project report b_02

8/10/2019 Project Report B_02

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Project Report on

A brief study on Capital Markets database of SNLFinancial

SNL Financial(Capital Market)

By

Devendra BaidB2

MBA I

Faculty Guide: Ekta Sharma

Post Graduate Institute of Management.Amrut Mody School of Management

July 2014


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Project Report on

A brief study on Capital Markets database of SNLFinancial

SNL Financial(Capital Market)

July 2014

Report submitted in partial fulfillment of the requirements of thesummer internship training undertaken for the MBA program


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Certificate from company


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Declaration

I hereby declare that my Summer Internship Report entitled A briefstudy on capital marketsdatabase of SNL Financialsubmitted in partial fulfillment of the Summer Internship Program

is original and is not substantially the same as one which has already been submitted in part or in

full for any such similar qualification to the University to the best of my knowledge.

Date:

Place:

Devendra Baid

The work mentioned above is carried out under my guidance

Date:

Place:

Prof. Ekta Sharma


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Acknowledgement

I would sincerely like to thank both my external industry mentor, Mr Deven

Upadhyaya(Manager)as well as my internal college mentor, Dr. (Mrs) Ekta Sharma, for their

support and guidance, in understanding and completing my project.

I would also like to thank Mr. Abhishek Sharma and Mrs. Nirali shah for their relentless

support and taught me how to analyze data, with extreme patience.

Since the data is such a nature which is directly attached to company product, I am extremely

grateful of SNL who showed their utmost trust and faith in me while I was processing data

which they would be giving to clients.

I would like to acknowledge the Valuable help offered by the person directly or indirectly to me

to connect to this Report during my training period

In the end, I would like to thank my college Amrut Mody School of Management AMSoM

that gave me the permission to work and prepare report and understand working in real world

condition.


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Contents

Chapter 1: Objectives, Scope & Limitations .............................................................

1.1 Objectives ..........................................................................................................

1.2 Scope .................................................................................................................

1.3 Limitations .........................................................................................................

Chapter 2: Industry And Company Owerview ..........................................................

2.1 Industry Overview ..............................................................................................

2.1.1 Background ..................................................................................................

2.1.2 Applications in enterprise ............................................................................

2.1.3 User Aspect ..................................................................................................

2.2 Company Profile .................................................................................................

2.2.1 Background ..................................................................................................

2.2.2 Sector Covered by SNL .................................................................................

2.2.3 Types of product offered at SNL ...................................................................

2.3 Organization Framework ....................................................................................

2.4 Porter`s Five Force Model ..................................................................................

Chapter 3: Training Activities ...................................................................................

3.1 Capital market (Department) .............................................................................

3.1.1 ......................................................................................................................

3.2 ............................................................................................................................

3.2.1 Task-1: .........................................................................................................

3.2.2 Task-2: .........................................................................................................

3.2.3 Task-3: .........................................................................................................

Chapter 4: Findings and Learnings ...........................................................................Chapter 5: Conclusion ..............................................................................................

Bilography ................................................................................................................

Appendices ..............................................................................................................

I. Fortnight Activity Report-1 .............................................................................


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II. Fortnight Activity Report-2 ..........................................................................

III. Fortnight Activity Report-3 ..........................................................................

IV. Feedback Form ............................................................................................


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Chapter 1 Objectives, Scope & Limitations of the study.

1.1 Objectives:

Primary Objective:

A briefstudy on capital markets database of SNL Financial.

Secondary Objective:

Understanding the working of capital market as a department of SNL

Understanding end-to-end process of collection and processing data of funding and

offering subset of capital market

Audit of share outstanding related data from metal and mining industry and financial

service.

Arranging the underwriters according to their roles and their share in the deal size.Rectified the bad data for clearing house participated in various Canadian Companys

Capital offerings.

Correcting the make whole call data point after verifying the call schedule of particular

securities.

Audit of share outstanding related data from metal and mining industry and financial

service.

Voting rights details for the Common stock were updated after collecting the information

from relevant sources.

Filling funding form which includes information of stock exchange, currency, trading

symbol, par value, shares outstanding, SEDOL, CUSIP, and ISIN.

Finding outstanding amount of debt securities from various stock exchanges and other

sources using trading symbols, SEDOL, CUSIP and ISIN.


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1.2 Scope:

Working in capital market department has itself wide scope within industry.

Capital market information of domestic as well as international company.

Understanding different type of documents and stock exchanges.

Dealt with global stock exchange, understanding its listing patter and information.

Various filling pattern of company following different standards.

There is good exposure to different types of data like share capital, dividends, ordinary

shares, stock splits, debt securities and ownership across different industries that are

covered by SNL.

1.3 Limitation:

Time was limited to cover all aspects of capital market department at SNL.

Majority of training and its application is limited to SNL only.

There are few companies present in India which works in this sector.


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Chapter 2Industry and company orientation

2.1 Industry overview

Business intelligence(BI) is a set of theories, methodologies, architectures, and technologies

that transform raw data into meaningful and useful information for business purposes. BI can

handle enormous amounts of unstructured data to help identify, develop and otherwise create

new opportunities. BI, in simple words, makes interpreting voluminous data friendly. Making

use of new opportunities and implementing an effective strategy can provide a competitive

market advantage and long-term stability.

Generally, Business Intelligence is made up of an increasing number of components. These

include the following:

Multidimensional aggregation and allocation

DE normalization, tagging and standardization

Real-time reporting with analytical alert

Interface with unstructured data

Statically interference and probabilistic simulation

Key performance indicators optimization

BI technologies provide historical, current and predictive views of business operations. Common

functions of business intelligence technologies arereporting,online analytical

processing,analytics,data mining,process mining,complex event processing,business

performance management,benchmarking,text mining,predictive analytics andprescriptive

analytics.

Business Intelligence infrastructures rely on technology to turn data into intelligence. Vendor

innovations are the heart of innovation. The rate of innovation has continued to rise since the

1990's. Not only do vendors create new products and improve on existing ones but imitation

means technology diffuses quite quickly between companies.

At the same time vendor products are becoming more advanced ease-of-use is also increasing.

These seemingly countervailing forces are actually complementary. This is because there is

general agreement the needs of the user has not changed substantially. For instance, "While the

products and technologies surrounding and complementing data warehouse implementation have
http://en.wikipedia.org/wiki/Business_reportinghttp://en.wikipedia.org/wiki/Online_analytical_processinghttp://en.wikipedia.org/wiki/Online_analytical_processinghttp://en.wikipedia.org/wiki/Analyticshttp://en.wikipedia.org/wiki/Data_mininghttp://en.wikipedia.org/wiki/Process_mininghttp://en.wikipedia.org/wiki/Complex_event_processinghttp://en.wikipedia.org/wiki/Business_performance_managementhttp://en.wikipedia.org/wiki/Business_performance_managementhttp://en.wikipedia.org/wiki/Benchmarkinghttp://en.wikipedia.org/wiki/Text_mininghttp://en.wikipedia.org/wiki/Predictive_Analysishttp://en.wikipedia.org/wiki/Prescriptive_Analyticshttp://en.wikipedia.org/wiki/Prescriptive_Analyticshttp://en.wikipedia.org/wiki/Prescriptive_Analyticshttp://en.wikipedia.org/wiki/Prescriptive_Analyticshttp://en.wikipedia.org/wiki/Predictive_Analysishttp://en.wikipedia.org/wiki/Text_mininghttp://en.wikipedia.org/wiki/Benchmarkinghttp://en.wikipedia.org/wiki/Business_performance_managementhttp://en.wikipedia.org/wiki/Business_performance_managementhttp://en.wikipedia.org/wiki/Complex_event_processinghttp://en.wikipedia.org/wiki/Process_mininghttp://en.wikipedia.org/wiki/Data_mininghttp://en.wikipedia.org/wiki/Analyticshttp://en.wikipedia.org/wiki/Online_analytical_processinghttp://en.wikipedia.org/wiki/Online_analytical_processinghttp://en.wikipedia.org/wiki/Business_reporting


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become much more refined, the process of actually building a data warehouse has not

significantly changed." The same can be said of most Business Intelligence system components.

