Ok, sorry for mulitple posts but this baby has peaked my...

Ok, sorry for mulitple posts but this baby has peaked my interest. Now this info is from PNA's last Annual Report in April 08 so it is pretty out of date but I will look at the quarterlies to suss out changes. The debt situation is interesting:

ANZ + 9 other banks = 160m over 7 years plus another 47m in working capital + another 35m in mobile equipment leases. The majority of that as to be expected had been drawn down in April. The upshot is that they will be working to pay this baby off and it is essentially secured debt from teh look of it, at least the 35m. All of it is in US dollars.

The sub debt is 80m from Goldman Sachs JBWere who did it for 5mil of options at a price of $1.14 by March 09. Suckers. At least it is only one Bank they have to deal with. Yes, the term is 12months and they probably have a 90 day refi period to default so that is good you are right Viktor. But the rate is Libor +4.5% - pretty steep and it will get steeper yet if they tried to roll it over. But on the bright side Libor is only 2.2% so they are doing well on the interest costs I bet. However, come March I would think that there will be a refi step up rate kick in to incentivise PNA to get the amount refinanced elsewhere. Don't think that GSJBW will be kind and nice on that one.

So, I am not sure if this is all good or bad. If I come up with more while I am bored here in the office, I will post.

For the long time watchers of PNA your thoughts and opinions would be greatly appreciated.