I think sgtsk is right, you need to understand complex concept first before he can explain to you in simple words.
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Economic News
- Thread starter FHBH12
- Start date
I think sgtsk is right, you need to understand complex concept first before he can explain to you in simple words.
Will Petronas dry up? 
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PUTRAJAYA: Malaysia and Brunei want their respective national petroleum companies to see how best they can commercialise recent oil and gas finds to maximise their investment returns.
Both Prime Minister Datuk Seri Najib Tun Razak and Sultan of Brunei Sultan Hassanal Bolkiah want Petronas and PetroleumBrunei to explore the most commercially viable opportunity following recent discoveries in Block CA2 in the South China Sea.
Besides collaboration in oil and gas, they want work to be expedited to conclude the joint demarcation and survey of the land boundary between the two countries, particularly in the joint priority areas.
Other matters that are being pursued are maritime co-operation, increase in connectivity via the Pan Borneo highway and collaboration between Malaysia and Brunei’s small and medium enterprises.
These are some of the issues raised during a four-eyed meeting between Najib and Sultan Hassanal Bolkiah during the 20th Annual Leaders Consultation, which also saw the two countries entering another area of co-operation – the field of green technology.
On oil and gas, the leaders were pleased with the continued progress made by Petronas and Petroleum*Brunei in the commercial arrangement areas in Blocks CA1 and CA2, production sharing agreements in Blocks N and Q and their collaboration with Canada and Myanmar.
“Both leaders also encouraged Petronas and PetroleumBrunei, together with Brunei’s Energy and Industry Department of the Prime Minister’s Office to enhance collaboration to set up an offshore hub.
http://www.thestar.com.my/news/nati...uler-want-maximum-returns-from-og-investment/
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PUTRAJAYA: Malaysia and Brunei want their respective national petroleum companies to see how best they can commercialise recent oil and gas finds to maximise their investment returns.
Both Prime Minister Datuk Seri Najib Tun Razak and Sultan of Brunei Sultan Hassanal Bolkiah want Petronas and PetroleumBrunei to explore the most commercially viable opportunity following recent discoveries in Block CA2 in the South China Sea.
Besides collaboration in oil and gas, they want work to be expedited to conclude the joint demarcation and survey of the land boundary between the two countries, particularly in the joint priority areas.
Other matters that are being pursued are maritime co-operation, increase in connectivity via the Pan Borneo highway and collaboration between Malaysia and Brunei’s small and medium enterprises.
These are some of the issues raised during a four-eyed meeting between Najib and Sultan Hassanal Bolkiah during the 20th Annual Leaders Consultation, which also saw the two countries entering another area of co-operation – the field of green technology.
On oil and gas, the leaders were pleased with the continued progress made by Petronas and Petroleum*Brunei in the commercial arrangement areas in Blocks CA1 and CA2, production sharing agreements in Blocks N and Q and their collaboration with Canada and Myanmar.
“Both leaders also encouraged Petronas and PetroleumBrunei, together with Brunei’s Energy and Industry Department of the Prime Minister’s Office to enhance collaboration to set up an offshore hub.
http://www.thestar.com.my/news/nati...uler-want-maximum-returns-from-og-investment/
You are right. There is formula to calculate free cash flow and understanding the formula is the best way to understand free cash flow.
Yes yes, "free cash flow negative" doesnt mean no cash. To put it simply, it just means the cash balance drops from prior periods, not withstanding that Petronas still has a huge war chest of cash......
It is always reassuring something coming from the pro like you.
The way you explain still chim leh, snowbird need someone to explain to him in much simple way. Re-quote what he said "Can someone please help to explain in more simple words."
Money kept by wife in FD is known as cash reserves, set aside and cannot be touched. If want to take, must get approval from mother in law and father in law. They are the signatory to the FD certificates.
Money earned monthly by husband is known as operating expenses for everyday expenditure. But any surplus must be given to wife for safe keeping.
Any amount short, husband got to think of how to top up by borrowing from friends or credit card swipes.
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Money kept by wife in FD is known as cash reserves, set aside and cannot be touched. If want to take, must get approval from mother in law and father in law. They are the signatory to the FD certificates.
Money earned monthly by husband is known as operating expenses for everyday expenditure. But any surplus must be given to wife for safe keeping.
Any amount short, husband got to think of how to top up by borrowing from friends or credit card swipes.
I thought money left after paying family necessity is operating cash flow. Money left after wife buy cincin will be free cash flow. After that money will be distribute back to shareholder as dividend (husband spend) or keep as cash reserve (wife keep). Now the problem is, they are reducing family necessity expenses while wife still like rosmah buy big cincin. So husband still can earn money, to make thing better, all he need to do is divorce rosmah can ady. But rosmah hold her husband ball (as shareholder), cant do much.
Now I am very confused.
Have to google to learn more .
Hold balls or no hold balls, as long as they are rich, enough said liao.
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This one is very good also.
Let me try another stab to explain it simply. Last year, I got $1 billion cash. This year, I only got $900 million cash. ie $100 million lesser.
To Snowbird, that means I am "now cashless or soon to be cashless". But I still feel I am pretty rich leh, since I still got $900 million cash. Easier to understand? haha
Unfortunately, your explanation simply shows that you still don't understand at all.
A company earns 1000 but needs to spend 900 so that's a surplus of 100. The company is thus free cash flow positive.
