Economic value added may be the flavour of the month, yet little has been made of its implications for corporate debt.
'How do you know a company is doing well?' asked the Financial Times's Lex column in May. Too cool explicitly to endorse EVA, still less the hypercharged claims made on its behalf, Lex did deign to make an approving implicit nod in the direction of economic value added: 'a useful tool in the shareholder's kit bag. The more it is used, the better capitalism will work,' it said of ROI, which it acknowledged to be the starting point for EVA.