User needs and architecture changes much slower than technology but technology must be

tailored to the needs of the user. Therefore, the focus should always be on the enduring parts of

the BI system without focusing on any one vendor or technology.

2.1.2 Applications in enterprise

1. Analytics program that builds quantitative processes for a business to arrive at optimal

decisions and to perform business knowledge discovery. Frequently involves: data mining,

process mining, statistical analysis, business process modeling and complex event processing

and prescriptive analytics.

2.Reporting/enterprise reportingprogram that builds infrastructure for strategic reporting to

serve the strategic management of a business, not operational reporting. Frequently involves data

visualization, executive information system and OLAP.

3. Collaboration/collaboration platformprogram that gets different areas (both inside and

outside the business) to work together through data sharing and electronic data interchange.

4. Knowledge managementprogram to make the company data driven through strategies and

practices to identify, create, represent, distribute, and enable adoption of insights and experiences

that are true business knowledge. Knowledge management leads to learning management and

regulatory compliance.

2.1.3 User Aspect

Some considerations must be made in order to successfully integrate the usage of business

intelligence systems in a company. Ultimately the BI system must be accepted and utilized by

the users in order for it to add value to the organization. If theusability of the system is poor, the

users may become frustrated and spend a considerable amount of time figuring out how to use

the system or may not be able to really use the system. If the system does not add value to the

users mission, they simply don't use it.

Taking on a user-centered approach throughout the design and development stage may further

increase the chance of rapid user adoption of the BI system. Providing user support is necessary

to maintain the BI system and resolve user problems.
http://en.wikipedia.org/wiki/Usabilityhttp://en.wikipedia.org/wiki/Usability


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2.2 company overview:

SNL Financial collects, standardizes and disseminates all relevant corporate, financial, market

and M&A dataplus news and analysisfor the industries SNL cover: banking, financial

services, insurance, real estate, energy, media/communications and metals & mining.

SNL Financial was originally founded as "S&L Securities" in New Jersey in 1987 with an initial

focus on the savings and loan industry. But state law would not permit the incorporation of a

non-bank with "S&L" in the official company name. So company replaced the "&" with an "N"

to create "SNL." And soon expanded well beyond savings & loans to the various business sectors

are cover today.

Since founding, SNL has continuously expanded the global operations, as well as the scope and

depth of our coverage and productsall without compromising the standards of quality and

customer service that drive their success. Throughout the organization, SNL has infused 4 core

tenetsAccuracy, Relevance, Completeness and Timeliness. As a result, leading investment

banks, investment managers, corporate executives, ratings agencies, government agencies,

consulting firms, law firms and media such as The New York Times, The Wall Street Journal,

USA Today, Washington Post, Forbes and Fortunerely on SNL Financial for the best possible

information on the companies in the sectors.

To analyze certain industries effectively, there is need of more than a generalist information

provider. Generalists give you basic financials, news and broker reports. So does SNL. But only

SNL combines such ground-floor information with sector-specific metrics and values that

describe the companies and industries we cover, plus data on key assets, mapping tools,

regulatory insight and more. SNL gives you access to the specialized intelligence that is needed,

in more depth and breadth than youll not find anywhere else. SNL integrate exclusive news,

data and analytics on an interactive platform that is as easy to use as it is powerful.

Whether its selecting stocks and bonds, planning mergers, analyzing competitors or developing

strategy, leading bankers, investors and corporate decision-makers have relied on SNL as their

single best source for information on the global sectors covered since 1987. SNL serve more than


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60,000 users, with coverage that spans 6,500 public companies and 50,000 private firms

worldwide.

SNL allows clients to spend less time acquiring and manipulating data. The platform links data,

news and analytics for easy drilldown, access and analysis. Sort highly complex tables and

reports with one click. SNLs powerful Excel add-in allows clients to seamlessly integrate SNLdata into your spreadsheets, reports and models with instant refresh.

SNL news and data are compiled by trained sector experts and are carefully checked and

rechecked before publication. SNL is so confident in their accuracy that they put their money

where their mouth is. SNL is the only information provider with an accuracy guarantee: SNL pay

clients $50 (or make an equivalent charitable donation) for each error found and reported to

them.


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2.2.2Sectors covered by SNL:

SNL Financial is the premier provider of breaking news, financial data and expert analysis in 5

major sectors, they are:

1)

Financial Institutions: SNLs financial industryservices include detailed profiles on more than

20,000 U.S. companies, including all publicly-

traded banks & thrifts, privately-held institutions

and credit unions. 100% of investment banks with

any substantive industry practice rely on SNLs

financial industry services, as do the largest

commercial banks, top equity research analysts,

leading M&A advisors, and more than 600 asset

managers, hedge funds and private equity firms.

This sector also includes:

Banking: SNL`s financial industry analysis

combines exclusive in-depth data in real time for

global banking sector. SNL`s standardized format

make it simpler to compare banks across

geographies, without manual calculations.

Financial services: SNL provides in-depth

analysis of broker/dealers, exchanges, asset

managers, specialty lenders, investment

companies, mortgage REITs and financial

technology firms. They offer SEC financial data in

both standardized and as-reported formats, as well

as Form ADV data for asset managers, X-17s or

focus reports for brokers, and mortgage market

share (HMDA) data for mortgage lenders.


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Insurance: SNL integrates comprehensive data, breaking news and exclusive research for

the insurance industry. From company performance to investment portfolio composition,

SNL consolidates many sources of data and provides analytical tools that transform it into

actionable knowledge.

2)

Real Estate:SNL Real Estate combines real-time news, in-depth data and expert real estateresearch on companies around the world. Access detailed news, pricing, financial and

property data through SNLs robust Web- and Excel-based platforms. From the North

American REIT (public and private), REOC, homebuilding and gaming sectors, to the listed

property markets in Europe, Asia and the emerging markets, SNL is the trusted solution for

global real estate investment.

3) Energy: SNL redefines the energy information market by integrating news, data and

analytics in real time on a Web-based platform. Industry-leading access to comprehensive

financials, breaking news, proprietary regulatory research, market pricing and fundamentals

of supply and demand set the standard for intelligence on the power, natural gas, coal and

renewable markets, driving critical energy investment decisions.

Electric power: SNL Energy integrates news, data and research in real time for electric

power industry. Access news, pricing, financial data and energy company research through

SNL`s Web- and Excel-based platforms. From CME/NYMEX futures prices and regulatory

rate case information to power plant production analysis and renewable energy trends, SNL

provides unparalleled coverage of the power market.

Natural Gas: SNL Energy provides news, data and research for natural gas industry. Access

news, pricing, financial and operational data through SNL`s web- and Excel-based platforms.

Coverage includes: CME/NTMEX futures and swaps, fuel procurement analysis,

operationally available capacity, index of customers, 3 rd party capacity release, and utility

and midstream company financial reports.

