Negative working capital

Negative working capital

Occurs when current liabilities exceed current assets, which can lead to bankruptcy.
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With the current cash resources, negative working capital, suspension of the RK field, uncertainty surrounding the successful installation of the NRU, dividend restrictions, currency fluctuations, reliance on a limited number of customers, and impact on carrying values, the Company may not have sufficient cash to continue the exploration and development activities.
- Net debt increased to $625 million at 30 June 2019 (31 December 2018: $586 million) due to non-recurring acquisition and Globecomm integration costs, negative working capital (that is expected to reverse in H2 2019) and payment of the final 2018 dividend
(For example, they flagged the company's negative working capital as a major concern.) That's why they think the (alleged) new liabilities they discovered will tip GE into bankruptcy.
EAPCC is stuck in negative working capital with obligations maturing within the next 12 months outstripping current assets by Sh7.3 billion.
It has hefty pension obligations and a big negative working capital position.
During the 2017-18 financial year, UON, Kenyatta University and Multimedia University alone reported negative working capital of Sh5.5 billion.
Sudatel's negative working capital has decreased from US$380 million in 2012 to US$134 million in 2018.
"TSIL completed the acquisition of steel business undertaking including captive power plants on April 9 pursuant to a cash consideration (after adjustment for negative working capital and debt like items) payable to Usha Martin of Rs.
Negative Working Capital: Fitch expects working capital outflows for FY18, although to a lesser extent than in FY17 (NAD100 million).
The current period cash flow benefitted from strong business performance, customer prepayments in Brazil and seasonal reversal of negative working capital trends from the first quarter of 2018.
The state was forced to buy the CCB in 2012 by injecting 1.8 billion euros and further intervened when in 2013 the CCB had 300 million euros negative working capital. "The CCB's losses were large," Prodromou said.
As a result of the lower earnings, increased cash restructuring, and a negative working capital trend, Adient said free cash flow for the fiscal year is expected to be approximately flat to negative $100M.
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