Please correct this text: The xyz company was founded as a management holding...

[Lissy]

Dear Torsten and the other teachers,

please correct the following text, regarding the sentence construction and the grammar. Thank for your help:

The xyz company was founded as a management holding company and assumes the management and control function in the interests of her municipal shareholder. After its interception all shares from the municipal shareholder were transferred to the xyz company. The business activities of the several enterprises belong in-cludes the following main sections:
• Electricity, Gas, Community Heating (A-Company),
• Drinking Water, Wastewater (B-Company) and
• Transportation (C-Company).
The operational core businesses and personal responsibilities of the enterprises are not limited. With the coordination and bundling of the service functions which do not belong to the operational core business, the efficiency is increased and synergy effects are achieved. Therewith, the enterprise-covering activities support the associated companies in their economic management. The conceptual work of the individuals responsible for the enterprises is performed on the basis of a guide-line coordinated with the society from the municipal shareholder. Technical and mental cross-linking is a condition for the success of this task.

The xyz companies consolidate there balance sheets for a concern annual report every year. The consolidate balance sheet are eliminated for internal overturns and other special issues, for example the good will.
Also every year the xyz holding and there companies makes a economic-plan for a optimal financial and liquidation management. The economic planning includes some further investment decisions and the summary of the financial requirements. Supplementary there are an separate financial plan and an separate liquidity plan for short term and long-term capital management. This planning instrumentation contributes to increasing cash balances available for transactions, precautionary, and speculative events and cover required compensation to banks as well as provide for investments.

The sole shareholder from the xyz company is ... The share port-folio from the ..includes a lot of municipal companies. The most of them are also municipal utilities in several sections, for example housing corporative, health service, administration and education. These companies are organized in different juristic forms, but the most of them are a legal entity with a separate legal personality. The others are companies without separate legal entity exis-tence, they are including and limited from there shareholder.

In the order of there shareholder the municipal utilities have the same target: They must supply the citizen of there town and they are responsible for the limited municipal capital for necessary investments. The companies must planning, investing and financing several expensive activities associated with low capital budget. They must finance fixed assets, also called noncurrent assets, plant, equipment, machinery or financial assets for own strategically and profitability shares. In every asset commitment there is risk. Risk is generally considered to be the possibility that economic return from an investment may be lower than anticipated or even negative. Risk is a central issue in considering whether to invest in any asset. In consequence of this problem the companies’ main target must be, to bring the level of risk to be in line with the expected rate of return. The appropriate mix of short-term and long-term debt for minimizes overall cost of capital within the range of shareholders risk preference.
The cash management is also an import part of the short-term financial strategy from the ..., because the ability to pay and the profitability are impor-tant facts for a successful company. To reach this target the xyz company had in-troduces a cash-management-system in 1999.

Regards

Heike

[Torsten]

Hi Heike,

Please find some of my suggestions below. You might want to consider writing short and simple sentences and replacing some nouns with verbs. I would be interested in knowing where you took the vocabulary and phrases from? I mean, how often do you write texts like this? Do you have any business adminstration books in English?
Thanks,
Torsten

The xyz company was founded as a management holding company and assumes the management and control function in the interests of ITS municipal shareholder. After its interception all shares from the municipal shareholder were transferred to the xyz company. The business activities of the several enterprises belongING to the company include the following main sections:
• Electricity, Gas, Community Heating (A-Company),
• Drinking Water, Wastewater (B-Company) and
• Transportation (C-Company).
The operational core businesses and personal responsibilities of the enterprises are not limited. With the coordination and bundling of the service functions which do not belong to the operational core business, the efficiency is increased and synergy effects are achieved. THAT WAY, the enterprise-covering activities support the associated companies in their economic management. The conceptual work of the individuals responsible for the enterprises is performed on the basis of a guideline coordinated with the society RUN BY the municipal shareholder. Technical and mental cross-linking is a condition for the success of this task.

The xyz companies consolidate there balance sheets for a concern annual report every year. The consolidate balance sheet is RESTRICTED TO internal turnover and other special issues, for example the good will.
Also every year the xyz holding and its companies CREATE a BUSINESS PLAN IN ORDER TO OPTMIZE THEIR FINANCE and liquidation management. THIS PLAN includes some further investment decisions and the summary of the financial requirements. IN ADDITIION, there are a separate financial plan and a separate liquidity plan for short term and long term capital management. This APPROACH contributes to increasing cash balances available for transactions, precautionary, and speculative events and cover required compensation to banks as well as providING FUNDS for investments.

The sole shareholder OF the xyz company is ... The share portfolio OF ... includes a lot of municipal companies. Most of them are also municipal utilities in several sections, for example housing corporative, health service, administration and education. These companies are organized in different LEGAL FORMS, but most of them are legal entitIES with separate legal personalitIES. The others are companies without separate legal entity existence, they are including and limited from THEIR shareholderS???

