I agree that AFG should have stood by their letter of support or...

I agree that AFG should have stood by their letter of support or they should never have written it. You, I and most others reading their update last year that talked about supporting Alleasing only bought in or stayed in AHUG because of this support.

However now that AFG is on the ropes big time they have to cut debt however they can.
There are 1.3 mil AHUG that were to be redeemed at $105 so paying them out a max of $50 just saved AFG $71.5 mil. They are also saving $6.7mil on the interest payment that would have been due early Feb by scheduling the $42 payment for end of Jan.

If it is voted down and Alleasing goes into administration you might get 50c to 60c in the dollar back (or you might not) but that may take years in a run off situation.

At this stage I would rather have the $42 and possibly another $8 down the track, as my avereage buying price is much lower.

Not sure if a better deal can be negotiated. Some large holders may have some bargaining power if institutions still hold these. I would like to at least see the equivalent of Febs interest payment being paid.