash flow, next reviews EBITDA and cash flow components and what each one offers, and then repositions those components to reconcile EBITDA and cash flow and improve their usefulness to lenders and analysts.
		The debate over using either EBITDA (earnings before interest, taxes, depreciation, and amortization) or cash flow in measuring return or repayment ability reminds me of a line from one of my favorite movies, Trading Places.
		As colleagues have debated EBITDA versus cash flow, every such discussion has ended with the compromise that each method is important in its own right and that both should be employed whenever possible.
	findarticles.com /p/articles/mi_m0ITW/is_4_85/ai_n14897216 (477 words)

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