Insolvency Statistics – October 2014
Market Commentary
So we have another term with a National led government which many business commentators have applauded. Let us hope that the NZ economy remains stable although it was interesting to note that the Reserve bank have been buying Kiwi dollars to stabilize the currency exchange rates. How long they continue to use that measure will depend on the cost and perceived benefits.
Meanwhile, the hard pressed dairy farmers are looking at a long term reduction in income with world dairy prices dropping a further 7.3%. With many farmers already cutting costs to maintain the stability of their farms, the current dairy prices will be hard to weather. Seeing the CEO of Fonterra coming in second place in the table of highest paid CEO’s will no doubt have also upset a few people.
House prices in Auckland are still going up with more properties over $1m being sold in September than ever before (source:Barfoot & Thompson latest report). It also seems clear by the number of new listings going through that any uncertainty vendors may have had before the election is now gone.
Our cousins overseas seem to be having a harder time of it than us. In the UK, there has been a run on the Sterling as the vote for Scottish Independence looms. Many businesses are in panic mode and making contingency plans to move south if the vote for independence is successful. The United Kingdom has endured for 300 years but will it continue? Nobody seems to know the answer.
In the USA, their recovery seems to be steadily gaining momentum. Their economy is recovering a steady rate which, some commentators have suggested, may coincide with the NZ economy declining. With the costs of the war on terror continuing to mount, it seems clear that any recovery of the US economy will be slow..
On the technology side, Apple may be facing a huge tax bill for the preferential treatment received at the hands of the Irish government and has also been selling “bendy” iphones. Despite this, a record number of the new phones have been sold. Samgsung is no doubt rushing to release the new s6.
July, August & September Comparison of
Insolvency Appointments 2011, 2012, 2013 & 2014
What the figures are showing?
- There were 177 insolvency appointments in September 2014 which is a decrease of nearly 17% on September 2013 and 28% down on September 2012. There were 4 receivership appointments, 172 liquidations recorded and 1 administration.
- Year to date insolvency appointments for 2014 were 1,857. This is still down on previous years. Liquidations accounted for 1,743 of those appointments.
- Applications made to the High Court to liquidate companies totalled 130 for September 2014. Applications made between January and September 2014 totalled 978 of which 694 were made by the IRD.
Year to Date Comparison of Insolvency Appointments 2011 to 2014
