"GPASAS if they don't make the repayments on the PXUPA they will no doubt be considered higher risk by their banking syndicate and be charged accordingly."
I would think the bankers would feel more secure if the PXUPA dividend was retained by the company rather than the reverse considering the losses that the company has been making recently.
In 2009 both six monthly distributions were withheld from the step up security shareholders (PXUPA) and the comment was made by the PPX general manager at the time that the Paperlinx lenders have the right to approve or disapprove the payment of those distributions.
In those circumstance I think the PXUPA shareholders can consider themselver rather lucky that they got the last dividend.
GPASAS
SRS Price at posting:
7.5¢ Sentiment: Buy Disclosure: Held
