Fw: Begbies Traynor Red Flag Q2 Statistics

Andrew Cawkwell
Partner
Direct Dial: 0191 2444338
Mobile: 07973 502809

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From: Charlotte Farrington <BegbiesTraynor@info-begbies-traynorgroup.com>
To: Andrew Cawkwell
Sent: Fri Jul 23 10:30:20 2010
Subject: Begbies Traynor Red Flag Q2 Statistics

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Begbies Traynor Section 1       Introduction Section 2       Red Flag Q2 Statistics Section 3       Our Comments Section 4       Red Flag - Release Tables Section 5       About Us Add to your safe senders list Mobile and Print-friendly version   22/07/2010 Over 127,000 UK Businesses Experiencing Financial Distress

Dear Andrew, Over 127,000 companies experienced 'significant' or 'critical' financial distress in Q2 2010 between them owing over £69.5bn to creditors, suppliers and service providers, according to our recent Red Flag statistics, which monitor the early warning signs of company distress.    Although the numbers of companies experiencing distress have fallen (by 21% compared to 161,601 in Q1 2010 and by 31% compared to previous peak levels of 185,813 in Q2 2009), they remain at historically high levels (up 15% from 111,089 in Q2 2008).   The £69.5bn of liabilities at risk of default by businesses experiencing financial distress has increased by 26% from £55bn in Q1 2010, representing a 60% increase in the average debts of troubled companies to c. £545,000 (Q1 2010: c. £340,000). This suggests that larger companies are now experiencing difficulties, implying that the post-recession stress is migrating out of the SME sector to affect more significant businesses and therefore, potentially threatening greater job losses; indicating the continued fragility of the UK's weak economic recovery.   Click here to read the report headlines                     Bob Maxwell             Partner                     Email                       Our Comments   To read our commentary on the Red Flag Q2 statistics, please click here Q2 2010 Red Flag Statistics - Release Tables   Click here to download About Us   Click here to view In this issue Red Flag Q2 Statistics Our Comments Release Tables About Us Forward to a friend Subscribe to our emails Subscribe to RSS feed   Visit our website   Visit Red Flag Website Email us + 44(0)113 2440044 www.begbies-traynor.com 9th Floor Bond Court Leeds LS1 2JZ   Begbies Traynor (Central) LLP, a limited liability partnership, registered in England No: OC306540, registered office: 340 Deansgate, Manchester, M3 4LY Any reference to a partner is to a member of the limited liability partnership. A list of partners is available for inspection at the registered office. A member of the Begbies Traynor Group; Specialist Professional Services www.begbies-traynorgroup.com To opt-out from future communications, click here

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