why the fall, page-21

They have about $8 bill equity

Thats 8000 million dollars for those without a calculator


take 20% out for a fire sale if required
take another 20% out for overvalued stock

now 60%

leaves $4.8 billion

Its now 70c

What is the MC then.......yes crazy isn't it?

They will get at least 4 months grace from the courts to sell assets keeping the banks/lenders at bay if it came to that

Plenty of time to sell.....

Dont believe the hype.....not a great story here.....but im sure not a bad ending


RAMS.....what price did it drop to??

And recovered to??

And saved.....yes

By whom??

Media and broker hyped bshite as usual
Notice the brokers chating are the ones not in
they will be shortly

40c was ridiculously cheap
50c too cheap
60c cheap
70c worth a buy

worst case insolvent............wont happen imo

what will happen.......??

I think

they will get short term loans to cover the repayments.....

noone can touch them then.....
and sell off their US assets slowly at reasonable prices until they end in a satisfactory position.

% of equity wont change that much....maybe 10%

less assets
less debt
less risk

People are yabbering on about the 70% LVR on their properties.

Most commercial deals are 60-65%

70% WITH A GOOD INCOME RETURN IS NOT EXACTLY HIGHLY GEARED.

Most residential homes are 85% plus....now thats highly geared....and with no income.

Just my thoughts