deadlines, page-17

If the company doesnt report by 29th Feb, the ASX can and would suspend them until they do, this always happens to a smattering of small companys every six months. The voluntary suspension would then become less voluntary until they lodged accounts. No big deal given the current suspension.

What this company does well is leasing of the aircraft and rail assets. Safe to say what it has done poorly is asset origination - buying assets and rolling them into funds. An inability to do this has killed the cash flow to the extent that they could not at present meet the May deadline for debt rollover / repayment. Perhaps they have already been to their bankers for more cash, and been knocked back, triggering the current problems and data room opening. I would speculate that their latest financials, whilst showing profitable trading, have a going concern rider attached along the lines of banker support or need to raise cash to continue. Even if they don't we all know it anyway.

If AFG is to recover it needs to keep the leasing division. It needs to get out of or stop asset origination - the game is totally up for them on this, they can't close their funds and they cant afford to keep these geared assets on the balance sheet. In better times the leasing division would bbe worth north of $2 per share, but it would be unlikely to realise that in a fire sale. If they do sell leasing they would probably do a capital return of sorts and goodness knows what would happen with the rest of the company - it would be a crap box.

The company is in some cash flow distress, and that is bound to be reflected in the share price when the co re-opens eventually for share trading. But to what extent will depend on how well they manage to pull themselves out of the current cash flow problem. An equity placement would be expected to be at below the last SP and that's the best one can hope for (in combination with an exit from asset origination)