bbn020 bonds being bought back again, page-21

Hi Nicklees,

We "speculated only" a little while back on what circumstances would prevail if a cap raising was attempted.

It was mooted that some "extraordinary company event" would allow the Beppa's to be converted into BBI's and that another new preference debt security at new terms be made available to raise capital. With existing debt levels only just being serviced, it would appear unlikely that it will happen without a watertight plan and the plan atm is to sell assets rather than sell debt. I am sure they would rather sell equity but at what price?. The recent Sparcs vote available choices reflected this.

As you have pointed out, there are numerous reasons why this is not likely to happen, one is the obvious that the SP reflects the uncertain road towards dividends atm. If it could happen, I am sure it has been considered, there are clauses in the beppa documents that sound like a last ditch escape, although I am not totally familiar with how they would or could be used, if at all.

Perhaps a beppa aficionado can set this straight.

ifandwhen