price slide, page-105

The key to making any money from either PPX or PXU is either a take over or a turnaround story. Turnaround story probably needs asset sales. So before taking a punt you really need to research most of the assets and determine if they are likely to find buyers and if the price will be benefitial to PPX.

I remember clearly the positive outlook many had on BBI assets. They were essential infrastructure. They had regulated and gauranteed income streams. Everyone would want to buy them. BBI would easily get book value, etc, etc.

What ended up happening? Nobody wanted the assets. And when their was interest the price was too low to accept.

PPX is different in a few ways. The sales aren't as distressed as BBI. Less urgency might achieve a more orderly and reasonable sale.

But the assets aren't essential. They aren't gauranteed income producers. Why buy PPX assets when you could start from scratch with your own supply chain.

Some PXU holders criticise the European economy, the asset performances, employee morale, etc. Considering PXU holders would want to see asset sales, clearly its in their best interest to talk up the assets.