analysis of timpb and tim

I would appreciate some comments on this strategy:

Let's be very conservative and assume interest is not paid on TIMPB, and if it is treat it as a bonus (6.75% fully franked times $2.00 face for each note=13.5 cents for two more payments to Sep09 and notes are at 40 cents);

so
Buy you TIMPB at 40 cents
and sell TIM at 16 cents
ratio 2.5 TIM to one TIMPB

in Sep09, you get 4 TIM shares for every TIMPB

payout Sep09 as follows
if TIM=0 (company goes BUST), + 40 cents from TIM short and -40 cents from TIMPB=breakeven

if TIM=10 cents, result=15 cents from TIM short and 40 cents from TIMPB=55 cents payout

if TIM=20 cents, result=(10 cents) from TIM and 80 cents from TIMPB=70 cents payout

if TIM=30 cents, result=(35 cents) from TIM short and $1.20 from TIMPB=85 cents payout

if TIM=40 cents, result=(60 cents) from TIM short and $1.60 from TIMPB=$1.00 payout

if TIM=50 cents, result=(85 cents) from TIM short and $2.00 from TIMPB=$1.15 payout

if TIM=80 cents, result=($1,60) from TIM short and $2.00 from TIMPB=$0.40 payout

if TIM=90 cents, result=(1.90) from TIM short and $2.00 from TIMPB=$0.10 payout

so is profitable trade between TIM=zero and TIM=$1 approx

Does anybody have a view on this strategy?