Coal: SNL Energy is single source for news, data and research on the coal industry. Access

news, pricing, financial and operational data through SNL Web- and Excel- based platforms,

Coverage includes: CME/NYMEX forward coal prices, fuel procurement analysis,


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transportation costs, mine production and company financial reports. SNL provides an

unrivaled view of coal market.

Renewables: SNL Energy constantly monitors the development of wind, solar,

hydroelectric, geothermal, and biomass generating assets. Renewable energy coverage

includes: breaking developments in demand-side management, small grid, announced newprojects, requests for proposal, renewable portfolio standards and important legislation.

4) Media & Communication: SNL Kagan is the first single source for in-depth analysis and

proprietary data on the constantly-evolving media and communications business. Boundaries

between sectors are blurring, so we cover them all and connect the dots in real time, tracking

both quantitative impact and qualitative implications. SNL Kagan clients get access to data

on all media & communication sectors. Whether you`re an investment banker, equity analyst,

consultant, vendor or industry player. You`ll benefit from integrated suite of news, propriety

analysis and financial data.

5) Metals & Mining: SNL Metals & Mining is the most trusted source of global mining

information and analysis with more than three decades of providing global insights and

intelligence. From worldwide exploration, development and production to strategic planning

and acquisitions activity - our unbiased research helps clients make confident decisions and

improve results. SNL Metals &Mining provides a comprehensive and detailed view of global

mining industry activities in one complete package. Quickly gain efficiencies through our

easy-to-access online databases and analytics tools, and use our accurate research to gain

clearer insights.


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2.2.3Type of product offered by SNL:

SNLs products include an online database with real-time news and analytical tools; investor

relations Web site hosting; electronic newsletters; and printed data publications. SNLs client

base includes investment banks, investment managers, corporate executives, ratings agencies,

government bodies, consulting firms and law firms who use SNLs information for business

intelligence and analysis. Various products offered by SNL are as follows:

1) SNL Unlimited: Through SNL Unlimited, we offer industry-specific financial market

data from over 6,500 public companies and over 50,000 private companies across the globe.

Generalist providers give you basic financial data and broker research reports. So do us. But

nobody else has our standardized and as-reported financials, sector-specific templates, asset-level

data, mapping and regulatory data. Even if you spend the time compiling financial market data

from various sources, you won't even come close to what SNL Unlimited delivers on a single

online platform. And we provide advanced analytical tools that help you make better decisions.

Sector-Specific Financials: Different industries report different financial items in

different ways. SNL recognizes these differences and standardizes financial data using

each industries` own financial fields and language. Company profiles highlight sector

specific performance metrics while standardizes financial statements make comparisons

across multiple companies easy. SNL also allows you to view and export financial data as

reported by each company. These as-reported financial statements are aligned over the

time of seamless comparison across periods, and with one click, each value can be

tracked back to its source document for easy auditing.

Transcripts & Presentations: Access hard-to find documents, including investor

presentations and conference call transcripts, as soon as they are made available. Search

recent documents by company, date, event type and other criteria to find exactly whatyou need, Can also download document in variety of formats including PowerPoint and

PDF.

Mergers & Acquisitions: SNL`s coverage of the M&A world is comprehensive, and

includes information on termination fees, lookup agreements, cost savings, restructuring


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charges, deal accretion/dilution, regulatory/shareholder approvals, advisers and advisers

fees. SNL uses a number of sources to detect deal activity, including press releases and

documents such as Form 10-Q, 10-K, and MP. SNL also produces the most complete,

sector-specific league tables for merger and acquisitions.

Capital Offerings:SNL collects major of capital offering made by companies in coverageuniverse, including common and preferred equity, trust preferred securities, convertible and

non-convertible debt as well as medium-term notes. SNL provides granular financial market

data on individual offering terms, execution method, underwriter and legal advisor roles and

overallotment details.

Institutional Ownership: SNL`s institutional ownership data allows you to analyze

ownership at the institutional levels, and drill down from any view to examine the holders

based on such criteria as region, holder style, and turnover rate.

Credit Ratings: SNL provides with credit ratings of the company and also includes its

subsidiaries. Rating from S&P, Moody`s, Fitch and DBRS provide details on long-term

issuer, senior unsecured, subordinated debt, preferred stock, trust preferred, senior secured

debt and more. Includes rating dated on or after January 1, 2000.

Estimates & Research Reports:SNL provides consensus and individual analyst estimate

metrics across all covered industries, including book value, capital expenditures, cash

flows, dividends, earnings, EBITDA, long-term growth rate, net debt, net income, target

price, recommendations, revenue, tangible book value, total net asset value and more. SNL

also redistributes research reports from more than 30 top contributors.

Asset-Level Data:SNL offers comprehensive market data on a variety of assets owned or

managed within the sectors. Not only one can see the financials of the selected company,you can research company from the corporate level as well as the industry-specific assets,

can also get complete branch data for banks and thrifts, in-depth property data for REITs

and REOCs, casino data for gaming companies, comprehensivepower plant and coal

mining data in energy sector and wireless licenses for media and communication.


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SEC & Non-SEC Documents: Gain access to most recent SEC documents filled by

companies that SNL covers. Document types include Forms 10-K, 10-Q, and 8-K, proxies,

prospectuses, earning releases and merger agreements. Extensive document archive is used

to search historical filings. You can locate exact document you need by searching criteria,

document type, filing data or industry.

Market/Industry Data: you can view information on stock price leaders and losers for

various sectors. Track currency exchange rates, monitor SNL`s indices, plus broad market

indexes, or research historical performance, total return and dividend yields for any of these

indexes. Read insightful analysis of recent trends and developments. Monitor industry

conferences where leaders are presenting. Gain insight on competitors by monitoring a

wide array of sector-specific ratios and benchmarks.

News: SNL offers a wide array of financial market news breaking stories, in-depth

analysis, real-time press releases and filings, regular features and blogs through a variety

of "Web part" portals that allow users to customize page layout. Users can further filter

news content by subject matter and company portfolios. Articles display a wealth of data

related to the story at hand referenced companies, capital offerings, M&A transactions,

links to SNL-related and externally sourced articles and a multitude of industry-specific

assets like TV networks and power plants.

Briefing Books: SNL's Company Briefing Books give you a snapshot on any company in

your industry - public, private or historical. These complete profiles include a company

description, stock charts, corporate structure, research reports, insider activity, institutional

ownership, capital markets data and M&A activity. You can even export your

comprehensive corporate summary in either PDF or Excel format for an investment

banker-quality pitch book.

Peer Analytics: SNL's Peer Analytics revolutionizes the way you screen and compare

companies. Perform a comprehensive peer comparison for any public company. SNL gives

you the option to use our intelligently defined peer group criteria or to create your own

group. Further customize peer comparisons by selecting any field within our public


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company database. SNL's Peer Analytics also features a peer score and rank and the ability

to add SNL indexes or custom aggregates for additional benchmarking.

Excel Integration Tools: SNLxl is a powerful tool that allows you to pull data directly

from SNL databases into a Microsoft Excelspreadsheet using SNL functions. After pulling

data into a spreadsheet, you can apply Excelfeatures and formulas to build refreshable

templates, reports and analyses. Whenever SNL analysts add or amend data, it flows

through to SNLxl. Data updates daily. It can provide information like:

a. Company and asset-level data

b. Mergers and Acquisitions data

c. Capital market data

d. Stock pricing

e. Estimates

Data Feeds:SNL Unlimited data feeds uncover sector-specific forces and new correlations

that drive stock value. Our feeds provide more than 20 years of historical fundamental

financial market data and over 46,000 data points for public company financials, regulated

industries, investment details, capital structure, capital offerings and mergers &

acquisitions. You can seamlessly integrate SNL feeds into your custom applications via

FTP (text or XML), enabling you to share data more efficiently throughout your

organization. You decide the frequency: daily, weekly, monthly or quarterly. If one of our

standard data feeds isn't exactly what you need, SNL will help you build your own. Our

experts will assist you with platform integration, and monitor/support your feed.


