They are implementing the plan, and , as they stated, will not be slowed due to financing. However, 3% additional on 50M plus the prior debt at 13% is still a hunk of change when it comes time to figuring out what's left for all of us after the bills have been paid. Hopefully, they'll be able to convert it to cheaper debt very soon.
In the mean time, consolidation efficiencies will be the name of the game to make the bucks. Then, cheaper debt financing kicks in to boost earnings - kind of like a two stage rocket.
If they can get the stock price up enough, equity might also be the way to go for some of the cash.
Finally, some closing must be around the corner. Remember, in the conference call, they had (if I remember) about 110M still available with out any new financing. This 50M is additional. hmmmmmm.
In sum, mixed reviews.
Regards,
Dan |
