CANEXUS CORP 6.5 PCT DEBS T.CUS.DB.D

RE:RE:RE:Con Sub Deb

[dudsywow]

Kherson wrote:

The market is concerned that Canexus may go bankrupt before the transaction is completed! It looks to me that the company is getting extremely close to their borrowing limit of $400 million!
As of September 30th they had net debt of $303 million. But since then they have incurred another $60 million of debt to pay off the maturing debenture, which leaves them with about $37 million of available credit. Their 3rd Quarter loss was $17 million so I will assume that it will be about the same for the 4th Quarter, plus they have $56 million of Trade and Other Receivables that I feel has questionable Market Value!

If you read any of their press releases, you would know that Canexus obtained a $60 million non-revolver that they used to pay-off the debenture on Dec 31, 2015.  This revolver is not part of the $400 million credit facility.

https://canexus.mwnewsroom.com/Files/8f/8f98f2aa-7037-43c0-9ae0-975187308318.pdf

Also, if you look at their Q3 results, they generated over $26 million in cash from Operating Activities in the quarter.  They are not going bankrupt before the deal with Superior closes.

Why are you spinning these lies?