Wednesday, April 20, 2011

CTSA3 - Santanense

I was revising Santanense because I'm thinking in increasing position (I already have a little bit).
In the financial notes to the statements I found these numbers (in BRL millions, rounded):

Fixed Assets at cost: 275
Fixed Assets minus Depreciation: 110
Fire Amount Insured: 370

What could be that? Why the company is paying for fire risks an amount insured of 370 mi?
Could be possibly because assets at market value are now worth this amount instead of 110 mi registered?
Or could be just a way to embezzle money?

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1 comments:

cessna said...

I think it's there to show you the real value of the industrial plant. I just don't know why they didn't revaluated that to the "fair" value. Otherwise I don't think the insurance company would accept the risk.

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