Since we know that its going to be a big loss, lets get something positive out of it. By readjusting their profit/loss from 2006 their tax liability should imho be reduced. Write down does not affect cash but it should reduce tax liability (debt) So as long as it does not breach the bank convenants, it would be a good thing to clean up now so it can move forward. I am holding my share which I bought last year for $6.00, it is painfull but I am confident ABC will survive one way of the other. There's too much at stake to let this business collapses. Fannie Mae and Freddie Mac were bailed out because they are to big for US government to let them fail.
ABS Price at posting:
0.0¢ Sentiment: None Disclosure: Held