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Demographics and Mapping: SNL's demographic data provides unemployment figures

that are updated each month and annual demographic information. You can get data for the

entire United States or drill down to see the same data by state, city, county, ZIP code,

metropolitan statistical area or census tract, where applicable. Add powerful visuals to your

presentations or meetings with this online and easy-to-use application.

2) News: SNL provides breaking news, exclusive reporting, commentary and blogs on our

covered industries, and full integration with SNL data and analytics. Our news organization

of more than 130 reporters and editors across three continents surpasses that of many larger

providers in sector-focused expertise and institutional knowledge.

Bank & Thrifts: SNL Bank and Thrift News covers public and private banks and thrifts

across the U.S., Canada, the UK, Europe, and Asia-Pacific, offering up-to-the-minute

breaking news and in-depth analysis of industry trends and the latest rumors circulating on

Wall Street.

Insurance: SNL Insurance News covers insurance underwriters and brokers publicly

traded on a major U.S. exchange, including those domiciled in foreign countries like

Bermuda and Canada, as well as private insurance underwriters that file statutory

documents with the NAIC, both domestic insurers and the U.S.-based subsidiaries of

foreign companies. Coverage focuses on newsworthy developments relevant to the

industry, comprising the property & casualty, life & health and managed care subsectors.

Financial services: SNL Financial Services News covers financial services companies,

including all institutions publicly traded on a major U.S. exchange, within the

broker/dealer, asset manager, specialty lender, investment company and financial

technology subsectors. Coverage focuses on newsworthy developments relevant to the

space, including regulatory and political actions, as well as analyses of trends and industry

data.

Real Estate:SNL Real Estate News covers U.S. and Canadian REITs and REOCs across

all property sectors, including office, hotel, health care and retail; publicly traded U.S.


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homebuilders and the general residential market, as well as major players in the U.S.

gaming operator sector; and REITs and property developers in the office, retail, residential

and industrial sectors, as well as homebuilders and hotel groups in Europe, Asia and

emerging markets.

Energy:SNL Energy News covers U.S. and Canadian power, natural gas and coal sectors,including power plants, pipelines and coal mines; federal and state regulatory activity

including FERC, DOE, EPA and state regulatory commissions; pertinent state and federal

legislative news impacting the industry; and commodities markets.

Media & Communication: SNL Media & Communications News covers traditional

media, including film, television, radio, print and advertising; new media, such as streamed

content, online advertising and Internet technology; and the communications sector,

comprising cable operators, satellite companies, wireless carriers and broadband and

landline providers, among others.

SNL Financial News App:Designed for Apple, Android and BlackBerry devices, the

SNL Financial News app ensures that you have access to the news you need even

when an Internet connection is not available. Customize it to feature only the news,

features, blogs, research and stock market information relevant to you.

3) IR Solutions:SNL IR Solutions is a complete resource for online investor relations. SNL

builds and manages IR Web sites for companies in various industries across the market cap

spectrum, from multibillion-dollar financial institutions and REITs to small community

banks and everywhere in between. SNL IR Solutions is a NYSE Euronext-approved partner,

providing IR web hosting and webcast services to eligible NYSE Euronext-listed companies.

IR Web Management

Client Support

Sector-Focused Data

IR Console

Communication


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4) SNL Banker: It gives you detail information about banks like how bank performed

yesterday or two weeks ago.

With this new tool you`ll:

Understand drivers, trends, and risks on

real-time basis

Make more informed data-drivendecisions

Improve accountability and ownership

Spend less time preparing report

Spend more time acting on bank data

analysis

Customize your report

One click-and-drag functionality makes it

simple for users

Displays exactly the data you need.

5) Insurance rate & Product Filings: SNL's Rate & Product Filings improve both your

competitive and market intelligence by allowing you to perform timely and quality analyses

on this complicated dataset. Your pricing analysts and product managers can refocus their

attention from manual search and data entry to strategic market analysis, transforming your

workflow and giving you the competitive edge needed to remain a market leader.

6) Support & Training: SNL client support advisors are experts in financial analysis, your

sector and SNLs products. Tell your SNL expert what youre trying to do from a business

perspective. Youll get some easily-applied tips that will harness the power of SNL to ensure

you meet your goals and maximize the return on your SNL subscription investment. SNL

Support people arent tech reps, although theyre well-versed in how to apply technology.

They are one of the many reasons SNL renewal rates consistently exceed 94%. With

extended support hours around the globe, SNL Support is available to answer questions at

any time, from anywhere.


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7) SNL Knowledge Center: This is a resource manager for sector-specific training and

information.

Specialists in industry

Instant ROI

Skills-oriented, career building programs

Instructors from the field.

8) Performance Graph: The SEC requires that all publicly traded companies provide a

graphical comparison of their stock performance in their Annual Report. SNL Financial

offers Performance Graphs to meet your needs for SEC compliance and shareholder

presentations.

SNL provides features like:

Five year total return stock

performance

Customized industry index

Accuracy guaranteed or your

money back

Continent email delivery


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2.3Organization Framework:

The 7-S model is a useful way to look at the many interrelated aspects of a complex organization

and it's a great way to help in understanding the organization and leverage it to maximum

efficiency and profitability.

The basic premise of the model is that there are seven internal aspects of an organization that

need to be aligned if it is to be successful. It is the seven key elements of an organization that are

critical to understand its effectiveness. These seven elements are:

1) Shared value: SNL is employee oriented company.All members of the organization share

the same common fundamental ideas and guiding concepts around which the business is

built.

These values and common goals keep the employees working towards a commondestination as a team.

2) Skill:Staff members in the company are highly qualified and are experts in their respective

fields due to their experienced skills. The skills are monitored by the respective managers of

the department. These skills are measured on the basis of daily reporting done by the staff to

Sharedvalue

Style

Staff

System

Skill

Structure

Strategy


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the managers. The skills are determined by the requirement of the job and not by any

predefined notion. The company acts as a parameter to identify if individuals confer with

company skills.

3) Style:At SNL leadership is participative and lead by example unlike traditionally, influenced

by the military style of management and culture where strict adherence to the upper

management and procedures was expected from the lower-rank employees. Internal small

participative team project is given to employees to show their leadership skill, which is

included in their goal. SNL has more open and friendly with fewer hierarchies and a smaller

chain of control.

4) System:Daily jobs are automatically displayed on dashboards with timeline, every employee

has to pick up the task and submit it in given timeline. All communications, data flow,reports, policy, guidelines, and strategies need to flow between all the branches, use of new

and better technology helps to make the decision-making process quicker. As business

intelligent firm technology is integrated part of snl. Employee engagement activity is taking

place at regular interval by H.R department.

5) Staff:SNL put extraordinary emphasis on hiring the best staff, providing them with rigorous

training and mentoring support, and pushing their staff to limits in achieving professional

excellence, and this forms the basis of these organizations strategy and competit ive

advantage over their competitors. Best performing employee is quarterly rewarded by Reid

niggle cup. Their role is assigned before quarter starts, so that his responsibility is clear.

