village takeover - prefs convert to normal shares, page-11

Hiya,

If u read the fine print, it says something like that they have to pay the pref div only if there is a div in the main shares or something like that, go read the complete dividend statement. I think funds will try and sue but that's not how i like to keep my money invested.

But, the main are safer, prefs have ifs surrounding them. If they don't pay dividends they are not worth very much.

I think funds might be interested in them because VRL might buy them back at a premium with several years of dividend payments in the price to keep the funds happpy if they decided to buy them back as they take the company off the market.

In regards to payment to directors... the amounts the Kirbys pay themselves must be almost
irrelevant to the amounts of wealth they have lost as they own more
than 50% of the VRL stock - would anyone willingly do this to
themselves? NO, I think not.

Mistakes have been made, but, Village actually still has some
tangible assets, unlike other companies (e.g. Southcorp) and trades
well below that asset value. There is a good margin of safety here
as many of the assets can (and have been) sold to pay down debt
levels.

Although no a short term investment - it is a reasonable value play
in a market that is generally overvalued.

Good luck with VRLPA, just because people are buying them and they are big doesn't mean you are safe...