If I was a common shareholder, I’d vote NO.

If I was a A and B Shareholder, I’d vote YES

If I was a C and D Shareholder I’d vote NO

If I was the bank, I’d vote NO.

If I was the MTN people I’d vote YES

If I was the convertible debentures I’d vote NO.

For example, why should the bank allow itself to be lumped in with the MTN’s and take a haircut when they are clearly #1 on the list and have already restricted a payout of the A’s in cash? They already have a straight line to 100% payment at par.

The equity is worthless only when the company defaults on its debt obligations and goes into receivorship.

Last I checked, convert the A’s and B’s and then close out half the revolver and retire debt at
.60 on the dollar.

By admin