6) Strategy: SNL makes difference through its four core tenets i.e., Accuracy, Relevance,

Completeness and Timeliness. SNL is so confident in their accuracy that they put their

money where their mouth is. SNL is the only information provider with an accuracy

guarantee: SNL pay clients $50 for each error found and reported to them.


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7) Structure: The organization structure at SNL is as shown below:


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2.4 porters five force model:

Competitive Rivalry:

Few competitors mean fewer firms are competing for the same customers and resources,

which is a positive for SNL.

When exit barriers are low, weak firms are more likely to leave the market, which will

increase the profits for the remaining firms. Low exit barriers are a positive for SNL.

Threat of Substitute Products:

When products and services are very different, customers are less likely to find

comparable product or services that meet their needs. This is a positive for SNL.

Limited number of substitutes means that customers cannot easily switch to other

products or services of similar price and still receive the same benefits. High switching

costs positively affect SNL.

Competitive

Rivalry

Threat of

New

Entrants

BargainingPower ofSuppliers

Threat of

SubstituteProducts

BargainingPower of

Customers


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Threat of New Entrants:

Weak distribution networks mean goods are more expensive to move around and some

goods dont get to the end customer. The expense of building a strong distribution

network positively affects SNL

High capital requirements mean a company must spend a lot of money in order to

compete in the market. High capital requirements positively affect SNL

Economies of scale help producers to lower their cost by producing the next unit of

output at lower costs. When new competitors enter the market, they will have a higher

cost of production, because they have smaller economies of scale. Economies of scale

positively affect SNL

High switching costs make it difficult for customers to change which products they

normally purchase, due to costs. High switching costs positively affect SNL

When the learning curve is high, new competitors must spend time and money studying

the market before they can effectively compete. High learning curves positively affect

profits for SNL

Bargaining Power of Suppliers:

A high level of competition among suppliers acts to reduce prices to producers. This is a

positive for SNL

When there are a large number of substitute inputs, suppliers have less bargaining

leverage over producers. This is due to competition among substitutes. Greater

competition positively affects SNL

The easier it is to switch suppliers, the less bargaining power they have. Low supplier

switching costs positively affect SNL

Bargaining Power of Customers:

When customers require special customizations, they are less likely to switch to

producers who have difficulty meeting their demands. Buyer customization positivelyaffects SNL

When there are large numbers of customers, no customer tends to have bargaining

leverage. Limited bargaining leverage helps SNL

When customers have limited choices they end up paying more for the choices that are

available. Limited buyer choices are a positive for SNL


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Chapter-3 Training activity

3.1 Capital market (Department)

3.1.1 Introduction:

The Capital Market is a market for securities, where companies and governments can raise long-

term funds. SNL collects the majority of capital offerings made by companies in their coverage

universe, including common and preferred equity, trust-preferred securities, convertible and non-

convertible debt as well as medium-term notes. SNL provides granular financial market data on

individual offerings including offering terms, execution method, underwriter and legal adviser

roles and overallotment detail. Individual offerings link to capital structure detail: amounts

outstanding, current pricing, as well as relevant documents and proprietary articles from SNL's

news coverage on capital-raising activities.

3.1.2 Need for department:

Many players, many roles.it can all be very confusing..

Practically getting the needed information from capital market is very complex and lengthy

process, SNL allows clients to spend less time acquiring and manipulating data by providing

them up-to-date information in simple form.


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3.1.3 Clients:

Although the Capital Markets and Market Data information is accessed by over 3,000 client

companies, Investment Banks, Investment Managers, and Commercial Banks account for

68% of SNL total hits.

The following are major user of capital market data provided by SNL:Corporate issuer

Investment bankers

Syndicate

Sales & trading-----Equity &Credit research

Investors


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3.2 Task assigned

3.2.1Capital offerings:

A Capital Offering is the action through which a company (the issuer) raises capital through the

sale of a security. SNL tracks all capital raising activities for companies in the Financial

Institutions, Real Estate, Energy and Media & Communications industries, providing

comprehensive coverage of equity, convertible and non-convertible debt and trust preferred

security issuances. These records are each associated with a record in SNL Capital Structure

database, which is tracked in the Funding form. In addition to collecting and publishing details

on individual offerings, we also publish Capital Offerings League Tables. A league table is a

basic ranking of all underwriters over a period of time. This information if collected on an on-

going basis throughout the period as we enter the offering records.

3.2.2Sources of Data:

The vast majority of data comes from SEC (Securities and Exchange Commission) filings.

Document checking processes is one of the most robust at SNL, in which employee review

around 50,000 documents per quarter, mining for data in almost all document types. SNLs

biggest resources are Registration Statements, Prospectuses, 8-Ks, 10-Ks and 10-Qs. They also

check PRs, which are a great source of data; however the vast majority of them do not contain

relevant information. In addition to SEC documents, SNL also review external websites such as

Reuters and The Fly on the Wall and attempt to make contact with individual people at both

issuers and advisory companies. Also, in an effort to ensure that underwriter information is as

complete as possible prior to publishing quarterly league tables.

3.2.3Domestic Subsidiary and Domain Coverage:

When it comes to geographical presence SNL do not cover the Capital Structure or Capital

Offerings information for any non-GAAP current company. However, it covers any security

issued by a majority-owned GAAP current company, if the subsidiary's balance sheet isconsolidated to the GAAP current parent company. Basically, if any majority-owned subsidiary

of a GAAP company issues a security that would otherwise fall within our coverage standards

above, we will enter this record and track any information related to this record under the

subsidiary company. The only exception to the subsidiary coverage rule is in the Real Estate

domains where we will place subsidiary issued records under the parent company.


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3.3Funding form:

To access the Funding form (Funding) in WEST, click on File -> Funding -> Funding or click on

the Funding button in the toolbar at the top of the WEST window. The Funding form has

seven different tabs.

The following is the explanation of tabs in detail:

General- This tab contains the basic information about the security. It includes such information

as the Type, Status and unique identifiers.

Funding Outstanding- This tab contains information about the quantity of a particular record

that is outstanding on a given date. This will typically be updated on at least a quarterly basis.

Puts & Calls- This tab contains information about when the security will mature (expire). It also

houses information about optional or mandatory redemption, call, conversion and put


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information.

Rates & Ins. - This tab contains information about the amount of return the security holder will

receive (interest rates). It also has information about the secured status of the issue and who (if

any) is insuring against default.

Prices- This tab contains public pricing information. This tab is not updated or maintained by

Capital Markets.Market Mkr/Spec. - This tab contains information about Market Maker companies for a specific

security. This tab is not updated or maintained by Capital Markets.

Summary- This tab will contain a list of securities based on the search criteria used. You can

update the columns that will display on this tab by using the button.

3.3.1Types of Funding Records:

In the majority of cases, the document will be clear as to what type of funding you are working

with. It was say clearly common or preferred equity, senior or subordinated debt. You must not

take these key words as definitive proof that the record is or is not senior or subordinated debt

without question. If you are working with a prospectus or registration statement, you must

carefully read through the entire document, and verify that the funding type is correct. If the

document is not clear, you can also consult other issues by the company. If there are similar

issues, you can consult the source documents and F2 notes to see what information was used to

determine the funding type.

Common Equity - securities that represent equity ownership in a corporation and typically has

voting rights.

Preferred Equity - securities that represent equity ownership in a corporation, typically does not

have voting rights, and pays a dividend.

