tso takeover, whos next i wonder, page-6

dharry

Depends on what suits the insiders doesn't it? However I agree that it will be better to flog a lot of it off. Any increase in interest charges will quickly use up the excess of NOI over interest.

I doubt the lenders will offer AEZ their best pricing. I'm not sure how AEZ would be rated by the lenders, but in aus at 30th June BBB rated corporates were paying a spread of 407 bps over gov't bonds. I cannot imagine AEZ qualifies as BBB equivalent rated. I think their interest rates will be 7% minimum to sort out the breaches of covenants, if they can borrow at all.

see this for capital market spreads. http://www.rba.gov.au/Statistics/Bulletin/F03.pdf

Good luck to all holders.

MM