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  "documentTitle": "Olam International Ltd. (SGX:O32)",
  "authorId": "51_Muddy_Waters",
  "authorName": "Carson Block",
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  "presentationDate": "2012-11-27 00:00:00",
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  "notes": "Includes a visual metaphor of a house of cards branded with Olam's logo.",
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      "text": "We estimate that Olam could have to raise or refinance a total of S$4.6 billion in the next 12 months in order to stay solvent.",
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      "text": "refinancing requirement: S$4.6 billion",
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      "text": "Olam thus only had approximately S$60 million of truly free cash as of FY2012. Olam's cash burn from operations and investments in FY2012 was negative S$1.1 billion, or over S$20 million per week.",
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      "kind": "paragraph",
      "text": "Olam's inability to accurately identify margin deposits and liabilities to brokers approximately 100 days after closing the fiscal year greatly calls Olam's claims of having superior risk management into question.",
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      "text": "Olam also had S$445.7 million of overdrafts as of the FY2012. In other words, it took more money out of its bank accounts than it had in them – this brings some of us back to freshman year of college. This money is not cheap. Its subsidiaries pay up to 22% annual interest on these overdrafts.",
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      "text": "We estimate that Olam could have to raise or refinance a total of S$4.6 billion in the next 12 months in order to stay solvent. This is based on conservative assumptions, including that Olam's borrowing costs do not increase. Olam's capital structure includes a significant amount of loans and bonds that are due within the next 12 months. As of September 30, 2012, Olam had S$1.38 billion in cash and short-term fixed deposits net of overdrafts, and S$3.75 billion in borrowings due within the next 12 months.",
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      "kind": "source-note",
      "text": "Sources: Olam 2009 annual report, p. 147, Olam 2010 annual report, p. 141",
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      "text": "Margin deposits with brokers, Amounts due to brokers, Net Margin Asset/Liabilities",
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      "text": "Margin Account Restatement",
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