Regarding the borrowing structure of this period,
short-term liabilities seem to increase 3 times in 2009 in which the impacts of crisis were felt, compared to the previous year, however this amount has a small share in total amount.
That is because the traditional current ratio encompasses both cycles, including both
short-term liabilities and the current portion of long-term liabilities.
Therefore, if an enterprise wants to maintain high level of financial liquidity, it must possess a large share of cash and high-liquidity assets and a small share of
short-term liabilities.
Current accounts and other
short-term liabilities came in at EUR357.
The Dubai developer announced a $500 million convertible five-year bond issue in late September and said it would use the proceeds to refinance
short-term liabilities and for general corporate purposes.
With the Irish budget situation causing concerns on financial markets and impacting on the euro, the European Commission approved a further extension of the public guarantee scheme for Irish credit institutions, also covering certain
short-term liabilities.
The proceeds from the move will be used for the repayment of
short-term liabilities and other business purposes.
7 million of
short-term liabilities from 2009 to 2011.
The company chief financial officer, Stanislav Ploschenko, said, 'The new long-term credit facilities allow Mechel the flexibility to manage our
short-term liabilities and navigate the near-term economic challenges while continuing to execute on our long-term strategy of developing production assets.
30) [Delta] liabilities = = [Delta]
short-term liabilities + [Delta] non
short-term liabilitiesCompanies that funded long-term assets with
short-term liabilities may face liquidity problems, such as distressed sales of assets, when creditors won't roll over the short-term loans.
Uhm argued that there is a need to deal with the vulnerabilities that led to the crisis: both issues related to
short-term liabilities and structural weaknesses.
