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  "documentTitle": "Stroer SE & Co. KGaA (SAX)",
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  "authorName": "Carson C. Block",
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  "presentationDate": "2016-04-21 00:00:00",
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  "notes": "The slide highlights a reconciliation failure between PP&E additions and cash outflows, suggesting a potential accounting concern.",
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      "text": "In addition to other amounts contained in the cash flows from investing activities, transactions within the meaning of IAS 7.43 totaling EUR 6,885k (prior year: EUR 2,630k) were carried out in the fiscal year. These were non-cash transactions that led to an increase in non-current assets without resulting in cash flows in the reporting period.",
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      "text": "In the absence of explanation, we therefore adjust free cash flow downward by this delta. We also think this is a very concerning sign about Ströer’s accounts.",
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      "text": "Free Cash Flow: €24.8 million",
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      "text": "Our final adjustment to free cash flow is to account for Ströer’s buyout of non-controlling interests. Ströer currently books cash paid to minority interests (in companies it has acquired as part of its roll-up strategy) as “Cash flows from financing activity”. While this is technically",
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      "text": "In Note 33 of the 2015 AR we can see that “non cash transaction that led to an increase in non-current assets” accounted for €6.9 million; but, this still leaves with a balance of €24.8 million that cannot be reconciled. In the absence of explanation, we therefore adjust free cash flow downward by this delta. We also think this is a very concerning sign about Ströer’s accounts.",
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      "text": "Therefore, the total additions to Intangible Assets and PP&E in 2015 in the balance sheet accounts was €108 million. However, on the cash flow statement we can only see €76.3 million of Cash Paid for Investments in Intangible Assets and Property Plant and Equipment.",
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      "text": "“non cash transaction that led to an increase in non-current assets” — Ströer 2015 Annual Report",
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      "text": "14 Ströer 2015 Annual Report p. 84; 15 Ströer 2015 Annual Report p. 150",
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