You will prepare and submit a term paper on Analysis of Financial Statement of EasyJet. Your paper should be a minimum of 2500 words in length.

You will prepare and submit a term paper on Analysis of Financial Statement of EasyJet. Your paper should be a minimum of 2500 words in length. A mix of 50% equity, 25% bonds, and 25% money market funds would perhaps be practical for you at this time. We can alter this mix in subsequent years when a more conservative investment position would be appropriate.

Since you expressed interest in one equity in particular and you requested me to study the Annual Report of EasyJet, I should like to inform you that the analysis of a company's Annual Report is only a starting point in your learning journey of how to appraise a company for the purpose of investing in it or, if you already have an equity position, of maintaining, or even increasing your existing portfolio in that company. Later on, you will find it helpful to access other sources of information which will not only add to your stock of knowledge of a particular company but also do a check on the facts and analysis.

EasyJet's Annual Report contains essential information about the business as a whole, the financial summaries, the financial statements, and the accompanying Notes to the financial statements. The letter of the Chairman/CEO gives you an introduction or overview but it is not a substitute for a more thorough and detailed study and analysis.

The Business Review section of EasyJet's Annual Report presents some - but not all - essential information for users of their financial statements. The information provided in the Business Review consists of those that the management feels are important for the reader to know before giving more detailed and in-depth information. During the year under review, the company, consistent with its strategy of expansion, acquired GB Airways, increasing significantly its number of aircraft. This means the utilization of a large portion of its cash reserve from operations for the purpose. It has also expanded and diversified its airport network despite an environment of generally slow demand for travel. Because easyJet was able to attract travelers owing to its reduced fares, plus the sourcing of ancillary revenues from other activities, it was able to increase total revenues for 2008.