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Yellow Media Inc T.YLO



TSX:YLO - Post by User

Bullboard Posts
Comment by Baxter4on May 14, 2012 12:32pm
249 Views
Post# 19906292

Q1 - Security values

Q1 - Security values

I've made my own spreadsheet by quarters and see YLO is in trouble when the series 7 MTN come due in February 2015. Playing with the numbers, if they can negotiate with the bond holders to give up 50% of the debt in return for 50% equity in the company, then the company will survive including repaying the A and B preferreds and the convertable debenture. I used a 5% decline in revenue per quarter (18.5% per year) which I consider to be realistic in the next couple of years but pessimistic after that.

 

Depending on what deal they do arrange witht he debt holders, the commons and preferred have huge upside potential, especially the preferreds.

Bullboard Posts