Ann: Business Update and FY15 Result, page-5

Gamble with AGO is a better outcome than having go bust and have all those assets sitting idle.

MCS is a solid company going through a difficult period. They should be able to manage their interest burden if they continue to generate strong EBITDA.

The key questions is whether or not the banking syndicate decide to play hard ball if they breach their debt covenants. If they do, MCS could be torn apart as they sell off assets to repay debt. This would be a bad move by the banks given the depressed market for mining equipment.

The banks would be much smarter to allow them to trade their way through the market downturn while they progressively reduce their debt.