E L RECONOCIMIENTO DE LA J URISDICCIÓN C ONTENCIOSA DE LA C ORTE I NTERAMERICANA DE D ERECHOS H UMANOS EN EL S ISTEMA J URÍDICO M EXICANO

Tratados Internacionales sobre Derechos Humanos La Suprema Corte de Justicia de la Nación señala que los tratados internacionales relativos a los derechos humanos. “…son aquellos que directa o indirectamente afectan, inciden o interesan a la protección de dichos derechos, en tanto que su objeto y propósito es el reconocimiento, o bien la protección de los derechos fundamentales de la persona humana.”

Background Hospital Corporation of America HCA is a proprietary hospital management company that owns and manages chains of hospitals on a for-profit basis. The company has been following an acquisitive strategy by taking over hospital companies and not-for-profit hospitals, also the constructions of new units. The firm grew to become the nation’s largest hospital management company. It’s ambitious construction and acquisition program also required substantial financing from external sources

Introduction Problem Data & Analysis Conclusions Background HCA is facing a complex financial situation with their ratio of debt to total capital approaching 70%, as opposed to a target ratio of 60%. The company faces the problem of deciding what should be done to its capital structure and whether reducing the ratio of debt to total capital to match the target ratio would lead to improved performance. Recommendations

Introduction Problem Data & Analysis Conclusions Background Impact of the changing regulatory environment HCA has focused on an acquisitory strategy especially by taking over not-for-profit hospitals in the short term to increase its market share in the long term instead of maximizing profits in the short term and losing out in the long run. HCA’s financial strategy vs product market strategy HCA on the other hand has softened its image with lower profit margins to convince the altruistic owners of not-for- profit hospitals to sell to HCA. Recommendations

Introduction Problem Data & Analysis Conclusions Background FINANCIAL GOALS 25% increase during the next few years Target debt/equity 60% Maintaining a dividend growth rate of 15% Capital expenditure of $575 million in 1982, the level could be expected to expand by 20% a year for the next several years (5 years) Roe 17% Recommendations

Introduction Problem Data & Analysis Conclusions Background Future growth can be expected as well because of increased occupancy rates and additional services from the additional acquisitions, which translates directly into higher earnings. With a capital structure of 60%, HCA is not able to reach target profitability goals of ROE at 17%, at a 25% growth rate. HCA should not be concerned about losing its single-A bond rating, facing its growth plans, because its major competitors’ credit ratings range from BB+ to B+. The firm should not consider issuing equity to fund its capital expenditure because the firm would incur higher flotation costs by incurring equity Recommendations

Introduction Problem Data & Analysis Conclusions Background Concentrate on improving the not-for-profit hospitals and getting them up to speed with HCA’s current quality reputation, and reduce the capital expenditure. Focus on profit maximization to boost the firm’s stock price. Ensure that leverage is increased to its optimal level of about 65% Maintaining a steady rating and access to the debt markets. Sustaining dividend growth rate to keep shareholders content. Recommendations

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