However, the company is now only earning 800 but still need to spend 900 so now has to cut expenditure otherwise will become free cash flow negative, spending more than earning.
You should leave out the reserves in this instance.
If a company has to liquidate assets to top up for expenditure for no valid reason, its bad news for the company and will adversely affects it's share price.
The point is that I still have $900 million. Maybe by end of next year, I am down to $800 million. By end of another year, maybe I am down to $700 million. ie your "free cash flow negative".
There's still a long way to go before I become 'cashless', or in this case, for Petronas.
Using your theory, Sembcorp Marine and Keppel O&M should be 'cashless' soon, since they are too in "free cash flow negative" position.
Obviously, you also don't understand how a company's annual budget works.
In an annual budget forecast, you need to show possible income versus possible expenditure and it should be balanced.
However during the financial year, if one side goes off balanced, example lesser income, the budget has to be revised to avoid getting into red or free cash flow negative. But this does not means that the company will be "cashless" but just no more money to spend as per budget!
Well, I know exactly what a budget is. I review and approve company budgets.
I am just responding to your assertion that Petronas will run out of cash soon, as it is in a cash flow negative position. This is obviously not true. If "negative cash flow = cashless soon", many GLCs like Keppel O&M, and Sembcorp Marine will be closing shop too, as they are in a similar position.
Time has changed. Big bio and pharmacy moving out of sg. surely high tech ones.
http://www.straitstimes.com/business/economy/pharma-rd-industry-in-state-of-flux?xtor=CS3-18
Moving to US and set up R&D centres in Shanghai.
These two countries have got a whole system of engineering and scientific research.
http://www.straitstimes.com/business/economy/pharma-rd-industry-in-state-of-flux?xtor=CS3-18
Moving to US and set up R&D centres in Shanghai.
These two countries have got a whole system of engineering and scientific research.
FC and iskandar competition shows impact on Singapore tourism.
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Singapore hoteliers have less to cheer for as Golden Week comes
Chinese visitors’ average stay is further shortened to just 3 days.
Singapore hoteliers’ wide smiles and open arms seemed to be not working their charm for Chinese tourists, as their average length of stay (ALOS) has deteriorated rapidly since its peak of 4.4 days in 2014.
In a UOB Kay Hian report, analyst Derek Chang said ALOS for Chinese tourist has declined 24% to around 3 days, with overall ALOS for all tourists sinking 6.7%.
"This might well be explained by increased Chinese land travel to Singapore from Malaysia, propelling overall Chinese arrival growth," Chang noted.
The report pointed out that the proportion of Chinese land travel to Singapore has risen from a low of 15.7% in 2014 to year-to-date high of 25.2% in 7M16.
More so, majority of Chinese tourists have tighter purse strings. Chinese per capita expenditure on hotels fell 5% YoY to $211 in 1Q16. This is 40% lower compared to the peak of $352 in 2014.
Chang said this could help explain the increased cross-border travels, with nearby Johor Bahru likely appealing to tour groups which have more restricted spending plans.
"Our channel checks suggest these visitors came in tour groups and are usually budget-conscious on accommodation. Singapore hospitality REITs also largely do not cater to such tour groups as they operate in the mid- and upper-tier segments," he said.
- See more at: http://sbr.com.sg/hotels-tourism/ne...-cheer-golden-week-comes#sthash.di8Dkog3.dpuf
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Singapore hoteliers have less to cheer for as Golden Week comes
Chinese visitors’ average stay is further shortened to just 3 days.
Singapore hoteliers’ wide smiles and open arms seemed to be not working their charm for Chinese tourists, as their average length of stay (ALOS) has deteriorated rapidly since its peak of 4.4 days in 2014.
In a UOB Kay Hian report, analyst Derek Chang said ALOS for Chinese tourist has declined 24% to around 3 days, with overall ALOS for all tourists sinking 6.7%.
"This might well be explained by increased Chinese land travel to Singapore from Malaysia, propelling overall Chinese arrival growth," Chang noted.
The report pointed out that the proportion of Chinese land travel to Singapore has risen from a low of 15.7% in 2014 to year-to-date high of 25.2% in 7M16.
More so, majority of Chinese tourists have tighter purse strings. Chinese per capita expenditure on hotels fell 5% YoY to $211 in 1Q16. This is 40% lower compared to the peak of $352 in 2014.
Chang said this could help explain the increased cross-border travels, with nearby Johor Bahru likely appealing to tour groups which have more restricted spending plans.
"Our channel checks suggest these visitors came in tour groups and are usually budget-conscious on accommodation. Singapore hospitality REITs also largely do not cater to such tour groups as they operate in the mid- and upper-tier segments," he said.
- See more at: http://sbr.com.sg/hotels-tourism/ne...-cheer-golden-week-comes#sthash.di8Dkog3.dpuf
Tour Operators are very practical people.
They will go where hotels and food are cheaper. They are not interested if their clients buy original Prada or not.
China man lagi more practical , for RM600 can 包夜 liao leh . Hotel plus free Xmei Mei . Or should be the other way round Xmei Mei plus free hotel ?
Report say China tourist arrive from JB increased but arrived from changi airport drop significantly. If Yaya Papaya still cannot change their attitude and cause 5hrs jam at CIQ , soon China Man will bypass SG all together
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