In the INTEREST of THEIR shareholderS the municipal utilities have the same target: They must supply the citizenS of THEIR town WITH SERVICES and they are responsible for the limited municipal capital for necessary investments. The companies must plan, invest and financEseveral expensive activities associated with low capital budget. They must finance fixed assets, also called noncurrent assets, plant, equipment, machinery or financial assets for own strategically and profitability shares??? In every asset commitment there is A risk. THE possibility that economic return from an investment may be lower than anticipated or even negative IS GENERALLY CONSIDERED TO BE A RISK. Risk is a central issue in considering whether to invest in any asset. AS A RESULT IT must be the companies’ main target, to bring the level of risk to be in line with the expected rate of return. The appropriate mix of short-term and long-term debt for minimizes overall cost of capital within the range of shareholders risk preference???
The cash management is also an IMPORTANT part of the short-term financial strategy OF ..., because the ability to pay and the profitability are important facts for a successful company. To reach this target the xyz company introduceD a cash-management-system in 1999.
_________________
Test Of English for International Communication
TOEIC Preparation & TOEIC Vocabulary

[Lissy]

Dear Torsten and the other teachers,

thanks Torsten for text corrections. In explanation for the kind and style of the text, I have read some books about auditing and financial management. The sentence there were also long and with nouns. Now I have write a new text and i hope someone could make correction for grammar and sentense construction:

"The main weakness of the prior system was the several manual worksheets and high risk of default. Manual worksheets includes a high error rate (Fehlerquote) and reduces the security of the planning and also the profitability of the require liquidity. An automatically system can reduce this problem, because once data entering aid the correctly distribution and planning process (straight trough processing). The pool handling company maintain the data on the electronic way and bring those automatically together. The cash manager get a higher planning security and more option for investment decisions.

The prior daily liquidity distribution as an addition of the monthly liquidity planning contains the excepted receivables and disbursements without considering the real transactions. For a later control from the plant payments and the real available cash it could be important to compare the liquidity distribution with the real bank report a day later. This would be reveals the deviation of realized cash receipts and cash disbursement in relation to the excepted cash flows and contribute the demand for a better analyse and controlling.

A supplementary automatically report could show the daily value of the liquidity reserves or liabilities. The report contain gives a cash flow statement, which includes the daily cash-inflows and the cash-outflows and long-term line of credit within the cash-pool of the xyz-company. Each company can control her budget and the daily state of the require liquidity and consequently a review about her receivables and payables.

The automatically system can also aid a due term decentralize liquidity planning with different periods of time. In the prior system required manual steps for the planning twice at month and the controlling was only possible for the period before. A comparison with different planning period would be a great advantage for the controlling security, because the comparison could be disclose deviation between expected payments and real receivables and disbursements.

An additional convenience would yield an automatically interest accounting. Through this the companies would see the receivables and payables to the other contract partners. They system could calculation the interests for each company per month appropriate the contract agreements for credit balance, for debit balance and also for not approved overruns of cash pool limit.

An extension of the prior cash management is management of marketable securities. Marketable securities are a means of preserving liquidity and yet earning some return, often a significant amount when interest rates are high. In fact, management of short-term investments (those with a maturity of one year or less) is a major phase of cash-management. In peak operating periods marketable securities are converted into cash and unneeded cash is reinvested in marketable securities. Managing marketable securities is preferably an active, strategically planned activity coordinated with overall financial needs and financing. As such, it should have its own goals and objectives. Strategies can vary form holding zero marketable securities and using bank loans for the temporary financing requirements of peak operating needs, to meeting all seasonal needs by selling marketable investments, to a compromise of holding some marketable securities and supplementing these with bank borrowings.

Investment strategies should be selected that parallel the goals of short-term investing. They may vary from those that promise safety, liquidity, low yield, and low risk to tactics that yield significant expected returns and require the assumption of definite risk. Or in other words, each assessment should relate to how well the achievements correspond to predetermined goals and objectives. These include varying security maturities, investment swaps, perhaps playing the yield curve, development of yield spreads, and possibly using financial futures. The strategies becomes much more effective when the manager couples them with studies of interest rates, practices the forecasting of interest rates, studies financial market and economic trends, develops yield curves, and analyzes portfolio management.

The new system should be connecting short-term cash positions with long-term elements for example loan agreements, financial futures and investment swaps. Investment swaps are experiencing declining importantly for the xyz-companies today, because a swap could be a security instrument for interest rates from loan agreements. For the better understanding the following example: An electric utility currently has outstanding a 5-year floating rate note tied to the prime rate. The prime rate could rise significantly over the period, so the note enter inter a swap with a counterparty, say, Citibank, wherein the utility would pay Citibank a fixed series of interest payments over the 5-year period, and Citibank would make the company?s required floating rate payment. As a result, the utility would have converted a floating rate loan to a fixed rate loan, and the risk of rising interest rates would have been passed from the utility to Citibank. Note, though, that a bank?s income tends to rise as interest rate rise, so Citibank?s risk is actually lower if it has floating as opposed to fixed rate obligations.

Lonter-term swap can also be made. Recently, Citibank entered into a 17-year swap in an electricity cogeneration project financing deal. The projekt?s sponsors were unable to obtain fixed rate financing on reasonable term, and they were afraid that interest rate might rise to the point where the project would be unprofitable. The projekt?s sponsors were, however, able to borrow from local banks on a floating rate basis and to arrange a simultaneous swap with Citibank for a fixed rate obligation."

One last questions: Do you know the term for "Wohnungsbaugesellschaft", until now a i have take "housing corporative". Is this correct or do you know a better one.

Regards

Lissy

[Torsten]