SWM - Mark Moore

4 Δ Total Accurals/ Sales 2 0 -2 -4 -6 -8 -10 2004 2005 2006 2007 2008 SWM AOI UVV Industry Average From the graph and change total accruals/ sales graph above Schweitzer Mauduit wasable to maintain the closet ratio to the industry average however maintain a ratio slightly lower.Alliance one and Universal on both the raw and change graphs had very unusual movement inthe ratio possibly indicating manipulation in net sales or cash flows from operations.Pension Expenses/ SGA ExpensesPension expenses divided by the Selling, General and Administration expenses providesinvestors and analysts with information on how much a firm is expensing every year on pensionplans. Ideally, firms would prefer to have this ratio less than one. If a firm’s ratio were higherthan one, it would indicate that the firm is paying out more in pension expenses than it is onselling expenses and not efficiently running the firm. Due to how both areas of the ratio couldexperience some amount of manipulation, it is very important to analyze the ratio.89