im calling azg a screaming buy...why? read on, page-6

SnowKAT IM certainly not disagreeing here as working capital is the Net Working Capital = Current Assets - Current Liabilities
Net Operating Working Capital = Current Assets - Non Interest-bearing Current Liabilities
Equity Working Capital = Current Assets - Current Liabilities - Long-term Debt- AZG dosent look good on the balance sheet but the forward work and contracts protect them somewhat

A company can be endowed with assets and profitability but short of liquidity if its assets cannot readily be converted into cash. Positive working capital is required to ensure that a firm is able to continue its operations and that it has sufficient funds to satisfy both maturing short-term debt and upcoming operational expenses.

The management of working capital involves managing inventories, accounts receivable and payable, and cash.- liabilities so in terms of this they do require capital as they have no cash except for what they can draw down from the remaining bond which is essentially a loan-

A capital raising would make me less nervous but over the long term subject to achieving margins we should be fine- all determined by the current global situation - Global demand slowing for manufacturing which has impact on metals and mining sector in general-

Greece situation needs to be resolved to give overall market confidence of all stocks will get hammered again=-- it wouldn't surprise me if AZG got under 10c short term but if that happens i will buy more- thats the game im playing


MMM