re: Ann: Completion of Senior Loan Refinancin... I came across a...

re: Ann: Completion of Senior Loan Refinancin... I came across a quote that pretty much sums up my decision some time back to reduce my holding in AJA.

"Should you find yourself in a chronically leaking boat, energy devoted to changing vessels is likely to be more productive than energy devoted to patching leaks."
Warren Buffett

I am still holding some AJA but can not find any rational reason for it.

I know the distribution will be announced soon, followed by long wait for the cash to arrive.

Last time around I also elected to wait for the distro of 2.25 a share (equivalent to 22.5c now, after capital reconstrruction) only to see the distribution being almost wiped out by faling SP. And I missed on opportunity to aquire Telstra for $2.60. Eventually I endup getting my planed chunk of Telstra for average of $2.79 and collecting dividend equal to 3% of the investment in the process of "changing vessels"

Needless to say I am a lot happier with good ship Telstra which at least does not leak ATM, compared to leaky boat AJA that has taken in more water since and continued to sink lower in terms of distribution -now 20c instead of previous 22.5c- and SP sinkin bellow $3 aproaching again it lowest point ever.

Telstra gives me yield of 14.7% pa after adding back the imputation credits , since my SMSF does not pay tax and gets its imputations credits fully refunded. I can see some upside to TLS SP for at least three sound reasons.

I continue to hold some AJA with trepidation. They say one should not fall in love with a stock and Buffets comes to mind again. But there should be a bottom for the SP from which it should rebound a bit.

Today's small rise suprised me after another very strong earthquake in Japan and whole marked reportedly spooked by it and dropping severely across the board, the Astro Japan rises.

Now where is anything rational in that?