gnspa - gns could trump 1h if bought gnspa, page-23

Please note that the maximum conversion number still applies. Refer announcement dated 19/11/2009:

"Gunns Limited recently completed a rights issue. This rights issue affects the maximum conversion number and minimum conversion number for FORESTS. The revised conversion numbers are as follows:
Maximum conversion number 421.7 (previously 407.9)
Minimum conversation number 19.2 (previously 18.6)"

What this means is the full $100 face value of GNSPA is supported by an ordinary security price of 23.7c. At a current price of $55.00 it is supported by an ordinary security price of 13.04c.

I have looked very hard at Gunns and believe that at sub $60.00 it represents a high risk / reward payoff, however, it is possibly because of thin trading volumes and the potential for panic that it has further to fall so part of your powder should be kept dry.

Gunns' Board needs a serious restructure but there is also
a vast difference between its business and those of the managed invesment businesses such as Timbercorp which were "one trick" businesses (or schemes).

GNSPA is a good way to play Gunns in the same way BEPPA was a great way to play BBI if you believe there is enough asset value relative to debt to extract value.