Chesswood Group Ltd T.CHW

Update brutal!!

[shawshank2]

Brutal ouch. Over 30% have received payment deferrals. They say 90% of deferrals have made payments for june but they would still be modified payments. The economic downturn has just begun and a third of their loans are looking rocky. "While not in violation of any banking covenants, we approached all of our lenders in the early days of the onset of the pandemic, in anticipation of future stress on our covenants, to reach mutually acceptable terms for managing through these unprecedented circumstances". Future stress on covenants...that is probably why there has been no insider buying. They renogotiated what? It is very vague and my guess is we will not be seeing a return of a divy

[Capharnaum]

Considering that current share price is discounted for a bad loan rate of about 30%, the fact that it was a deferral and that June has been paid up. Also, you're reading it wrong, they say that 90% of those who got deferrals (for April/May) made their full payment in June by automatic debit. They have also been cashflow positive each month, which is pretty good considering the circumstances.

[shawshank2]

It doesnt say they made full payment just that they made a payment More specifically, over 90% of Pawnee and Tandem accommodated customers scheduled to pay in June by automatic debit, made their payments. Most of our customers pay through this method. Meaning they could be making partial payments. The sp is factored in for near bankruptcy. You have to dig deep but my understanding is that all of

[Capharnaum]

First of all, nowhere does it say they were not in compliance with covenants. All businesses that were hit early on approached their banks to get relaxed covenants, even if they didn't think they would breach them. Second, most of the debt is secured from clients accounts, which means that if the bank doesn't want to work around the covenant, they can let the client accounts go (instead of

[shawshank2]

If you think this is good news the i would like you rose covered glasses. The economic downturn has just started and their portfolio is is the garbage

[woolco]

Agree. Everyone who could...really thought about it.....asked for a deferral.  Why not...you own a business...there is a stress on your business ( real or implied) why not defer rent /payments on 60 days worth of debt to later in year etc.  All it does is improve cash flow. CHW will likely get most or ALL of the money this year...as the deferrals were a temporary measure ....and we are

[shawshank2]

The pain for small businesses has just begun. All of their debt is secured if they breach covenants shareholders could be wiped out. If shares are a good deal right now show me insider buying?