This has been discussed before after I talked to John Conidi...

This has been discussed before after I talked to John Conidi about it.

A good chunk of the debt relates to standard operating lease obligations on capital equipment (i.e. imaging equipment) that CAJ has leased from suppliers vs. buying it outright.

The 'debt' unwinds over the course of the lease and has a nil residual value upon the lease's end. It is merely an accounting rule that means the future obligation to lease the equipment is monetised and shown as a liability.

The reality is that the debt position of CAJ - in the true sense of the word - is much less than the balance sheet otherwise shows due to stupid accounting rules which actually provide less transparency than more.

Great result BTW and another example of how John Conidi is running a great operating in Vic.

Cheers
John