Jamber,CEU has been an interesting part of my portfolio for some...

Jamber,
CEU has been an interesting part of my portfolio for some time. I hold the stock but purchased in well before all of the poor predicted traffic flow figures and of course the mess with the early completion bonus.

From my perspective CEU has managed to deal with all of the mess. They have managed to:

1. Clear up the early completion bonus with Leightons.

2. Repay a portion of their debt and now require no refinancing until 2012.

3. Have achieved positive cash flow as Jamber mentioned.

4. Have achieved a continued ramping up of traffic and are now looking to combine their road with the Peninsula Link.

From all of these points I see little downside from current levels. I guess the fact that distributions will be tied to cash flow may impact payout ratios but at least the payouts will be made in a sustainable way.

I also agree that TCL may wish to become involved given most of the issues for CEU are resolved. I think that it shows some strength that CEU made it through the GFC, albeit with a capital raising. This was not ideal but it did remove some of the refinancing risk for the company.

Good luck to all holders. I would be more positive on the stock but I have been holding since before all this mess started and am sitting on a nasty paper loss. Hopefully there is a re-rating of CEU and we can see some nice consistent growth.