hybrids friendless on the bid , page-4

Deadfish,

Your remark that "even if PPX get 10% of PXUPA - big deal". I strongly disagree. This is a significant chunk of debt wiped off the balance sheet, millions in fact, enabling PPX to achieve greater market cap and thereby enhancing options for funding a turnaround.

My bet is a return to profit by FY2015. Not only will PPX be in a better position generally, but also a better position to negotiate with remaining hybrids. Administration is a long way off, as the board have yet to explore other funding otpions. Keep in mind the positives: a slight drop in paper prices from the mills would massively impact profitability; also, believe it or not, there are still healthy profit-making components of the company. These could always be used to as leverage in the case that insolvency, however unlikely, faced us.

The hybrids and ords are now in this together. The takeover offer was fair and reasonable based on the current circumstances. Let's hope that UK gets it act together and expect a further reduction in losses and success of restructuring to be reflected in the upcoming half-yearly results.