Companies across the US and Europe have $1 trillion locked up in working
capital which could be used to bolster liquidity.
The rate of improvements made to working capital performance had slowed from
63 per cent of companies in the US and 50 per cent of companies in Europe to 43
per cent of both regions, E&Y’s report – ‘All tied up’ discovered.
Inventory levels increased in the US by 10 per cent and Europe, up four per
cent in the final quarter of 2008, the study found.
The amount tied up in these businesses represents 6 per cent of sales. For
every US$1 billion in sales, firms could decrease their working capital balance
by an average of US$60 million.
The EC has been instructed to draft a European Union (EU) directive authorising an EU financial transaction tax, which would apply to ten of the EU’s 28 member states
The Financial Reporting Council has issued guidance regarding the annual reporting of 1,200 large and smaller listed companies. The letter highlighted the key issues and improvements that can be made in the 2016 reporting season
Baldwins Accountancy Group has continued investment in the north-east and appointed David Fish as a director in its corporate finance team
UK M&A activity bounced back strongly in July and August, according to analysis by the deals practice at PwC.