Surfwear company Billabong has posted a $859.5 million loss for last financial year, compared with $282.7 million in the previous year.
As the SMH reports, a consumer downturn has robbed the label of its ability to generate cash and, from the point of view of the company and its accountants, Billabong is worthless.
According to the ABC, less than a week ago the Federal Government's takeovers panel approved a proposed deal between Billabong and the Altamont Consortium.
Now the company is negotiating a final debt repayment deal. Billabong's chief financial officer Peter Myer says the company expects to do so within weeks.
"In terms of rebuilding Billabong, we've secured Billabong's liquidity and expect that an agreement for long term funding is imminent," Myer told an analyst briefing.
"This will allow the group to continue its rebuilding strategies and improve its performance."
The fall of Billabong has not been a bad experience for everyone. As the SMH reports, in the 2013 financial year several advisers and consultants received $23.3 million in fees from the company.
The payments were for corporate advice and advice concerning restructuring regional finances and supply chains.
Other brands within Billabong’s stable, including swimwear label Tigerlily and skate brand, Element, are also affected by the result.
Image: Transworld Surf