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Originally Posted by Crazy Enough
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I didn't see that, thanks for posting. They have been given until Nov 14th by their bondholders to raise their cash balance. Also this:
?Generally, when a company?s existing bonds trade at a very low price, normally they?re shut out of the capital markets and have to restructure,? said Jeff Peskind, founder of Phoenix Investment Adviser LLC"
Their rating is CCC current risk for default. They now have 12.8m cash on hand, and have apparently dipped under 10m at times, another bond threshold. They have not made money since 2006.
I still think the key is bond terms. If Conru will change his 243m bonds to equity, they might be able to crawl back out even now.
If they don't generate cash by June 2013 and get their debt restructured they will probably collapse.