Asset value, page-42

If you want an understanding of the position have a read of the last financial report released which was in Feb for the half year to end of Dec 2015.

They sold $3.08 b of product (consolidated) from all entities. this is trade debtors.
It cost them $3.18b to produce (consolidated) from all entities. This is trade creditors/employees.

as you can see, there is a shortfall of $100m. add to that the cost of finance debt and others and you can see that it doesn't make for a profitable business. The fact that when this report was done, the directors and auditors had to state that they believed the business was liquid and able to pay its bills. within 2 months they were in administration. the auditors have made a note in relation to the fact that if steel prices remained low Arrium would not be a going concern.

as for staff entitlements, the new owner will deduct all staff entitlements from the sale price. it's a cost the new owner will have to pay at some time, just like when you purchase a house and deduct from the sale price any outstanding rates or water bills.