Orwell
of all the companies you mention, only 1 survived ( Burns Philp )
common thread of all others was lack of cashflow / high debt. bpc had strong operating cashflow , and could repay debt , and had real assets.
if a company has enough operating cashflow and does not need its bankers to kick in dough to keep the doors open, it will have a better chance of pulling though.
extending loan terms is a different proposition than increasing lending without any clear timetable for repayment.
fge still needed the anz to pay the bills, and anz got to a point of realising that fge was going to burn cash for a long time, without any one else sharing the risk with them ( could not get cap raise away ) , so it called time.
suggest anz will burn some serious money here, not great considering they only became the main banker in july 2013.
board report to affairs will be interesting reading.
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