Reborn Tycoon Rise

Xu Zhi then asked: "How much foreign debt does Midea still owe?"

He Guoyuan thought for a while and replied: "Almost 2 billion US dollars."

Since its establishment, Midea has made considerable net profits every year. Except for some mergers and acquisitions and the investment of hundreds of millions of dollars in building large factories in deep sea, there has not been much consumption in other aspects. The reason why he owes such a large amount of foreign debt is that when Xu Zhi acquired Disney, he used Midea as a guarantee and obtained US$2.4 billion in funds.

Disney, which had just been acquired, was already in trouble in its own operations, and it was obviously impossible to repay this huge sum of money, so this loan was placed on Midea's account.

Xu Zhi was surprised: "There are so many more?"

He Guoyuan nodded and said: "Yes, Chairman, the total amount of this loan is 2.4 billion U.S. dollars, and the annual interest is 10%. The total number of years is ten years. Now with the principal and interest, we have to repay 480 million U.S. dollars every year. Even with the US dollar The profit return is high, and the pressure to pay back the money is not small.”

"Well, Disney's revenue from movies last year was good. I will transfer some of the debt away within these two months. But after all, 2 billion US dollars is too much. Disney, which has just recovered, will definitely not be able to bear it. Midea will bear ten billion US dollars." Let's clear half of the debt at once!" Xu Zhi thought for a moment and said. Disney's net profit last year exceeded US$400 million, and this year it will only be more. Growing Pains premiered in November last year and quickly became a America’s ratings dark horse.

The number of people installing Disney pay channels has increased by millions, but this revenue has reached hundreds of millions of dollars a year. At the same time, various advertising fees for TV stations have also increased.

The income of an excellent American TV series is no less than that of some popular movies, such as the most famous Friends, which ended in 2004, but even 15 years later, the income from various copyright peripherals can exceed 100 million US dollars every year. net profit. Growing Pains may not be as painful as Friends, but it can still earn Disney a lot of profits.

As for movies, Mike Eisner is indeed a talent in this area. He has positioned the direction of Disney's development. New movies will be released one after another. From box office to peripherals, Disney will make a lot of money.

In order to reward Mike Eisner for his contribution, Xu Zhi signed a year-end bonus plan before Christmas last year, and Eisner alone received a US$5 million bonus.

More importantly, The Lion King is already in production, and once it is released, the return will be at least hundreds of millions of dollars.

Therefore, Disney is now enough to bear US$1 billion in debt, and Xu Zhi also needs to put a little more pressure on Disney's team.

"If it's US$1 billion, no problem." He Guoyuan thought for a moment and replied: "I can raise funds immediately to clear this debt."

"It's okay if the debt is cleared. Xu Zhi nodded and said: "But next, I need to use Midea as collateral to get a larger loan! "

"A bigger loan?" He Guoyuan paused and asked, "Is the chairman planning to acquire a large company again?"

Xu Zhi shook his head and said: "No, this time, I am planning to raise funds, not for acquisition, but to invest in Japanese real estate and stock market. However, this time is different from the acquisition of Disney. This investment itself has hematopoietic ability and can maintain Interest payment, so I just need to use Midea as collateral.”

In the real estate market, there is a professional term called rent-to-sale ratio, which directly means how many years of rent can buy this house.

In the international market, most areas do not exceed 1:10, so if the interest rate is not particularly high, the high rent is enough to pay the loan interest.

Office buildings in Xiangjiang can generally do this, but not in the mainland in later generations.

In Japan in the 1980s, especially after the Plaza Accord, in order to stimulate the economy, the Japanese government kept bank interest rates very low, but rents also increased significantly with the skyrocketing housing prices, enough to cover the interest on loans.

"How much money does the chairman intend to use as collateral for Midea?" He Guoyuan asked.

Xu Zhidao: "About 4 billion US dollars."

"4 billion?" He Guoyuan was silent for a moment and said: "Chairman, I know that real estate and finance are very profitable, but our current operating situation at Midea is very good. With such a large loan, if other investments have problems, it will be serious. It affects Midea’s normal operations!”

"Don't worry, I know for sure. US$4 billion is only Midea's profit for about three years. Moreover, when I invest in the Japanese real estate and stock markets, I won't use too much leverage. Even if I really lose money, I won't lose everything." ." Xu Zhi comforted with a smile.

This is just a comforting word to make He Guoyuan not worry too much. The US$4 billion invested in Japan is naturally to lay out the upcoming Plaza Accord.

The birth of this agreement was due to a game between the United States, Japan and European economic powers. The U.S. government has had a serious trade deficit since the 1970s. In 1984, it reached as high as 160 billion U.S. dollars, accounting for 3.6% of GDP. It has increased significantly every year, and it has also accumulated like a snowball. .

By 1985, Japan replaced the United States and became the world's largest creditor country. Products made in Japan flooded the world. A large number of industries, land, minerals, and real estate in the United States were "peacefully occupied" by Japanese capital. Even World War II failed that year. performance.

As a result, a large number of lawmakers and large financial groups in the United States began to try their best to persuade the White House, asking the U.S. government to intervene in the foreign exchange market and restrict the entry of Japanese products.

From the perspective of the Japanese government, on the surface its products are prestigious in the global market, but in fact the government is considering political issues. The U.S. Congress proposed 400 bills in 1984, all of which required dumping sanctions against Japanese products. And once the United States takes action, European countries will probably update simultaneously.

In this environment, when President Reagan decided to negotiate rather than intervene forcefully, the Japanese government showed a strong willingness to cooperate, even exceeding the expectations of the U.S. negotiating team.

Subsequently, European countries also joined in, and the Plaza Accord began formal negotiations. The final result was the simultaneous appreciation of the yen, mark, and lira to maintain the U.S. government's trade balance and the stability of the U.S. dollar.

This is the first large-scale intervention in market exchange rates by Western countries since World War II, and it is also the last time. The background of this agreement is the outcome of the global economic and political game.

Therefore, the birth of the Plaza Accord will not change anything. Even if it has a certain impact, it will at most affect the time of signing or part of the agreement.

He Guoyuan said: "However, I think the risk of this investment is still too great!"

"It's too big. I don't think so. Last time Hutchison Whampoa raised HK$3 billion in the stock market and I invested it in General Electric, many people said it was a gamble, but in the end I made 10 billion." Xu Zhi Shrugging, he said: "Not only will it be beautiful this time, I will also transfer HK$5 billion from Hutchison Whampoa's existing accounts to invest in Japan together!"

"Now that the chairman has decided, I will immediately prepare detailed financial statements for Midea for the past two years." He Guoyuan was helpless and could only agree.

"Okay, thank you very much." Xu Zhi said with a smile. Going to a bank for a loan naturally requires a lot of internal data. After all, Midea is not a listed company at the moment. The loan procedure is still relatively complicated, and the necessary data must be provided clearly.