Collection risk associated with loans to Kanazawa New Grand Hotel and its negative net worth
First written in FY2025. 5 of 10 entries say "Materialised", first in 2026-04-10. Latest entry: FY2027-H1.
The whole theme swung hardest in 2024: 4 of 6 companies on the "Worse" side.
1 other company's latest entry also says "Mitigated".
- FY2027-H1MitigatedAnnual report
「At a meeting of its Board of Directors held on 1 September 2026, the company resolved to transfer all issued shares of its consolidated subsidiary 株式会社金沢ニューグランドホテル held by the company, together with its loan receivables from the subsidiary, and completed the transfer on 1 October 2026.」
The company disclosed that it had completed the transfer of its shares in and loan receivables from 金沢ニューグランドホテル, which was in an excess-liabilities position, thereby disposing of its equity and loan-receivable exposure to the company. - FY2026MaterialisedAnnual report
「Because Kanazawa New Grand Hotel is in a state of negative net worth, a full allowance for doubtful accounts is recorded against loans to the company, a full provision for losses on guarantees is recorded for the company’s debt guarantees, and the amount by which its negative net worth exceeds the amount of receivables and guarantees is recorded as a provision for loss on business at affiliates.」
Kanazawa New Grand Hotel's negative net worth amounted to ¥2,348 million as of the end of February 2026. The Company recorded ¥1,248 million for the full amount of loans, ¥818.90 million as an allowance for losses on guarantees, and ¥281.22 million as an allowance for losses on investments in and loans to affiliates. Collection and guarantee-related risks have materialized as accounting provisions for losses. - FY2025First statedAnnual report
「All loans to affiliates are to Kanazawa New Grand Hotel. Because the collection period is long and the terms have been relaxed in the past, uncertainty exists regarding collectability. Accordingly, an allowance for doubtful accounts is recorded after assessing collectability based on Kanazawa New Grand Hotel’s financial condition and repayment capacity.」
The Company recorded an allowance for doubtful accounts of ¥720.01 million against long-term loans of ¥1,268 million to Kanazawa New Grand Hotel. The hotel is disclosed as having negative net worth of ¥695 million as of the end of February 2025.