RE: RE: RE: RE: RE: RE: RE: RE: RE: Dominion prefe I'm most interested in seing a revised balance sheet for the trust.
In a nut shell, they are creating a debt obligation out of the redemtion value for the perferred shares with some accrued dividend thrown in (but not all). So, in one respect, DMN could be considered as having had a low cost liability / debt on the books for these last couple years. Given the staggered payout it preserves DMN as a going concern while respecting the "Debt" obligation and payout of debt. If the perferred share holder(s) would have asked / demanded everything up front then I'd see then the ability of the trust directors to have pulled the rug out from under the perferred holder(s) and giving them nothing.
Well, the initial "Deal" is known, they have to vote on it and get it passed. If passed, DMN's balance sheet revised to reflect the new reality. Going forward, DMN has to smarten up and generate more gross income, paying off the debt obligation; as well as, add to the bottom line!
Now, we've some clarity but no slam dunk.
As for the value of the Perferred.... Humm.... idea of the worksheet looks good but not played with the numbers so can not confirm accuracy. Happy to review any evolved valuation you or anyone else wishes to provide. I'll be staying out of the Perferred due to liquidity and risk. I've enough trust units to keep me thinking at night already.