the big picture, page-4

John S.
Xf1 –cbartel is just as entitled to an opinion on Asciano are you are.

He also explained his connection with the company and where “he was coming from”.

What about you? Where are you coming from?

You seem to have unbridled enthusiasm for a man who has overseen a share price that has fallen from $10.00 to 40c and now that it’s just started to climb again wants to sell out the retail shareholders.

I take issue with your question “Regardless of the current financial restructuring methods being used ,there is only one question to ask yourselves...what do you think the Asciano share price will be in five years time ?? Regardless of the current financial restructuring methods being used ,there is only one question to ask yourselves...what do you think the Asciano share price will be in five years time ??”

The particular method of refinancing must have a dramatic effect on the share price. There are currently 699 million stapled securities on issue. If the board have their way, there will be 3,011 million stapled shares on issue at the close of this fiasco.

A share price of $1.83 (pre halt) with 699 million shares is equivalent to a market cap of $1,279 million.
A market cap of $1,279 million + $2,350 million (from raising) = total $3,629 million divided by 3,011 million shares is equivalent to a share price of $1.21.

Let’s look at the comparison of AIO’s share price/market cap pre GFC:
A share price of $9.00 (Approx price Sept 07) with 699 million shares is equivalent to a market cap of $6,291 million.

A market cap of $6,291 million + $2,350 million (from raising) divided by 3,011 million shares is equivalent to a share price of $2.87.

When will conditions improve to such an extent that they could be considered equivalent to pre GFC? (This is simple maths, if anyone sees any errors please advise.)

Don’t expect this massive dilution to cause the SP to go through the roof in a big hurry.

Vote No.

John S.