February 14, 2012

Economic and Business Outlook

by Douglas L. Williams, President and Chief Executive Officer

In December, I wrote about the structural limitations on economic growth imposed by heavy debt burdens in the household and public sectors.   It seems clear that correcting these excesses will define the fundamental direction of economic activity for the next three to four years, if not longer; however, the monetary policy response to current conditions may have an equally consequential effect on the future.

Central banks throughout the developed world have adopted accommodative monetary policies to ensure generous capital markets liquidity, stimulate economic activity, and keep interest rates low to protect over extended borrowers.  These polices have had their intended effect, at least in the short term.  Markets are functioning efficiently, credit is available for worthy borrowers, and the cost of servicing debt is at historically low levels.  There is little doubt accommodative monetary policy is appropriate for periods of turmoil and uncertainty.  The propitious actions of central bankers have probably saved us from global economic collapse, but at what price?

Easy money has historically resulted in an eventual rise in general price inflation and the creation of asset value bubbles.  Persistently low interest rates make it difficult for savers and fixed income investors to make adequate returns.  Rising rates of inflation further erode these returns, often resulting in negative real returns.  Leveraged speculation in asset values fueled by artificially low interest rates distorts the operation of fundamental market forces in those assets.

Apart from the appreciation recently apparent in gold and some commodities, inflation is currently quite modest and generally below levels targeted by the central banks.  So far, it seems central bankers have struck equilibrium between supporting a weak and vulnerable economy and risking broader price inflation and formation of asset value bubbles.  Only time will tell if this delicate balance can be maintained, but from history’s perspective, the greater probability is that inflation will re-emerge and we will pay a significant price for the palliative care of accommodative monetary policy. 

December 13, 2011 

Economic and Business Outlook, December 2011
by Douglas L. Williams, President and Chief Executive Officer

The economy rebounded modestly in the third quarter with higher consumer spending and export sales.   However, the inability of government leaders and central bankers in Europe and the United States to settle on solutions to correct heavy debt burdens and yawing budget deficits heightened anxiety about the future course of economic activity.  As a result, business managers and consumers are expected to maintain a largely defensive posture as we begin the new year. Read More >

December 9, 2011

Cutting Costs
Reviewing Analysis Statements Can Positively Impact Your Bottom Line

by Ashley Carson, Senior Vice President of Corporate Banking

In this challenging economic environment, I frequently come across clients who are scrambling to cut expenses. Companies can find quick improvement to the bottom line through what I call a “Deposit Checkup” - a detailed review and assessment of a company’s analysis statements. Read More >

December 1, 2011

Utilize one of your best assets: Your banker
by Brian Harper, Vice President, Corporate Banking

The best business advice I can give a company is to fully utilize its banker’s knowledge and network. If your company isn’t taking full advantage of your banker’s resources, you may be missing out. Read More >

October 12, 2011

Douglas Williams testifies before Congress about the impact of derivatives regulation on small to mid-size businesses

Williams urged Congress to reconsider regulation that will negatively impact the ability of community-oriented banks and small to mid-size businesses to manage interest rate risk.

To read the article, please click here.

September 2011

Economic and Business Outlook
by Douglas L. Williams, President and Chief Executive Officer

Economic activity during the first half of 2011 was surprisingly weaker than most analysts and forecasters had anticipated.  Read More > 

September 2011

Grow by Going Global

by Jeff McCoy, Senior Vice President of Corporate Banking

In the media today, there is continuous talk about the outlook for flat growth in the U.S.  So, how can an American business grow in the current economy? Going global may be the key to your company's success. Read More >

September 2011

Preventing Corporate Check Fraud
by Kurt Shreiner, Executive Vice President of Corporate Financial Services 
  

The Association for Financial Professionals (AFP) recently conducted a survey on fraud with its corporate members. The survey's results should put all companies on high alert. Of the responding companies 71% had experienced fraud or attempted fraud in 2010. Check fraud was involved over 90% of the time. Read More > 

June 1, 2011

Four Years of Progress

Thanks to the support and loyalty of our clients, Atlantic Capital marked its fourth year of progress in May 2011.  At the corporation’s annual shareholders meeting on May 19th, President and Chief Executive Officer Doug Williams highlighted Atlantic Capital’s 2010 and first quarter 2011 performance, reviewed its four years of progress, and spoke about the company’s future plans.  You can review the shareholders meeting presentation by clicking the following link: 2011 Annual Shareholder Meeting Presentation. 

 

June 1, 2011

Economic and Business Outlook

By Douglas L. Williams, President and Chief Executive Officer  
 
We began the year optimistic about a more durable economic expansion after a strong fourth quarter finish.  While consensus forecasts for US GDP growth in 2011 still average 3.0 - 3.5%, first quarter growth was surprisingly weak at 1.8%.  Bad weather at home and persistent economic and financial shocks from abroad dampened and delayed economic activity during the quarter.  Read More>
 

May 31, 2011

Managing your Company's Interest Rate Risk
By David Shutley, Senior Vice President

What are the main risks to your company's success? For many companies, the uncertainty of rising interest rates is a key concern. In the below article, David Shutley, Senior Vice President at Atlantic Capital Bank, answers frequently asked questions about interest rate swaps and how they can be used effectively to manage a company's interest rate risk. Read More>

Click to view two interest rate swap case studies:  Interest Rate Swap Case Studies

January 28, 2011


Economic and Business Outlook

October 2010

The pace of economic expansion has slowed over the last few months as early recovery stage inventory restocking, stimulus spending, tax credits, and transfer payments have run their course. US GDP grew 1.7% in the second quarter of 2010, well below historic recovery patterns, and we expect a similar trajectory in the US and other mature economies over the next two to three quarters. Read More