BUR, page-19

Morning Jimmy_C

Perspective

Such is a perspective. Half full or half empty

I state the 60% off IMF-Bentham's high. Which is as delicate way of stating the drop - for when stated from a broader, fuller perspective - say compared from the IPO to the peak, that decline would be a 600% decline!

Yes - hardly management's fault - IF, and only IF, management was completely oblivious to the number of appeals headed their way.

Clearly they were completely oblivious.

And that was somewhat disheartening to realise at the time.

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30 June 2017 - Quarterly

I am well pleased by the last quarterly.

My DCF/EVA assessment for the year was based on a estimate of receipts from customers at $108.9m ($224.4m -2018ª) which has played out at $116.3m

Matter related expenditure $85.5m ($82.6m) Staff costs compare wellish $25.4m ($18.8)

Administration costs are not pleasing $19.9m ($8.6m) ?

Taxes paid are up which is always a good negative/positive indicator. $11.6m ($5.3)

Sadly I always have to scratch a disheartened gonad when it comes to IMF-Bentham's cash management.

The $144.9 ($122.7) cash on hand is about 85¢ a share at today's share price of $1.95. Meaning 44% of IMF-Bentham's value is tied in a largely dormant asset. The $122.7 in 2016 earned $2.7 in interest through 2017 or 2.2% before tax.

Yet on the 5 ^th Apr 2017 IMF-Bentham issued tranche 2 notes (tranche 1 April 2016) for $41.18m excluding three quarters of million in upfront interest! Bang! just like that! So a net receipt if $40.40m and a 7.4% ongoing interest commitment.

It'll cost IMF-Bentham $2.99m p.a. to put that cash on the balance sheet, and I can not see the immediate need for it.

Expected cash receipts in 2018 of rought $225m should carry IMF-Bentham way past the liquidity bottleneck in and FCF drain it can expect this year, and that, if ever will arise towards the end of financial year end 2018 (June next year...) under the pre-FIG funding vehicle assumptions

However the US FIG Vehicle ought restrain borrowing needs substantially through 2018.

Yet IMF-Bentham borrows $40.4m now.

The reason?

Seemingly - "Because they can?"

What is a mere $3 million of shareholders money?