will pay interest on etwg notes, page-4

Hi Izalokar
The info re etwg interest payment is contained in yesterdays announcement,Results for FY05,page 5.
I am not sure how new accounting standards will affect the notes.
At this stage,it is my understanding that the notes have a face value of $1.00 and rank ahead of ords and prefs shares.
A default on the interest payment would result in early redemption so E and T don't have much choice but to pay the interest.
It was hinted at in the teleconference a few months ago that ""an alternative proposal"" could be put to note holders.
As far as I can see,E&T cannot alter the terms of the notes without noteholder approval.
The main question for me re the notes is not will they pay the interest,but will the company survive.
ANZ have re commited until Dec 2006 so I think we have some breathing space to see if the company can turnaround.
My views only,please do your own research