price slide, page-58

Correct me if Im wrong, but what can PXU do? They don't have any voting rights, and since pxu is perpetual and ppx are under no obligation to pay dividends to them, then, they can just stay in limbo until paid out in the long term when PPX returns profitability?

So my understanding is, the only short term risks to PPX are the breach of covenants and how bad these are, which seems to be restricted to only the european businesses. Which means hopefully US business, australian, asian and perhaps UK businesses although not terribly profitably should be okay in the short term and after cost cutting better in the medium term.

So I guess how bad the impairment charges are from a 22m loss, that is the question. And what kind of impact this will have on the covenants and what are the ramifications. Note that they did manage previously to have covenant breaches wavered, (at some cost) can they do it again?

After 3 years of losses, this last half is surely a big disappointment. And it would be easy to point fingers, but at the end of the day, the EU is probably in the worst situation since end of WWII, and SEQUANA is starting to make losses as well, so the macro environment is extremely challenging. I guess we will just have to wait until the half year results come out and see how well they really are doing. But the longer the EU crisis drags the sooner it is going to rebound. After the rain comes sun again. Now is the time to be patient and join together so we can bring back paperlinx to its former glory days.