SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Microcap & Penny Stocks : SVCDQ, temporary board?
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: Arthur Tang who wrote (33)3/21/2000 10:53:00 AM
From: Arthur Tang  Read Replies (1) of 66
 
Stockholders' business plan vs. SVCDQ's business 2000 plan.

Cusano's plan involves reducing the size of SVCDQ stores. Run a deficit plan until April, 2000. By then all the credit from Fleet and trade credit will run out. Some cash will be raised by May clearance liquidation sale. Catalog and Web site sales will be minimum, meaning can not pay any bills. That is confirmed in the 8k filling with SEC of negative EBITDAR for 14 months. At the end, a reorganization plan will have new revolving loans and new trade credit from suppliers. Bondholders, previous and present creditors, and present banks will receive new stocks of questionable worth. Stockholders are totally wiped out.

Stockholders, however, will propose a plan, where all assets will be turn to cash. Have a cramdown of bondholders and unsecured prepetition creditors with preferred stock or massive common stock distribution. Revolving loans will stay the way it is. Trade credit will be paid off with revenues from store clearance or liquidation. This is more conservative but depends on many events that SVCDQ will need good fortunes. Such as a plan to bring back all the customers in the stores. And help to sell all the unwanted assets at maximum value.

Good luck stockholders you may win.
Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  

HomeMailHotSubjectMarksPeopleMarksKeepersSettings
Terms Of UseContact UsCopyright/IP PolicyPrivacy PolicyAbout UsFAQAdvertise on SI
© 2025 Knight Sac Media.  Data provided by Twelve Data, Alpha Vantage, and CityFALCON News