We're going to look for drawn and undrawn credit lines, which are an additional dimension to debt.

We're going to use Tesla and we're going to have a look at their year end and we're gonna look at their basic year end, not the amended one that's slightly above it, going into their accounts via their contents page.

We are looking for their financial statements and then we're looking for notes.

You can see there's no contents page, which is disappointing and it means we've got to scroll through and look for the note to do with debt.

That's because there's also no notes which are signaled on the face of the financial statements. What with this being a US gap company, once we scroll through, we can find note 10, which can be found on page 73.

I've zoomed in slightly because the table is very, very small.

It shows you the diverse debt products that Tesla has.

You'll also notice that it has a distinction between the balance and the unused committed amount.

This is very helpful. It's possible you'd look at year end accounts and you would find that the revolver here abbreviated to the RCF revolving credit facility is constantly at zero at year end.

This might get you wondering if there actually is an RCF here. We can see that the RCF can be drawn all the way up to $5 billion.

If we scroll down and read, we can see that under certain circumstances it can go as high as $7 billion.

Looking back at the debt note, you can see this would more than double Tesla's total debt right now at year end, it's not drawn up to that amount, but it could be.

In fact, it may have been drawn up to any amount the week before year end and we wouldn't know about it from this footnote to find out what kind of levels the RCF has been at, we'd have to go looking in management commentary or we'd have to look into detail of the balance at the end of each interim or quarter that's available to us.

This might be necessary to get a really clear picture of the short term debt of a company.

Year end figures can be misleading due to seasonality.

Companies aren't always as clear as Tesla Johnson. Matthew is a large UK chemical company.

It doesn't work particularly well within Felix, so we'll have to go to their investor relations website.

What we can do then is get a hold of their annual report to start with.

We'll have a look at the contents page.

We're gonna go through to their financial statements, which are clickable.

We have to do a fair bit of scrolling, but once we have, we get to quite a handy guide here looking here and if I zoom in a little bit, you can see that we've got all of the notes and what they describe.

We are looking for note 20.

You can see it says borrowings.

If we click on it, you can see a list of borrowings here.

Unlike Tesla, this table does not have any kind of indication of the borrowing amounts that could be taken out.

It's also not really super clear what everything is.

It describes the bonds quite well, but for example, this facility here 2028, it's variable rate, so it's probably bank debt of some kind.

It's not really clear what it is, whether it's fully drawn, what its status is.

There's also no mention really of the RCF in here, so we'd have to go looking elsewhere.

What we'd effectively have to do is start looking for management commentary where they mention limits.

If we look at note one, it has uh, a note about how the accounts are prepared, which can be quite helpful in a wide range of circumstances.

If we look very carefully down here, you can see that they do mention that there is a 1,000,000,005 year committed revolving credit facility newly secured in April, 2025.

Now, this is tricky because that wasn't really very clearly signposted in the debt table, and so you can see that Tesla was much more effective at signaling what its debt was from its debt table to its commentary.

Some financial statements aren't quite as clear like this one that we're looking at here.

These techniques would also be relevant for longer term debt.

If we have a look at Chen Air Energy, you can see that this is a natural gas distributor in America.

Near end as it'll have a bit more detail.

We're looking for their debt schedule, so we'll have a look at their contents page.

Item eight is the financial statements and supplementary data, and you can see that Chenier is showing a really nice contents page for its notes as well.

And that gets us onto note 10.

Debt in the debt schedule.

You can see quite a similar note to that of Tesla with quite a lot of detail.

What's different here is that they're really clear about their bank debt.

They say revolving credit and the SPL revolving credit facility and that's sitting at zero, but potentially is undrawn and not being super clear about how much they could draw.

And down here is something interesting for the discussion that we're currently having, which is this term loan facility agreement, the CCH credit facility, which again is sitting at zero.

These are probably undrawn but committed and we'd want to know how high they could go if we were building a really detailed model to do with debt for Chenier.

If we scroll down a couple of pages, we can see excellent information about the facility size, the amount that's drawn and the amount that's committed by the lender.

And and this isn't just for their short term RCF type borrowings, but also for their longer term, and this would be very, very helpful if building a detailed debt model for Chen year that debt can be a little tricky because the year end or quarterly end amounts may be misleading.

Given that we may have a committed amount that could be drawn upon during the period, but invisible from the snapshot, that's at the end of the period.

To get a view of that, we'd need to rely on some sort of commentary and we'd need to understand what the commitment amount is by looking really carefully at footnotes, such as the one we're looking at right now.