The capital expenditure commitment will be utilised to purchase chemicals, mechanical equipment, property plant and equipment, as well as pay outsourcing contracts.
The company now has more time to complete the first expenditure commitment, and has also substantially reduced the amounts required to be spent in the first period.
Unfortunately, the revenue-flow underpinning these expenditure commitments proved to be highly correlated to the property market and consequently collapsed.
The company must spend $1.5 million to earn an initial 51% within 3.5 years, including a $500,000 minimum expenditure commitment to be fulfilled within 14 months.
Without scope for new initiatives, governments are reduced to administering expenditure commitments inherited from their predecessors -- and they may not even be able to sustain those.
Improved treasury business processes with fully automated operations, in order to effectively control budget allocation, expenditure commitments, and spending limits, through real-time reporting and accounting.
