Going by last weeks conference call,it sounds like ETW will survive. Key points from transcript.
:Inventory writedown 8 to 10 mil,no further writedowns anticipated :Target inventory for 30-06-2006 83 to 88mil :2005 Net loss after write downs 4.8 to 7.5 mil :Dividend to be maintained because covered by underlying profit(profit before inventory writedown) :2.5mil deferred interest payment should be made by end of July :333 Performance Management consultancy 2006 budget report nearing completion :ETW confident ANZ will provide 8.5mil short term loan upon completion of 333 report. :8.5mil short term loan will be paid back from procedes of inventory selldown and sale/leaseback of Griffith Wines :Sale/leaseback of Griffith Wines planned within 12 months and to raise 10 to 12 mil :ETWG ( convertable notes 8.25%) The trust deed requires ETW to redeem the notes in Oct 2007 for minimum $1.00 face value.
Anyone else following this stock,comments??
ETW Price at posting:
0.0¢ Sentiment: None Disclosure: Held
