1.Executive Summary
ABC Learning Centres Limited (ABC) has recently came into limelight in the childcare industry. It went into receivership on 6 Nov 2008 and Australian Government has announced to assist ABC to continue operation till end of 2008 by injecting $22 million.
An analysis has been done on ABC on why the company has landed itself into receivership by analysing its annual Income Statement, Balance Sheet and Cash Flow Statement. Reading and analysing of news and articles in relation to ABC has been done to support and supplement the analysis.
From the analysis, the underlying reasons for ABC to be in current state are the excessive borrowings to expand, high operating costs, poor credit control, constant issues on equity
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(http://www.investsmart.com.au/shares/asx/ABC-Learning-Centres-ABS.asp)
4.Financial Position and State of Affairs
In 2006, ABC acquired Learning Care Group, Busy Bees in UK and Forward Steps in New Zealand to become the world largest child care provider. All these major acquisitions took place during 2005-2007.
In 2005, ABC bought over Funatastic Holding, the exclusive toys supplier for ABC. However, this doesn't mean ABC is getting the most competitive price. By making Funatastic Holding too dependent on ABC and may impede its growth.
In last quarter of 2007, ABC further acquire Leapfrog Nurseries group of 88 childcare centres, increase its stakes to 80% in Mediasphere Pty Ltd in digital publishing and the completion of acquisition of New Zealand College of Early Childhood Education.
They are involved in social activities like funding SIDS and Kids, Starlight Children's Foundation Australia and the Royal Children's Hospital-Brisbane, and many others. It also set up its own training college, NIECE-The National Institute of Early Childhood Education, which makes ABC one of Australia's most popular training and assessment providers in this specialized field.
As a result of this rapid expansion, ABC financial woes start to unfold due to rumours about its $1.8 billion debt triggered a decline in the company's share price. The major shareholders were forced to sell their shares after receiving margin calls
My Local authority children services, which runs childcare and early years training courses for childcare providers with specialised workshops such as supporting children with Autism or behavioural problems.
The report is divided into two main section. Section one, finding section is related to the early childhood profession, its characteristics, challenges, the current trends, policies and movements. However, the second section suggests some recommendations to improve the state of early childhood profession in Australia.
Like other day care facilities, The Kids Learning Centre strives to provide the best in child care. As part of their program to
Upon talking to Kim Bannister in an interview, I was able to receive much more information on the logistics to her preschool program and daycare. In this interview, I gathered that Stepping Stones Family Child Care/Preschool has been NYS licensed since 1992 and was accredited in 2001-2004 through the National Association for Family Child Care (NAFCC). The cost of accreditation was so significant in 2004 that Kim made the choice to not get re-accredited. However, even though the facility’s programs are not certified through the NAFCC, Kim
Striving to provide high quality childcare provisions that support children’s development to reach their potential.
• Sure Start Children’s Centre: Working with parent’s right from the birth of their child, providing early years education for children, full day care, short-term care, health and family support, parenting advice as well as training and
The Australian Government Department of Education, Employment and Workplace Relations for the Council of Australian Governments [DEEWR} (2009) developed the Belonging, Being & Becoming – The Early Years Learning Framework [EYLF] for Australia. This framework was created to guide educators in developing a quality education program in early childhood education and care settings (DEEWR, 2009. p.5).
I have contact with nurseries some of the children attend and I share the childrens planning that I am working on as well as, their abilities, interests and dislikes whilst they are at my setting. The nurseries also share the same information with me.
The location we would like to start our child care center in is 6800 Shakespeare Rd, Columbia, SC 29223 Columbia, South Carolina. There are 13 licensed centers in our community within our local zip code with an average capacity of 20-240 children. There are 7 Head Start programs and no Early Start programs that operate in the community. The Head Start programs do not specify how many children they serve. Our community has 1 faith-based program. These faith based programs are not exempt from licensure and they serve 100-238 children. Our local public schools offer head start in the whole county for pre-Kindergarten aged children. There is no YMCA in our community.
This case study will analyse how these Australian Government policies, initiatives and legislative requirements influence curriculum, promote quality care and support the achievement of high quality outcomes for young children in Early Learning contexts.
Ngummama Early Childhood Educational Services manages a team of nine early childhood education and care services across remote Victoria. We recognize the traditional owners of the land. We cater to all children especially the children of the Aboriginal and Torres Strait Islander people. NECES understands and protects the vast diversity of culture the children and their families bring to the service.
ABC Learning Ltd was an Australian provider of early child hood education services, founded in Queensland in 1988, that through its 18 centres was the largest single operator of early childhood education services in Australia by 1997. Led by founder Eddy Groves, ABC Learning Ltd continued to grow, through the opening of new centres and the acquisitions of rivals i.e. peppercorn Childcare in 2004 in which 450 centres were purchased for $340 million. “By 2008, ABC Learning was the largest provider of childcare, holding around 20 per cent of the long day care market and providing care to over 100 000 children” (Senate education, employment workplace relations committee, 2009).
Also, according to its leverage ratios, the company’s debts are not only very high, but are also increasing. Its decreasing TIE ratio indicates that its capability to pay interests is decreasing. The company’s efficiency ratios indicate that despite the fact that its fixed assets are increasingly being utilized to generate sales during the years 1990-1991 as indicated by its increasing fixed asset turnover ratio, the decreasing total assets turnover indicate that overall the company’s total assets are not efficiently being put to use. Thus, as a whole its asset management is becoming less efficient. Last but not the least, based on its profitability ratios, the company’s ability to make profit is decreasing.
Having strategically acquired rival businesses in the global financial crisis, set up its Botany Paper Mill and making its Australian division independent, Amcor expects its financials to improve dramatically as the ramifications of its moves unfold.