A friend of mine recently spoke to a nab bank manager and he mentioned that its not in the banks interest to pull the plug.He also mentioned that if businesses had a good history of paying bank interest and other associated payments then the banks would therefore help them out as long as they were still paid on time or at worst case 1 month delay.No mention about short term debt due on time but one thing that amazed me was they record every bit of detail.i.e. if u said to them that u would come in to speak to them they would record it or saying u would pay next month and u didn't or did then all this is recorded. In a nutshell banks would help them out and arrange some sort of payment method so long as their is a short term problem not a ongoing issue.He also mentioned that banks didn't want to go down that same both as the 80's /90's as too many people would be affected.Banks are in business to make money not loose it.Also mention if 1 or 2 banks wanted out then there majority can pay them out; so it seems like they all don't have to agree as their is that option of paying the minority out.Keep in mind this was just 1 bank not the 10 or so that centro have.Each bank might be different. This is just a quick summary on what a bank manager from nab told a close friend of mine.
I managed to buy some cer 2day which i feel comfortable with as i believe their is some sort of future regardless of cnp and if they had a fire sale of assets which is what cer (the Assets) is about then you'd probably get alot more than the current share price and with orbis buying there will be less available on the market to day trade so less volatility in the stock.Centro Retail is liable, if there is a default by one of its partners, for the unsecured debt within the Super LLC – but only to the extent of its equity investment. Regardless of what happens to super llc but if they get recapped then their is good upside for cer holders .Still holding both cnp and now cer.
CNP Price at posting:
9.2¢ Sentiment: LT Buy Disclosure: Held
