If you can wear the risk, I think this is a decent long term...

If you can wear the risk, I think this is a decent long term hold. If they re-capitalise (via a debt for equity type deal) we should see this trading closer to NTA (approx. 15c). Keep in mind there are bugger all shares out there (125 million) and that it has REAL income of over 60 million per year. Should the WA economy pick up, and patronage increase we are likely to return to cash-flow of around 80 million per year. With the operational efficiencies already put in place this should equate to significant income and a decent dividend.

The recent board appointment points to a deal in the wings. With Investor and a number of other boutique funds buying in I think there is real upside in this stock. It's currently priced for failure. If it doesn't go belly up, there is a chance it could double/triple/quadruple. And lets keep the debt thing in perspective. Sure gearing is high, but it's a portfolio of 12 pubs and the debt (I imagine) would be in the vicinity of 85 million. Worth a punt in my personal opinion, however as stated it is a risky play.

DTOR