Ann: Appointment of Voluntary Administrators-ARI.AX, page-62

I believe that the creditors have basically told the management that they have no confidence in their capacity to run the company and that they will not provide any further backing while the management remains in place.

The creditors also clearly believed that the GSO offer was against their interests, hence their refusal to agree.

That really left the management with no choice but to hand over the company to administration. It was only 'voluntary' in that the creditors hadn't called in the receivers.

I don't believe that all of the business will be wound up because some of it is actually very strong. However I believe Arrium is finished and its shares will probably never trade again. Instead I expect a newly capitalised entity to be created. Old Arrium shares might possibly count as rights towards the new share issue.

I'm going to have to die about two years sooner now because of what Arrium did to my portfolio!