Search
 

Spotting Opportunity in a Crisis

CA Technologies Jim Hodge, one of the finance pros on the 2012 100 Most Influential List, improved CA's ratings and revamped its global cash management.

By Dave Lindorff | Updated on June 28, 2012
Jim Hodge is one of those guys who sees the glass as half full. He joined CA Technologies as treasurer in the fall of 2007, after serving as assistant treasurer at AT&T. That meant Hodge arrived in time for the financial crisis and stock market crash, but he saw the crisis not as bad luck but as a challenge and an opportunity.

When the crisis hit in 2008, Hodge and the top managers of New York-based CA, an IT management software and solutions company, decided to bolster the company’s credit profile by moving it from a junk rating to investment grade. That meant reducing CA’s leverage by more than $1 billion—no small task for a company that had only $4.2 billion in sales that year.

“We decided to retire our senior debt,” Hodge recalls. “We actually bought back some of our debt early between 2008 and 2010.” Over that period, he says, the company paid off a maturing $460 million note in cash. It refinanced a $500 million note and paid off a $750 million credit facility by issuing $750 million in new debt.

Complete your profile to continue reading and get FREE access to Treasury & Risk, part of your ALM digital membership.

Your access to unlimited Treasury & Risk content isn’t changing.
Once you are an ALM digital member, you’ll receive:

  • Critical Treasury & Risk information including in-depth analysis of treasury and finance best practices, case studies with corporate innovators, informative newsletters, educational webcasts and videos, and resources from industry leaders.
  • Exclusive discounts on ALM and Treasury & Risk events.
  • Access to other award-winning ALM websites including PropertyCasualty360.com and Law.com.

Already have an account?

NOT FOR REPRINT

© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.

Recommended Stories

Treasury & Risk

Join Treasury & Risk

Don’t miss crucial treasury and finance news along with in-depth analysis and insights you need to make informed treasury decisions. Join Treasury & Risk now!

  • Free unlimited access to Treasury & Risk including case studies with corporate innovators, informative newsletters, educational webcasts, and resources from industry leaders.
  • Exclusive discounts on ALM and Treasury & Risk events.
  • Access to other award-winning ALM publications including PropertyCasualty360.com and Law.com.

Already have an account? Sign In Now
Join Treasury & Risk

Copyright © 2024 ALM Global, LLC. All Rights Reserved.