LGC prices, page-27

Thanks anthony.

Sort of.

I too have little problem with the cash sweep obliged by the restrictive debt facility, though this does crimp management's ability to manipulate cashflow and debt to invest in new projects - hence the recent capital raise.

The debt's $US component is just about paid out, which will relieve IFN of the need for interest rate swaps and foreign currency swaps (interest swap liabilities fell from $100m to $68m, according to the 2017 annual report).

My key objection to the debt facility is the high interest rate charged. My back of envelope sums suggest IFN is paying an overall interest rate above 7.1% Refinancing at current market interest rates would have a significant impact on profits. However, debt providers want to capitalise out their interest rate advantage which would negate the benefits I suggest. I think that is an enduring problem preventing refinancing.

They will work it out.

Ash