Shannon Airport Thread [Mod Warning in First Post]

Masala wrote: »

They won’t be happy being called a Regional Airport....... ouch!!

How Is Impairment Loss Calculated? (Investopedia)

Impairment occurs when a business asset suffers a depreciation in fair market value in excess of the book value of the asset on the company's financial statements.

Under the U.S. generally accepted accounting principles, or GAAP, assets that are considered "impaired" must be recognized as a loss on an income statement.

Understanding Impairment Loss

The technical definition of the impairment loss is a decrease in net carrying value, the acquisition cost minus depreciation, of an asset that is greater than the future undisclosed cash flow of the same asset. Impairment occurs when assets are sold or abandoned because the company no longer expects them to benefit long-run operations.

This is different from a write-down, though impairment losses often result in a tax deferral for the asset.1

Depending on the type of asset being impaired, stockholders of a publicly held company may also lose equity in their shares, which results in a lower debt-to-equity ratio.2

Calculating Impairment Loss

The first step is to identify the factors that lead to an asset's impairment. Some factors may include changes in market conditions, new legislation or regulatory enforcement, turnover in the workforce or decreased asset functionality due to aging. In some circumstances, the asset itself may be functioning as well as ever, but new technology or new techniques may cause the fair market value of the asset to drop significantly.

A fair market calculation is key; asset impairment cannot be recognized without a good approximation of fair market value. Fair market value is the price the asset would fetch if it was sold on the market. This is sometimes described as the future cash flow the asset would expect to generate in continued business operations.

Another term for this value is "recoverable amount." Once the fair market value is assigned, it is then compared to the carrying value of the asset as represented on the company's financial statements. Carrying value does not need to be recalculated at this time since it exists in previous accounting records.

If the calculated costs of holding the asset exceed the calculated fair market value, the asset is considered to be impaired. If the asset in question is going to be disposed of, the costs associated with the disposal must be added back into the net of the future net value less the carrying value.34

Impairment losses are either recognized through the cost model or the revaluation model, depending on whether the debited amount was changed through the new, adjusted fair market valuation described above. Even when impairment results in a small tax benefit for the company, the realization of impairment is bad for the company as a whole. It usually represents the need for an increased reinvestment.

Renovo Motors Inc.

Renovo creates 30 jobs with the establishment of it’s EMEA HQ in Shannon

Founded in 2010, Renovo has designed and developed the world’s most advanced data management solution to greatly enhance the development of future software-defined vehicles. The award-winning platform developed by Renovo enables intelligent data capture and management from advanced software-defined vehicle architectures which is then optimized to enhance and improve performance, safety, and speed to market for the current and next generation of vehicle OEMs.

As our business continues to expand across the EMEA Region, it became critically important to establish a strong headquarters presence in the EU that would support our objectives for the region. After a thorough investigation of potential sites, I am delighted to say that Ireland’s Mid-West became the obvious location for Renovo’s EMEA HQ. “ Said Chris Heiser, CoFounder, and CEO, Renovo ” This decision was made all the easier with the Mid-West’s established community of Auto-tech companies and the opportunity to leverage our local efforts with key partners like Jaguar Land Rover, Seagate, and Cisco.”

No Aer Lingus US flights from Shannon until 2022? (Clare Herald)

Aer Lingus transatlantic services from Shannon Airport could remain grounded until summer 2022 while the airline’s schedule ‘remains under review’.

It’s believed a document outlining the airline’s timeline for the resumption of services, circulating among company workers, states that the Shannon to New York and Boston routes will not recommence until the middle of next year.

It’s understood that a document, which outlines the airline’s plans for resuming schedules, outlines plans to resume operations on previously operated routes from Dublin as well commencing new services from Dublin and Manchester to destinations including Barbados and Mexico.

It also says however that the Shannon to New York (JFK) and Boston routes have had their “suspensions extended” to S22 (summer 2022) or “February mid-terms or early March.”

There’s also speculation about the future of the popular Aer Lingus Shannon/London Heathrow service with some suggesting that if flights resume on the route, it may not be with an aircraft that would be based at Shannon.

The airline would usually have one Airbus A320 aircraft based at Shannon to serve the London Heathrow route while a long range A321neo have been used to operate transatlantic services to New York and Boston.

Independent TD for Clare Michael McNamara said: “This is a cause of great concern but is indicative of the government’s laissez faire attitude to aviation which is now coming home to roost. It’s not just this government but also previous governments.”

“It’s ironic that some of the Aer Lingus fleet is now being deployed to operate from Manchester when there are no plans to resume services from Shannon.

I am also concerned for the Shannon to Heathrow service and for the future of the airline’s slots at Heathrow if they’re not used. It’s clear that the government’s aviation policy is at odds with its regional development and foreign direct investment policy,” Deputy McNamara added.

Clareman wrote: »

Terrible news as this means that there won't be anymore early morning flights to Heathrow.