Kaploki,I wouldn't be here if I am an insider. I have 10 years...

Kaploki,

I wouldn't be here if I am an insider. I have 10 years of corporate lending experience, and thus know the banks' key considerations in restructuring/extending loan facilities.

First glance at the P & L statement, it appears shocking. However, cash is king. In this regard, VPG demonstrated strong operating cash flow generation capacity,despite revenue being down 14% vs pcp.

LVR details are not disclosed. However, LVR covenants are in compliance, suggesting strong security cover for banks. Mind you, the banks also asked for additional security of AUD74mln (or thereabout).

Security cover and ICR are both satisfied on the part of the banks. Hence the restructuring/extension.

If banks are comfortable with the above, why wouldn't they take the opportunity to earn more interest income, and avoid fire sale and erosion of their security position.

There aren't many good new lendings under the current environment, they might as well hang on to the existing viable loans.