Other Assets and Liabilities - revised analysisHi all, I wasn't satisfied with my analysis this past Friday. First off, provisions has its own treatment (additions, utiliziations and reversals) which should be handled separately. In this simplified (corrected?) view of "other" financial (and non financial) assets and liabilities, I ignore current and non current.
The total of "Other" Assets is $1.836B. The total of 'Other" liabilities is $2.107B. From this I remove the back to back (the figure is in both assets and liablities) with Airbus and MHI totalling $570M. That brings assets down to $1.266B and liabilities down to $1.537B.
No further changes to Other Assets. But for Liabilities, I removed 3 line items that I perceive as much longer term: leaseholds $346M, Govt advances (other than back to back) $165M and supplier contribution to aircraft programs of $258M for a total $769M. That leaves the total of the remaining other liabilities as $768M or $498M less than Other assets......In other words, there may be in the net of other assets and liabilities $500M that could potentially be converted into cash.
As for the other 3 that total $769M, I'm not saying these don't have to be paid back but that its going to be over many years (leaseholds is still growing, Govt looks like its on a 6 year pmt plan and vendor on a 10 year plan).
PS btw, probably makes sense in any semi annual or annual analysis to look at how those 3 line items, provisions and capex/depreciation affects income and cashflow. A quick and dirty guess showed cash usage of $71M by provisions and govt/supplier repayment and $65M cash generated by depreciation over capex. Seems under control.