deficit net worth

Deficit Net Worth

A situation in which a person or company has more liabilities than assets. This may happen to a person if, for example, he/she owes more on his/her mortgage than the home is worth. A company may have a deficit net worth after consistently posting operating losses over an extended period of time. It is important to note that a deficit net worth does not necessarily mean that bankruptcy is inevitable, but it may prevent the debtor from receiving new credit necessary to maintain operations. It is also called negative net worth.

deficit net worth

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have begun work to provide financial assistance to the five recipients of the failed Chogin credit unions to help the recipients rectify the 13 failed institutions' deficit net worth.
5 million as of September 30, 1997 if this conversion had occurred prior to September 30, 1997 instead of a deficit net worth of $14.
46 (Consolidation of Variable Interest Entities) of approximately $290 million primarily relating to deficit net worth at Trilegiant.
The sell-off is aimed at preventing Daiei from falling into a deficit net worth on a consolidated basis, they said.
As part of the acquisition transaction, IOBOC's deficit net worth was eliminated by the contribution to IOBOC of a promissory note ("Negative Net Worth Note") issued by the Federal Savings and Loan Insurance Corporation ("FSLIC").
that, as a result of Shopsmith having a deficit net worth as of its April 2, 1994, fiscal year end, Shopsmith will fall below the minimum requirements for continued listing on the Nasdaq National Market.