takeover now more likely than ever, page-36

'Can anyone put an accurate figure on the worth of CNP assets?'

No-one can because an asset is only worth what someone is willing to pay for it. The accurate figure will become clear when they start selling their assets.

What you can do is estimate are the assets book value. Based on information presented that states Centro manages $26bill worth of assets, and the fact that according to their sophisticated structure Centro own 25% of those assets you can conclude that they have assets worth a book value of $6.5bill. The unknown for me is whether Centro own 25% of ALL managed assets or not.

The next question is whether the book value is accurate or not. The fact that Centro may have to sell assets quickly will most likely reduce their value somewhat. The fact that the US economy is faltering may reduce that value even further.

So the final question for me is wen you take asset value and deduct debt how much does the company have left? This is a critical question as to the viability of the company. It could quite conceivable end up that Centro have more debt then ther assets are worth. In this scenario, once they sell assets, they may have to go to the market for further cash or potentially liquidate.

It's all about the levels of debt. I'm more inclined to think they might fold now then I did originally but at the very most they will be just a shadow of their former self. The price of CNP could conceivably be getting into value territory should they survive. So we have a high risk, high reward situation here. For me the risk is too great for the potential reward.