TIM - My view, page-22

What a load of rubbish zwu.

For starters if the number of shares on issue in GTP goes up, then the earnings per share must go down.

"2. The total value of these "converting preference shares" is $45 M. So even if it had been a debt, it was only a fraction of TIM's total assets about $136 M (June 2001 data excluding the part of this $45 M). So as I suspected before the so-called "huge debt" of TIM is just a pure rumour."

A fraction it is but 33% is a pretty substantial fraction which will result in a huge potential dilution of the scrip and a $4.05 million interest bill.

Presumeably this raising was used to retire existing debt and IS debt however you would like to describe it until such time as it dilutes the existing shareholders.

I have gone back to the May '01 ASX tables which show TIM as having a debt/equity ratio of 87.8%. By January of this year that had fallen slightly to 83.5% and this is what still shows in the ASX tables as at today despite the issue of the 45 million pref's.

This arguement is a complete waste of time into this minutae with so many different debt figures for TIM.

The only real truth will be known when the companies close their books on this year in a couple of weeks time.

As I posted earlier, I believe the whole sector will do well, it is simply a matter of degrees. Since you clearly only hold TIM, I trust they do well for you.

With any luck todays fall to 54c intraday should mark the bottom of their recent slide technically. (I suspect we both hope...)

Cheers,