Debt - A contractual agreement made by the issuing company (debtor) to make regular

scheduled interest payments and to repay the original amount borrowed (principal) to the holder

of the securities (creditor) by a specific maturity date.

Subsidiary Trust Preferred - securities that are issued by the company's subsidiary trust created

for this specific purpose. These securities are treated as debt for tax purposes, but treated as Tier

I capital by rating agencies and regulatory bodies.


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Line of Credit - A type of credit in which a bank undertakes to provide credit to a Company

during a predefined period of time. The company may either withdraw the credit amount all at

once, or make certain number of withdrawals during the specified period. It is the notion

encompassing all types of loans marketed to all sorts of borrowers by lenders. There are four

major types of credit facilities: committed facilities; revolving credits; term loans; and letters of

credit, equipment lines. We currently cover revolving credit facilities within the Energy, RealEstate, and Media and Communications industries that are used for general and working capital

purposes. Revolving credit facility means an agreement by a bank to lend a specific amount to a

borrower and to allow that amount to be borrowed again once it has been repaid, also called

revolving credit.

3.3.2Common Equity Funding Entry:

A common stock KeyFunding record is typically first entered when the company files its

original registration statement for an IPO, typically an S-1, S-4, S-11, etc. At the time the initial

registration is filed or entering first time into records, the Funding record would be entered from

scratch.

Funding Status

The Funding Current field indicates the current state of the stock that the Funding represents.

There are three possible states that stock can be in and one option unrelated to the status of the

stock.

1) Pending- Indicates that the stock has not been issued yet. This status is used when a company

states their future intentions to issue stock however no stock exists currently. A Pending

Funding record would be entered to reflect the preliminary terms of the stock planned to be

issued.

2) Current- Indicates that the stock is currently outstanding. This status is used when a

company has either completed an offering of stock or that private stock currently exists. Funding

records marked with this status should have an outstanding row that reflects the number of

shares that exist and are outstanding.

3) Historical- Indicates that the stock did exist at some point in the past however there are no

shares currently outstanding. This status would be used if a company repurchased all of their

shares outstanding or if they were acquired and their stock was exchanged for shares of the


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acquiring company. This status needs to be accompanied by the FundingEnded date in which the

shares were no longer current. This would be the date the shares were repurchased or when the

shares were exchanged due to an acquisition. FundingEnded should only be populated when the

FundingCurrent status is Historical.

SNL Error- Indicates that SNL does not want to reflect this Funding record. This is a value that

is used to remove data from the product. If a duplicate entry was made for a stock that was

already entered in WEST, the duplicate Funding should be marked as SNL Error and deleted so

it is not reflected in the product.

Description of the Stock

The description is a loosely standardized description of the securities represented by the

Funding. The standard being to capitalize the first word of the description, which holds true for

all securities we collect and to reflect the par value of the stock after the brief descriptive terms.

Common equity may be referred to using a few different descriptive terms.

Common Stock- This is going to be the most commonly used description for common

equity.

Common Units- Equity described in this manner will be issued by Energy companies,

some REITs and a few large banks.

Ordinary Shares- This is the commonly used description for common equity outside of

the United States.


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3.3.3Primary Issue

The common stock of a company is typically considered to be its Primary Issue. It is the most

frequently used form of equity and is the most basic unit used to establish the total equity value

of a company. The price of one share of primary common stock is used to calculate pricing

ratios (for example, Price/Book) and other statistics associated with a company.

A company may have multiple classes of common stock, each of which will generally serve a

specific purpose. When a company has multiple classes of common stock, only one can be

considered the primary and, in most cases, only one class will trade (this is the generally the

primary).

General Guidelines for Determining the Primary Issue:

If only one class trades, the primary issue will always be the traded stock.

If multiple classes trade then it will be the most actively traded common stock.

If one class is convertible into the other, the stock into which it converts into will be the

primary.

If the only stock with an outstanding amount is convertible into another series that

currently has no outstanding shares itself then mark the convertible issue with shares

outstanding as the primary issue until the other class of stock has an outstanding number

of shares.


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3.3.4Traded Issue and Trading Information:

Select Traded Issue -> Yes or No and add the Exchange and Trading Symbol, if applicable.

For common stock that trades publicly at the time of entry:

Mark the funding record as Traded Issue = Yes.

Enter the appropriate exchange and trading symbol.

For common stock that does NOT trade publicly at the time of entry:

If the company does NOT have plans to trade the security on an exchange, enter

Traded Issue -> No and leave the Exchange and Trading Symbol blank.

If the company has plans to trade the security on an exchange, and does NOT

currently have any shares of this security outstanding, enter Traded Issue -> Yes

and enter the appropriate Exchange and Trading Symbol.

3.3.5Funding Tickers:

If the stock is traded, the trading information on the Funding form will also need to be updated

on the Funding Tickers form. The FundingTickers form is a sub form of the Funding form that

exists in WEST-X. It includes information both current and historical about the exchange and

trading symbol of a particular security. It is connected to the funding record by sharing the same

KeyFunding number. All pricing information will be driven off of this form, and the form will

allow the product to pull in historical information on the security and historical pricing

information. It will permit users to view the chronological listing history of a particular security.

Every funding record will need to have the accompanying FundingTickers form filled in. Any


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time we are editing an old funding record or adding a new funding record, we check the

FundingTickers form to make sure that all the relevant information has been added to the form.

The FundingTickers formed can be accessed through any Funding form by clicking on the

Trading Symbol link in blue under the Exchange box as shown below:

The fields below it are entry fields.

Unique Identifiers:

Each traded security has a unique identifier assigned to it which allows for distinct

identification. Depending on the geographical location of the issuance, the security will receive

either a CUSIP or SEDOL and an associated ISIN.

CUSIPs are assigned to securities issued within the US

SEDOLs are the most commonly used identifiers outside of North America

ISINs are issued despite the location of issuance and whether a SEDOL or CUSIP was

assigned to the security.


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Key Currency:

This will default to the currency in which the Financials for the KeyInstitution are entered. The

Primary Issue should always match the currency of the company's financials.

Voting Rights:

This field reflects whether the shares entitle the holder to vote in the election of directors, in theappointment of auditors, or in other matters brought up at the annual meeting. Most common

stock is voting stock.

We collect:

Whether a particular stock has voting rights

How many votes the stock entitles the holder to

Common equity is usually the only form of equity that carries voting rights however preferred

equity can hold voting rights. One share of common stock usually entitles the holder to a single

vote, although some securities carry multiple voting rights.

The registration statement will usually have a section of the document referred to as "Description

of Capital Stock". This section will often provide details regarding many of the attributes of the

stock including the voting rights.


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3.3.6Prices and Dates:

Par value- The nominal value of a security which is determined by the issuer as a minimum

price and allows the company to assign a minimum value for the stock on the balance sheet. The

value represents the portion of the net offering proceeds that are assigned to the equity account,

rather than to additional paid-in capital.

Origination Price- Price at which a security was originally sold, or, if a security began trading

without the benefit of an offering, the price at which the security began trading. This will

usually be the offering price of the IPO offering record. A private placement may preclude the

initial public offering, in which case the Origination Price should match the private placement

price UNTIL there is an IPO. At that point, the Origination Price should be overwritten to match

the IPO price.

Origination Date- The Settlement Date of the first offering associated with the stock (or the

Completion Date, if the Settlement is not available). Similar to the Origination Price above, if

the company has had an IPO, this should match the Settlement Date of the IPO (or the

Completion Date, if the Settlement is not available). If there was a private placement prior to the

IPO, this date will match the Settlement Date of the private placement until the IPO takes place.

