Question-and-Answer Session
[Operator Instructions]
Anthony J. Orlando - President and Chief Executive Officer
Is there a question?
Operator
We'll take our first question from Ian Zaffino from Oppenheimer.
Ian Zaffino - Oppenheimer
Hi, good morning. Good quarter.
Anthony J. Orlando - President and Chief Executive Officer
Thanks. Good morning, Ian.
Ian Zaffino - Oppenheimer
I just wanted to dive a little bit deeper into the expansion opportunity this year. As you look at the capital markets, what are you thinking as far as, I am not asking you specifics, but maybe if you could give us some examples of either acquisitions or expansion efforts that you're looking to do, as far as, the multiple you might pay, the cash outlay and then your ability to get financing for those projects? Thanks.
Mark A. Pytosh - Executive Vice President and Chief Financial Officer
Sure. Ian this is Mark. What I would say is that, just like the financial markets we've seen a pretty dramatic shift in the, what I call more the M&A markets, where I think the valuations for properties have come down quite substantially with the shrinkage in the credit markets.
We are looking at a number of opportunities. We are trying to be patient in assessing what are the most attractive opportunities. Obviously, the first criteria for us is strategic fit, and we're looking for opportunities that fit our core business. And then our financial metrics, I would tell you that we are certainly looking for much greater returns. Historically, we discuss mid teens leveled returns, I would say.
We're looking for greater, much greater return than that on our capital. As I mentioned, we have $169 million of cash and we continue to generate free cash flow. Of course we have a $300 million un-drawn revolver. So, we would have to expend a lot of capital before we would, I think stress any... well we'd have to go operate the external capital.
So, but we are going to be very prudent and cautious about how we look at external capital raising for opportunities and in terms of value and companies, we're valuing opportunities based on what we perceive as our incremental cost to capital, not the cost of borrowing today in our facility which is on a revolver basis, LIBOR plus 150.
So, we're not going to use that as our bogie for cost to capital.
Ian Zaffino - Oppenheimer
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