The $40M is the cost of the loan extension, the cost of Centro's lawyers, advisors, etc. and those of the lenders - since the lenders would have applied screws to Centro in order to get the extension, i.e. we will extend but you pay all costs.
If you are wondering what the $40M is for, call it kick-backs, bribes and sundry expenses essentially a) blackmailed from Centro by its reneging lenders and b) additional costs needed to find a resolution.
BTW, I've worked for banks and this is their MO - we will cruch your numbers and if we don't like them, we will suggest alternatives - none of which, of course, you will like or is in your best interests.
BTW, if want examples, how about Pasminco, Adelaide Steamship - should I go on?
CNP Price at posting:
0.0¢ Sentiment: ST Buy Disclosure: Held