At that point this will be updated to match the IPO.

First Trade Date- The first date that the shares are quoted on any exchange. If they are dually

listed or have changed exchanges, we should still reflect the earliest date that they traded on any

public exchange. Do not update the first trade date to reflect a change in exchanges.

Sources-Sources will be reflected and available at the bottom of the Funding form. Any source

document that is used to update the Funding record at any time should be added as a source.

This should include ALL registration statements and prospectuses related to the security. This

does NOT include documents that are used to update outstanding amounts.


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4.1Outstanding shares:

Along with many attributes of the security, west also reflect the outstanding amount over time,

of the securities that we cover . The outstanding values and fields should be updated after each

issuance of primary shares to public or private investors, which will take place after the offering

has completed. The Funding record should be Current at this point. We should never have an

outstanding row entered for a Funding record that is marked as pending and all records that are

marked as Current should have at least one outstanding row.

Outstanding amounts are reflected by using two fields under the funding outstanding tab:

Shares/Liquidation Value As Of - This field is just as important as the Shares

Outstanding. Enter the date in which the shares are being reported as outstanding. If the

outstanding row is being added as a result of an offering, use the Completion Date from

the related Offering record. The Completion Date represents when the purchase or sale

of the shares is actually executed, and when the shares can begin to trade.

Shares Outstanding- The number of shares issued by the company that are not being

retained as treasury shares. This includes both trading and non-trading shares.

When an offering of stock is made, we need to update the outstanding share count. This should

be timed with the completion date of the offeringwhich in most cases will equal the pricing

date. Exceptions to this rule include bought deals, part of forward sales, and offerings that

contain a subscription window. The update should be made by adding the number of primary

shares sold through the offering, to the previously entered outstanding share count.

Outstanding amounts are to be updated after every offering in which primary shares are sold.


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Maintaining Common Stock Outstanding

One of the most important and widely available pieces of information about a company is the

number of its common shares that are outstanding. The actual number outstanding is reported in

a variety of different document types, including all financial filings as well as some 8-Ks,

Registrations, Prospectuses, etc. The number of shares outstanding is also affected by any

number of actions, including repurchases and offerings. At any point during the course of ourworkflow we see an action that could cause the number of common shares to change, we need to

make an update to the shares outstanding accordingly.

1) If we get to the document first, but do not enter the shares outstanding, or enter them

incorrectly, and the client catches this prior to the accounting group reaching the document, we

will receive an error.

2) If we get to the document first, but do not enter the shares outstanding, or enter them

incorrectly, and the client catches this after accounting went through the document, both groups

will receive the error.

3) If we get to the document first, enter correctly and accounting changes it to an incorrect value,

they will get the error.

4) If we get to the document after accounting and do not correct an incorrect entry, and no

task/email for verification is sent on, we will get an error.

5) If we get to the document after accounting and change it to an incorrect entry, we will get the

error.

6) If we get to the document after accounting and the client calls in before we get to the

document, only accounting will get the error.

Similarly, for company calls, if you are checking a document and need to confirm information

related to the common shares outstanding, if the company is GAAP covered, you should enter a

company call task for the GAAP covering analyst to confirm the necessary details. This does

NOT apply to confirm details related to an offering, but only if there is confusion around

updating the CSO from a document. You must be sure that a duplicate task is not already

entered, and include as many details as possible around what you are requesting. The only time

this procedure would NOT apply to CSO related company calls is if you are checking a

document for an Media & Communications company. Any call tasks for confirming the CSO for

an M&C company should be entered for Company Relations instead of the GAAP analyst for


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that group. Tasks for every other industry should be entered for the GAAP analyst.

The basic guidelines for updating common stock outstanding are listed below, and must be

followed.

1) Check to make sure the common stock outstanding is updated as of the date reported in thedocument (many times for 10-Qs/Ks this number will be reported in the document as of quarter-

end, but at the top of the document as of the day the report was published).

Top of the Document:

You must be sure that this value is exclusive of treasury shares & rabbit shares and inclusive of

restricted stock to arrive at the appropriate number of shares outstanding. You should take an

extra second to compare the number of shares at period end in the balance sheet, and the number

of treasury shares to the number of shares listed at the top of the document in order to make an

accurate determination of the shares outstanding.


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In the Balance Sheet:

2) If the shares outstanding have not been updated, check the F2 note under the general fundingas shown in the screenshot:

If there are any special instructions, you must look through and follow those instructions exactly

as they are written. If there is any confusion with these instructions, an urgent task needs to be

created for the relevant accounting group, and that team's Manager needs to be emailed a

message that we could not enter the common shares outstanding. (Note: If there is no confusion,

enter the common shares outstanding as we will be held accountable for any unnecessary tasks

that are entered into the system)

3) If there is no outstanding value entered for the relevant time period, and there is no F2 note

under the general funding tab, as is the case above, we must enter the outstanding shares and the

as of date as provided by the document.

If the document lists shares outstanding, but does not have an as of date, you should use

the filing date of the document.


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If the filing date is not available, use your best judgment in determining the date of the

shares out. If, for example, the document lists the shares outstanding as of quarter end,

and lists a different value elsewhere in the document, you can use the signature date of

the document.

4) If we think that the common shares outstanding are incorrect and you have a justifiable

reason, we send the information along to the relevant accounting group manager to investigate

the matter further.

Common shares outstanding may need to be updated on an interim basis using information that

we receive from a document like a prospectus or an 8-K. This document may give information

about the shares issued, but no information related to treasury shares, rabbi trust shares, or

unvested restricted stock (We do not include treasury and rabbi trust shares but we do want to

include unvested restricted stock in the outstanding that we collect). If the number that you are

entering from these documents is significantly different than the previous value (greater than

1%), you should investigate to see if any offerings have completed during the time since the as of

date of the most recent row. If you cannot find anything to which you can attribute the

difference, enter an urgent task for an analyst in Charlottesville to further investigate and call the

company for verification where necessary. The recent EIS case stemming from the document

below is a good example:


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This is a screenshot dealing with KF 157751 that came a month after the offerings prospectus.

The offering prospectus was filed on 10/2 and shows below:

Circled is the only information regarding shares outstanding contained in the document. Now as

you can see receiving this document on 10/2 the share count would be significantly different

from what we had entered for the next most recent row well above the threshold of 1%. At this

point we should look for additional offerings in the system between that times that someone just

missed updating the shares outstanding from. If this does not exist, then we need to go ahead and

enter a task for the matter to be further investigated. Unfortunately the additional shares could be

attributed to shares held by the treasury, and we updated the shares outstanding to include these.

5) Non-Document Source - if at any point you update common shares from a company call or

other non-document source, you must leave a detailed F2 note indicating the source of the

information.


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4.2Authorized Shares:

This is the maximum number of shares of stock that a company can issue. This number is

specified initially in the company's charter, but it can be changed with shareholder approval.

Generally a much greater number of shares are authorized than required, giving the company

flexibility to issue more stock if and when needed.

This data is collected in a very similar manner to common stock outstanding however we will not

be sharing the responsibility to maintain this field with the Accounting group like we do withCSO. We need to update authorized shares over time with the most recent disclosed values

however we will not be storing historical values so there is no need to collect historical values

when completing a backfill.

