Gobbo,I don't know much about KIA, but it seems clear it has...

Gobbo,

I don't know much about KIA, but it seems clear it has substantial debts, little in the way of obvious assets or revenue, and is involved in substantial actual or potential litigation, both as a plaintiff and defendent. I don't know what are the likely financial outcomes of any litigation (or more likely, out of court commercial settlements), but unless they are strongly positive the position seems a bit risky. As you have mentioned, the company is looking at restructuring - presumably to take on another type of business - but any capital injection would presumably dilute the existing shareholders pretty substantially. No doubt this is great for any vulture funds or recapitisation specialists, but why would you want to be a shareholder now unless it guarantees you significant participation in any discount recapitalisation etc? The lack of volume over the past couple of months suggests no-one is taking any major positions before the restructure or whatever.

angus