zzzazzz,the original sale price for Allco HIT was $146m and the...

zzzazzz,


the original sale price for Allco HIT was $146m and the total asset value at 30 June was $172 which means it was sold for 0.85x asset value

now champ is going to shave some off that, but the sale price should still be 0.75x asset value

this demonstrates
1. financial assets can still be sold in this market
2. the prices are still reasonably robust. Allco HIT is hardly a prime asset.


remember, when you buy a company you are paying for its EQUITY. if the equity value in allco is just $1, it means allco notes are worth full face value.


i am actually quite optimistic of a good outcome for afgha holders. to think afgha holders would not receive anything if foolish and misguided. we will probably get most of the face value back as the Allco HIT transaction indicates.

if allco can pay back all the senior debt i would be happy to get a pro rata distribution of the aep shares in exchange for the notes because they are worth alot more than $1.80.