Get your facts StraightFirst of all they have a year to pay down the bridge loan of 6 billion as of October 30, 2008 --> not a couple of months but a year... the remainder of the financing is due in installments over a three year period..... positive cash flows and growth in revenue (considering slumping commodity prices) --> i guess those are signs of bankruptcy, very inteligent analyst on BNN, i wish i could hire him.
As for "firstclass"... I would love to know how you quant out any of your predictions, or are they simply propoganda, which i think they are..... This guy is extremely undervalued...less then a third of book with a significant amount of cash on hand and over a year to fulfill the bridge loan.... take the time to read the mda&a.... a complete over selling which will reverse its course....
And if you cant tell im bullish. not to mention double digit returns on both assets and equity....
"In addition to our operating lines of credit as at September 30, as outlined above, we have
arranged for a total of US$9.8 billion in financing to be provided by a consortium of 25 banks to
satisfy the cash portion of the Fording acquisition. The acquisition financing includes a US$4
billion three-year amortizing senior term loan facility, which is payable in 11 equal quarterly
instalments beginning in April 2009, and a US$5.81 billion senior bridge loan facility, which
matures 364 days from drawdown, which is expected to occur on October 29, 2008."
best