q4 positive cash. as good as a warnie wrong un, page-18

Yes, ENG does look awfull financially and appears to be at the mercy of a cap raising takeover by Seven as the SP wallows around at current levels and cash continues to drain.

I know it always easier than it looks but to me ENG looks like if it got in a smart operator in there with a machete that it could be turned around pretty quickly. So far cost cutting does not appear to have gone far enough although I say that wih caution as ENG has seen declining losses per quarter in FY08.

My concerns regarding ENG are really all about their ability to make the hard decisions and slash more costs but I am also mindful of the fact that they have an aging backend and are reliant on Cisco. Remember, Cisco stated in Jan 08 that they would not longer provide upgrades to the ENG Cisco management VOIP backend. This means no new features or major problem fixes as I read it. The effects of this are clear when you consider the VOIP innovations that continue to emerge from MNF such as Virtual PBX, etc and are just not there at ENG.

Some have eluded here on this forum that ENG has upgraded or replaced their backend in FY08, if so where is this information? If they haven't maybe they should give the boys at Symbio a call and see if they can buy some cheap wholesale VOIP backend!

Naked DSL is a perfect fit for MNF as future VOIP growth will continue to be delivered via copper based broadband services. Again, not sure of the financial metrics of offering naked DSL but I would hope that MNF will make their usual 30% out of it?