there asset value is the main play of course,however,thanks to...

there asset value is the main play of course,however,thanks to BBI mongrels, no value is placed on the goodwill of the company and its integrated business.Bring a bit of that back into the equation and our debt looks a lot better.So does our debt to asset ratio.That was what the BBI deal was all about.added $350m to our assets,allowing writedown to market of a number of assets.Expect some writeups over the coming years as Alinta markets are revalued back up as the gas price is passed on.No carbon tax uncertainty has added rather than reduced values of coal fired power stations,so expect them also to rise in the future,even using the heavily discounted models which have been used to get the last set of values.
All it takes is a fall in the Aussie dollar by 10% and all new gas turbines go up,so must the value of existing plant.
Just because the realestate agent says your house is worth so much,because he's got a mate in the wings with a paintbrush looking for a quick flick and he gets two sale commissions,doesn't mean he's doing you justice.
Its a bit like having a wreck in your garden.your wife will give it to the first person to make an offer to take it away,even if that's less than the value of the two new tyres sitting on the front and its value as recycled scrap steel.
The reality is the companys circumstances are improving with each step it takes and each day it continues to trade.I for one reckon the existing management have done a wonderful job at appling pressure to lenders and keeping our equity secure.
No i'm not fixated on $288m,but reality says interest on $3billion total debt is around $240m leaving around $40 million cash to either grow business and profits or pay down debt.Paying down debt adds a $3million dollar plus interest saving to the next years accounts.The origional covernents for the loans required only a 15% interest cover.In laymans terms that would be $240M + $36M surplus cashflow.So i think we are that close to being on the positive side of things and one good or exceptional year with a clean balance sheet,which we are approaching is all we need to lead to a positive reappraisal of the business in our bankers eyes.
no different than paying down your house if you remember back that far.In the good old days you were trash while you had a second mortgage and their mate ace client when you paid that down,so much so they'd do anything to get you further in debt.