Case Name :      DSC Communications Corporation

Authors :           Kenneth Eades

Source :             Darden School of Business

Case ID :           UV0077

Discipline :        Finance

Case Length :    22 pages

Solution Sample availability : YES

Plagiarism : NO (100% Original work)

Should South Bank offer a lower rate or more lenient loan terms to compete for a $120 million working-capital facility agreement with a telecommunications corporation? In this case, students are placed in the position of Yousuf Omar, a relationship manager at SouthBank (SB) whose longtime prospect, DSC Communications Corporation, has asked SB to bid as the agent bank on a $120 million working-capital facility. This could be an ideal client given the opportunity for significant credit and other business in the years ahead. To win the bid, however, Omar must be willing to recommend to his superiors that the bank aggressively pursue the deal by offering a lower interest rate or more lenient security and covenants for the loan than its rival bank has offered.