Unlike common shares outstanding for public companies, the number of authorized shares a

company can issue does not change very often. The number of shares authorized shares for a

company usually far exceeds the number they currently have issued. It will also never be

necessary to reduce or exclude from the reported value any specific type of shares(treasury,

unvested restricted stock, etc.) making authorized shares a much easier data point to collect than

common shares outstanding. To be clear, we should always take the reported value.

We only collect authorized shares for common equity. Even though the field is available for

other Funding types and it requires approval to change the number of preferred shares in

issuance, we will not be collecting this data for any other Fundingtype than common equity. In

the case that the company has multiple classes of common stock in issuance and each class has it

own authorized share count, the number of authorized shares for each class should be collected

separately on the appropriate Fundings.
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5.1.1 Capital Markets Document Checking Procedures:

Document Checking is a process used by Capital Markets (and across the majority of the content

groups at SNL) to gather information. Through this process they review more than 40,000 SEC

and other documents per quarter in an effort to ensure that the information they collect is

accurate, complete and up to date. The process generally starts with the dashboard, and includes

at least two analysts reviewing the document and entering/approving information in WEST and

leaving detailed feedback on the Documents form and in F2 notes on the affected Fndg and

Offerings records.

The first thing to remember is that SNL is solely responsible for all information enclosed in the

documents that come through document workflow. It is of utmost importance that SNL should

fully update all possible information from every document that they check, and that they do so in

a timely manner. The Capital Markets DocChecking timeliness guarantee is currently 5 days, soit is imperative that they check documents as quickly as possible, without sacrificing the

accuracy of the information they collect. It also need to keep in mind other groups' datasets, and

route appropriate documents to them using the DocRouting matrix and procedure matrix and

create tasks for other groups that do not check documents. One other thing that was to be

checked while processing a document is that if there is any document which is tagged with a

company and the information contains in that document is of a different company then it should

notify Filing Services department by filling in Document error form. For instance, KD 13376926

was actually filed by BSB Bancorp but it was being incorrectly tagged with BCB Bancorp.

SNL also need to keep an eye out for other pieces of information that may or may not directly

affect our data or require a document to be routed. Essentially, this means that just because it's

not included in the DocRouting matrix above, does not mean that it should not keep an eye out

for it and support other groups' data collection efforts. One such piece of information that they

need to watch for is splits. If we encounter information about a split, then it must send that

document and a relevant excerpt from the document to the Market Data Management group by

creating a task for that group.


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5.1.2 Document Types and Frequent Information Location:

Press Releases (PRs), 8-Ks

When there is information that capital markets collects in these documents there is important

information about the pricing of an offering or about underwriters on a private placement that

we will often not get information on from other sources. Keywords to search on are

"underwriter" "agent" "sales agreement" "pricing" "revolving facility" "letters of credit"

"maturity".

When using the Document Highlighter described below, use the selection of Credit Facility

when checking an 8-K having to do with a credit agreement. Press Releases are not long

enough to warrant the use of the Document Highlighter. When checking an 8-K that is not a

credit facility use the Final Prospectus option if it is an underwriting agreement or Financial

Documents if it is another type of agreement.

S-1, S-11/A, N-2, S-3 (Registration), 424B4, 424B3, 424B5, FWP (Prospectus)-

These document types almost always have information that is vital to capital markets. Be

sure to attach the document you check to any relevant offering or funding records regardless

of if you make an update from that document or not. Also leave the feedback of which

records you attached the document to. Keywords to search on are "expenses" "underwriter"

"price" "outstanding" "proceeds" "maturity" "cusip" "settlement" "best efforts".

When using the Document Highlighter described below use the Final Prospectus selection,

IPO, or RegProsp selection.

10-K, 10-Q, FinSupp, Earnings Release (ER)

These documents are also almost always containing vital capital markets information and we

need to be sure to get all the information we can out of them. They often have updates in

tables that allow us to update our funding records outstanding. For the 10-K and 10-Q

documents search the long-term debt section of the balance sheet, the note usually called

"debt" or "long-term debt", the "subsequent events section", and the "liquidity and capital

resources" section. Keywords to search on "facility" "revolving" "offering" "trust preferred"

"subordinated debt" "junior subordinated". When using the Document Highlighter described

below use the Financial Documents selection.


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Document Amendments

A company is required to file an amendment to a previously filed document if factually

incorrect information is discovered within the filing. These documents can be identified by

an "A" after the filing type. For example if a company reports incorrect shares out in a 10-K,

they are required to follow-up with a 10-K/A to report the correct value.

It is important to recognize the document as an amendment when the filing is checked outbecause the document that is being reviewed may be reflecting information from a much

earlier period. Not recognizing this fact can result in making data updates that are no longer

current. We received an error regarding a credit facility that was updated from an 8-K/A filed

in 2010 to provide schedules that were not provided in the original document filed in 2005.

The analyst updated the maturity date of the credit facility according the original credit

agreement from '05 however the facility had subsequently had its maturity date extended. We

were no longer reflecting current information due to the misconception that an older

agreement was a recent filing.

Deregistration Statements

This document is filed to either give notice of the termination of registration or the

termination of duty to file reports related to the security. This does not mean that the security

is being extinguished. Before making any updates to a security as a result of this filing, it is

important to understand what is causing the company to file the 15D. It may be that the

company is having structural changes (change in location, acquisition, etc.) that should not

result in the security being made historical. This was the case in a recent filing in which the

reporting structure was being changed from the subsidiary to the parent which did not affect

our coverage in any way.

Document Feedback-

The Document Feedback form in WEST is a useful tool to help track the changes that were

made in a document, and any questions that may have arisen for the entry analyst. This will

allow the approver to go to that form, read through the feedback and understand the kinds of

changes that were made and questions that came up while checking this document. They will

then have a good idea of what to specifically look for while checking the document. This

does not relieve the approver of responsibility for the entire document, but will make it a bit


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easier for them to focus on what the entry analyst did and did not understand. It will also

ensure that the approver knows what data was edited, and can be sure to get all of it approved

in a timely manner. This is also where the entry analyst will be rated on his/her work, and

will provide a means of tracking his/her progress towards being proficient with the data and

becoming an approver. Document Feedback Ratings guidelines can be found here.

It is not generally reasonable to expect an analyst to enter feedback on EVERY document.For example, many PRs contain no relevant information for Capital Markets, but you must at

least put the words "no changes" or "nc" in every document.

PRs, 8-Ks

More often than not, these document types contain no relevant information for Capital

Markets. They are also the highest volume of documents that we check. Given those two

facts, it is not necessary to enter feedback for EVERY PR or 8-K that we check. For PRs, if

the document in question does not contain any information that is relevant for Capital

Markets, you are not required to write feedback. For 8-Ks, if the document in question does

not contain any information that is relevant for Capital Markets, you should write "no

changes" or "nc" for short. If the document in question contains relevant information or you

have any questions related to it, you must leave feedback for the approver indicating that the

changes were made and/or what the questions may be.

10-K/Q, FinSupp, ER, Registration, Prospectus, etc.

More often than not, these documents DO contain information that is relevant for us. They

contain information such as outstanding values/units, new offerings, amendments, etc., all of

which typically require us to update and/or verify the information that is in WEST. Given

that these are relevant documents, it is necessary that information is entered into the feedback

form for EVERY one of these docs that we check. If the document in question does not

contain any information that is relevant for Capital Markets or requires updates to be made,

simply enter 'NC' or 'No info' or something similar into the feedback form. This will indicate

to the approver that the document was thoroughly checked, but that the entry analyst did not

find anything that warranted changes. If the document in question contains information that

is relevant or causes changes to be made in WEST,