It's called "What-If" analysis. It is taught in many progressive business schools. Perhaps when you get to that level you will have a better understanding.
Hmm.. And here you were the other day arguing about how strong the Receivables side of the SGH balance sheet was...
Well which is it? Strong receivables (that Anchorage would collect), or weak receivables that they can't collect?
Are you suggesting that there are no parts of the SGH business (what we in business land like to call "assets") could be packaged up and sold off as a going concern?
Not Anchorage's problem.
I'm sure the law society have a a process in place to cater for this sort of situation - lawyers move jobs, get sick, die, get struck off, and occasionally go bankrupt.
Right back at ya! Hate seeing innocent investors being misled.
I understand it can be difficult to follow basic arithmetic for someone at your level.
Let's try this...
Imagine SGH is an apple.
First, cut the apple up into ten equal pieces.
Now give nine of the pieces to little Johnny Anchorage (to thank him for buying the apple).
You get to keep one piece.
It's not exact - but it's close enough...
Again - that $3 calculation is just simple arithmetic from YOUR made up numbers - not MY estimate. You can base your workout on swapping the entire $810 million debt for 1 single share if you want to - that doesn't mean it will happen here on planet Earth.
Don't worry - I'm happy - thank you for your concern all the same.
SGH Price at posting:
12.0¢ Sentiment: None Disclosure: Not Held
