RE: RE: RE: Cash on Feb 9 Report Jason, the A series may be converted, the decision to convert them has not been made. An alternative instrument may be substituted.
IMHO, the B series will not be converted as they are not due until 2017. Again, no decision has been made about them.
The issue about doing the conversion, the way I see it, is the dilution will water down the EPS numbers. As of the last quarter, stripping out the writedown, the EPS would have been about 43c per share. At a simple 10 EPS multiple the common share price would be $4.30 per share. I know some will say that can be fixed with a reverse split, but a RS typically is a killer. Not really something we want to see.