$900 million in 1992. Moreover, until global economies begin to show significant strengthening, it is very possible that such a trend could continue. The implications of such circumstances have extended as far as the financial markets. In 1992, Gulfstream Aerospace Corporation's plans to ease its acquisition debt with a $100 million initial public offering were rejected by Wall Street (Hawkins, 1993, p. 114).
Lately, although Forstmann, Little, & Company has not yet produced any profits, it has been reporting positive cash flow. Furthermore, in anticipation of Gulfstream V's development, the company has been restructuring its finances. In 1990, it converted $450 million in subordinated debt to preferred stock (Board has new, 1993, p. 63). This action left Gulfstream Aerospace with less debt and $450 million in equity. Also, more recently, Forstmann, Little, & Co. has invested additional fun
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