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Comment on Port-a-potty company files for bankruptcy to wipe away $2.4bn in debt

mycodesucks@lemmy.world ⁨1⁩ ⁨month⁩ ago

Okay… I have to ask… HOW does a port-a-potty company wind up 2.4 billion in debt???

You buy the port-a-potty, you rent it out. You delivery it, you pick it up, you clean it. I cannot imagine an industry with more predictable costs.

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chicken@lemmy.dbzer0.com ⁨1⁩ ⁨month⁩ ago

USS said that its high debt, which funded several expansions and acquisitions over the years, became unsustainable in recent years due to high inflation and a downturn in residential housing construction in the U.S.

Many of the company’s biggest customers are construction sites, and lower construction activity cut into the company’s revenues while interest payments, fuel and labor became increasingly expensive, according to the company’s court filings.

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- mycodesucks@lemmy.world ⁨1⁩ ⁨month⁩ ago
  It still doesn’t make sense to me… Surely you’d notice you’re at overcapacity somewhere around 1 billion in excess shit houses.
  
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  - chicken@lemmy.dbzer0.com ⁨1⁩ ⁨month⁩ ago
    Well it was owned by a private equity company, maybe they were running some kind of scheme to make it look like the company was worth more than it was on paper which had something to do with why it was so overleveraged.
    
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    Croquette@sh.itjust.works ⁨1⁩ ⁨month⁩ ago
    Or they used the company to dump debt and erase it.
    
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    mycodesucks@lemmy.world ⁨1⁩ ⁨month⁩ ago
    THAT I buy.
    
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