Ann: Anvil Recommences HMS Production at Kinsever, page-6

re: Ann: Anvil Recommences HMS Production at ... Thanks MN and SP.

The market has obviously considered the announcement a positive as for today's share price move for example.

On TSX and ASX the "institutions/insiders" have been signaling something positive approaching and apparently this announcement is it!

The following extract from the announcement seems to suggest that Bill is trying to keep the company solvent and move towards operational profit - but in the event of a shortage of available funds to meet commitments, funds may need to be obtained by debt or issuing equity ----------->

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"To the extent of any shortfall in meeting these obligations, the Company may seek to renegotiate the amounts and timing of its liabilities and/or obtain additional financing by way of issuing debt or equity."

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Bill has previously indicated the company is negotiating a loan for $200 million dollars for the completion of the SXEW plant.
Obviously this is still current.

Obtaining the loan is THE IMPORTANT THING.

Once obtained and once the SXEW plant is operating all present and past operations become irrelevant.

The cost of obtaining such a loan is only of temporary relevance.
Obtaining the loan is critical.

Providing Anvil can manage operations to the satisfaction of potential lenders all should fall into place.

The timeline for obtaining the loan is Second Quarter 2009.

This is hopeful but am expecting a longer period for negotiations.
Perhaps even a need to renegotiate or approach other sources.

A viable - perhaps a worse case scenario - would be to accept defeat and invite take-over offers.