Originally posted by Bryn
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That this is the nation that voted for Donald Trump? -
Only they didn’t.Originally posted by Count Boso View PostI will not be pushed, filed, stamped, indexed, briefed, debriefed or numbered. My life is my own.
I am not a number, I am a free man.Comment
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Quite! Fake President, indeed. More voted for the differently egregious HC.Originally posted by teamsaint View PostComment
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Still in the US, Hertz has filed for bankruptcy. That seems like a really big casualty, and I see they had £19 Bn of debt. £19 BILLION.
I suspect we are going to see more casualties of companies ( see also Cath Kidston, £90 million) who it turns out have been highly leveraged, had cash removed and replaced by debt etc. Stuff like CEO salary of £600k at Cath Kidstone probably a sign of some underlying issues.I will not be pushed, filed, stamped, indexed, briefed, debriefed or numbered. My life is my own.
I am not a number, I am a free man.Comment
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Not sure of the details, but do remember that in the US certain bankrupt companies are allowed to continue to trade.Originally posted by teamsaint View Post
I'll look it up - maybe back in a minute or two.
I haven't found the exact details for Hertz, but in the US, many companies file for Chapter 11 bankruptcy, which is different from Chapter 7.
I think this allows large companies to carry on, though there may be some degree of oversight required.
The UK newspapers and media outlets are declaring that Hertz is seeking "bankruptcy protection". Bankruptcy in the UK is somewhat different.
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Presumably similar to administration in the UK.Originally posted by Dave2002 View Post
Still a mountain of debt , double its annual turnover.I will not be pushed, filed, stamped, indexed, briefed, debriefed or numbered. My life is my own.
I am not a number, I am a free man.Comment
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I think in the UK very few companies survive the administration process, and of course there is a business in the UK of administrators stripping assets and various other presumably undesirable actions, and then leaving many creditors and customers high and dry. I'm not sure if that's the same in the US. I'm not suggesting that all firms which do administration in the UK are corrupt or "immoral", but I think some get very close to that.Originally posted by teamsaint View PostPresumably similar to administration in the UK.
Still a mountain of debt , double its annual turnover.
Some firms in the US carry on for many years under Chapter 11, seemingly as quite viable enterprises, but maybe someone who understands the US rules more than I do would like to comment.Comment
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I'm assuming you appreciate the difference between gross debt and insolvency?Originally posted by teamsaint View Post
Hertz is a massive multinational corporation. Most corporations of this size have huge amounts of debt in their capital structure. It's important to note that as at 31 December 2019 Hertz had net assets of $1.9bn. In other words it had gross assets of $24.6bn as against gross liabilities of $22.7bn (including $18.9bn of debt).
The media are fond of wheeling out this debt figure whenever they want to imply that a company is massively overtrading or in imminent danger of financial collapse. To put the Hertz figures in context, it had $15bn of debt at the end of 2017 and $16bn at the end of 2018. In fact, between 2015 and 2019 its net assets increased from $1bn to $1.9bn, or to put it in layman's terms it made $900m of retained profits during that four year period. It is not unusual for corporations to use debt to finance future capital growth, while still being able to give shareholders a return.
Clearly, the group is now in serious difficulties, but without Covid-19 there is little to indicate that it would not still be trading profitably.Comment
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Recently I came across a picture of a Dutch poster which broadly translated as " We can't go back to normal because normal was the problem" which strikes me as a useful and succinct summing-up. There are opportunities and some public appetite for change; to what extent that translates into action remains to be seen. I'm not hopeful for a government lead in this country - the rush to get the oiks back to work has indicated already where its priorities and interests are.Originally posted by Bryn View PostComment
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One part of the virus's effect might be the govt having the b...s to at last, at last, sack D.Cummings Esq.Comment
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Not looking good. No 10 has defended the trip as 'essential'. Like master, like man.Originally posted by DracoM View PostComment
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aaah yes but who is the organ grinder and who is the monkey ?Originally posted by Count Boso View Post
as Malcolm Tucker might say............Comment
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Law like religion is there for the enslavement of the masses, connivance of the wise and convenience of the rulers - why be surprised.Comment
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