Mckesson Corp Liquidation Value

McKesson Corp (MCK) carries deeply negative equity recovery under the liquidation lens, consistent with its structural profile as a high-volume pharmaceutical distributor. Per MFFAIS metadata, the cash liquidation value (CLV) is approximately -$65.0B, liquid liquidation value (LLV) is -$37.0B, and operating liquidation value (OLV) is -$12.8B as of March 31, 2026. The negative CLV reflects the full haircut applied to non-cash assets against face-value liabilities, particularly the $60.0B accounts payable balance that dominates the current liability stack.

On the asset side, the key recoverable pools are: cash and equivalents at $4.0B (100% recovery), net receivables of approximately $28.0B gross before a $259M current allowance (applying 90-95% haircut yields roughly $25-$26B), and inventory of $24.2B (60% haircut yields roughly $14.5B). PP&E net of $2.7B at 50-70% haircut yields $1.4-$1.9B. Capitalized software ($764M net) and finite-lived intangibles ($4.1B net) contribute zero recovery. Goodwill ($11.3B) contributes zero. The $4.1B of other noncurrent assets includes equity method investments and other items with uncertain liquidation recovery.

On the liability side, the $60.0B accounts payable, $1.3B current portion of long-term debt, $5.5B accrued liabilities, $5.3B long-term debt, $2.1B operating lease liabilities (full face), $189M finance lease liabilities, $5.1B litigation reserve (primarily opioid settlements at face), $1.3B deferred tax liabilities net, and $2.7B other noncurrent liabilities all remain at face. The total reported liabilities exceed $85B against total assets of $82.3B, producing reported stockholders' deficit before considering any haircut. The deficit deepens materially under liquidation assumptions.

Material changes since the prior filing (Q3 FY2026 10-Q, period ended December 31, 2025): The full-year 10-K reflects completion of the Norway disposal (net gain of $503M reported in Other segment), $3.4B in acquisitions during FY2026 (Core Ventures and PRISM Vision), and issuance of $2.0B in new notes (4.65% 2030, 4.95% 2032, 5.25% 2035). Goodwill increased by $1.3B from the acquisitions. The allowance for credit losses declined sharply from $472M to $204M, driven by $483M write-off of Rite Aid receivables previously reserved. The Medical-Surgical Solutions separation is in process; Apollo agreed post-period-end to acquire ~13% minority interest for approximately $1.25B in convertible preferred equity, a subsequent event not yet reflected on the balance sheet. Filing discusses opioid litigation liability of approximately $5.7B in MD&A but the consolidated balance sheet tags this as LitigationReserveNoncurrent at $5.1B; the $600M discrepancy likely reflects current accruals embedded in AccruedLiabilitiesCurrent. The filing does not separately XBRL-tag the redeemable noncontrolling interest balance (discussed in MD&A at approximately $725M+), which is a liability-side item for liquidation purposes that would increase the deficit further.