Up or Down ??, page-3

Depends if one looks short or long term.

It is inevitable they will sell the papers, tx or the studios and be very low debt.

Its also well know they want prime and the prime board accepted, just the two major holders did not.

Everyone has a price and I'm sure if the deal is correct for those 2 holders swm will merge with prime.

We then have a true national broadcaster, and if debts are low, they can add bolt ons.

There is also being thrashed out with Google and the likes to pay for content, I can't see how it will work myself, but if they get something better than nothing.

So for a long term, plus 1 year, swm is cheap on a pe of 1.

It will recover and it will go back to 30c plus someday.

They said they would sell the property and magazines and did, so they will do what they say.

Swm used to pay dividends. It is very possible they will again as Mr stokes likes dividends. At this price a yield would be greater than 15% franked, plus a nice cap gain.

If one has a margin loan to buy, I don't recommend. I don't recommend buying shares in this climate with debt. The markets are overvalued.

Outside that, if cash and not needed for 1 year a nice punt.

The banks thought so, they gave swm extra debt facility for operating needs. They are not concerned by this.