Each week the Buzz brings you the latest financial news and some background information regarding significant movements of the stock market indexes. This week in your weekly Stock Market Update: Zero Hassle Couriers and Hewitt Law Office.
Fraud & Affairs at Hewitt Law Office
FRAUD - Last week we all witnessed the bankruptcy of the Hewney & Litt Law Office, also known as Hewitt Law Office. The index of this former respectable law office started to decrease after a name partner of the firm got arrested for fraud. It turns out that one of the name partners of the firm (Mister Litt) had faked his lawyer’s license. The fraud was detected by a due diligence investigation performed by a high positioned board member of the former crew ‘The Company’.
AFFAIR - The misery for the law office continued by a #MeToo scandal. It turns out that a few years ago Mister Litt had an affair with his personal secretary Donna. The Buzz was able to obtain the by-laws of Hewitt Law Office and came to know that personal relationships with staff were strictly forbidden. When this became known in the market, the confidence in the Board of Directors was lost and the stock index continued to decrease. Large customers lost confidence and eventually sought another law firm. All this ultimately resulted in the bankruptcy of an extremely reliable and wealthy company.
Unexpected impairment losses at Zero Hassle Couriers
INVESTMENT - Last year the market leader of couriers in New York, Zero Hassle Couriers, purchased over one hundred vehicles to increase their activities in Hell’s Kitchen. According to their annual report of last year, the depreciation period of these tangible fixed assets were set at 10 years. A few months ago several exchange experts already warned the stock market that the activities in Hell’s Kitchen significantly decreased due to multiple accidents. Several vehicles of Zero Hassle Couriers were hit due to crew shootings and the insurance companies did not cover the full recovery costs.
IMPAIRMENT - This week the annual report of the latest financial year was published. It turns out that the audit firm of Zero Hassle Couriers, the Green Check Mark, demanded an impairment of the recent investment of the purchased vehicles of last year. The impairment losses came as a surprise at the stock market, resulting in a significant decrease of the index (see graph below). At Wednesday an emergency loan was needed (from the Marshall and Ilsley Bank) to save Zero Hassle Couriers from bankruptcy. Uncertain times have arrived for Zero Hassle Couriers and we will keep you informed about all developments in the near future.