By all means roll SPARCS over to new date, but to put limits on how the company can operate (ie no divs until whilst SPARCS issued) really is is short sighted.
If the SPARCS issuer has the ability to pay out SPARCS prior to the reset date (ie in the case of a large asset sale(s)) then OK, but if everything hinges on SPARCS still being issued and the date is fixed for Nov 2010, then this is not wise.
Maybe section f: should read that BBI can offer to pay out SPARCS prior to the reset date at face value + outstanding interest, if it is able to re-instate divs to BBI & BEPPA. Those SPARCS that don't take up the offer can then get their 10% until the reset date.
BBI Price at posting:
3.9¢ Sentiment: Hold Disclosure: Held
