Debt to Equity, page-2

I think banks have done their debt for equity calculations.

they figured a haircut of $1bn against Moly-Cop worth 1.5Bn wasn't a good equity loss deal.
To put everyone on the same playing field equity wise V.A. has done that.
A year is enough to establish where the pennies fall and restructure/revalue business units.
They knew for a start that all debt would earn interest for another year on the full value of loans.
A $100m income plus for lenders or $950m of the GSO haircut left (based on 50% debt forgiveness and 50% loss of interest on near $100m)
Moly-Cop's going to shed another $100m plus worth of cash on top of that.
To Put it bluntly that adds $100m to ARI's global assets upfront.
Steel other than Whyalla is booming and ARI's probably looking at $100m PLUS from there.
IO if current prices hold will be making around $150m cash generation -less any capital reinvest and SI trailers.Those boats appear to be chugging around at high rate at the moment.
It would be interesting to hear how the train schedule has increased.
A comment from the administrators concerning a temporary boost in IO exports to catch current prices would be welcome and how much------HINT HINT HINT.
It certainly would beat counting boats/tonnage as I have been.
Whyalla should be cash breakeven with the rise in steel prices.

It all comes down to mining continuing instead of REDUNDANCIES.
Currently making hay while the sun shines.
And WHYALLA re jigging and at what cost to staff and ARI resources versus REDUNDANCIES.
Some pressure coming off with the rise in domestic steel prices.

These things coming right and will leave ARI with business equity ABOVE DEBT.

I think the restructuring and re-floating of DICK SMITH has ensured AUSTRALIAN BANKS are not willing to see a transfer wealth to any intermediary and a future haircut for funds they manage.

DYOR + DYODD Shareholders are willing/will be willing to work with administrators to ensure a CLEAN BOARD replaces the existing rabble when the re-list occurs June/July next year,for the start of a new financial year.