International Finance Paper (Home Depot) Essay Example | Topics and Well Written Essays - 1500 words

International Finance Paper (Home Depot) - Essay Example During the years 2008 and 2009, the company was forced to lay off more than a thousand employees and 54 stores across US had to be closed. This includes the whole of the EXPO Design Centre Chain, which was engaged in high end retailing. In the year 2009 the company logged a sales figure of $71.288 billion, which was $20 billion less than was at it was in 2007. This paper deals with the various financial issues encountered by Home Depot during the course of its operation and talks about the measures, which the company is undertaking to deal with the same. As a business policy, HDI was engaged in mergers and acquisitions from the early days of its operations. The company also later on diversified its operation into other countries like Canada and Mexico, where in it needed expert advice on the various complex issues related to international finance. In these circumstances the company made a deal with Invemed Associates, who are engaged in the business of investment banking. An investment bank has departments like the Corporate Finance, which deals in the areas of mergers and acquisitions along with providing finance related consultancy to the clients. Another important division in the company is of the Research, which is concerned with analysis and valuation of shares and bonds, the recommendations on which are then presented to the clients. An investment bank also provides consultancy to their client’s for raising debts and equity from the market. Invemed Associates is required to constantly monitor the financial health of HDI and report on the same to the Board of Directors of HDI. Invemed is also required to inform the board on any economic trend that is relevant to the type of business in which the company is engaged in. Invemed Associates advises HDI every time it wishes to borrow money from the market or issue securities to the public.  (FindLaw, 2009) Before the sale of Home depot supply in