Does the holding company receive a distribution on the profits generated by the subsidiaries
If so how often and at what rate
Can this be determined by us or is it set rate
or can money only go back to the holding company via silly little aircraft transfer deals
Ax
The holding will only receive dividend if the subsidiary is listed on the stock exchange.
If the subsidiary is listed it will every week give away 15% of its profits, the percentage of shares the holding own will determine the percentage of those 15% it will receive. For example, if the holding own 100% then it will receive all those 15%, if it own 66% it will receive about 2/3 of the 15% which is about 10% of the total profits of the subsidiary.
cheers
Much appreciated
makes sense for a listed Company to have limits
personally I think unlisted should have some if not greater flexibility to disburse to holding co
If the subsidiary is listed then you can not transfer aircraft for free and sell them back at their book value though.