AA Share Price (AA.)

Every time I look at this things balance sheet my head spins. How the heck did the banks allow this once great company to borrow such an unsustainable amount of money? The Free cashflow from ops may be great but it all goes straight out the door to the bankers. By the time the bank loans are paid off our grand children will all be driven around in flying cars.

is woody selling this one too ?

I would ignore smallcapjoy who will never understand free cash flow and that free cash flow here would have to more than half before the AA would be unable to meet repayments. I can't wait for Woodford to be out.

smallcap "the numbers show today the AA is in negative equity"

What numbers are you referring to ?

( the AA generates a lot of free cash btw, it from its assets, so it isn't as simple as saying debt is greater than assets ( if that is what you are saying))

Smallcap you're not stating the obvious, you're false with what you're saying.

As AA are currently in negative equity, yes if they were to try liquidate everything now they would not be able to pay off their debts. However the company is making profit each year, reducing this negative equity figure and that is how a company goes back into a positive equity position. If you read the financial statements properly from the last released accounts you'll notice that a company that you believe doesn't have the ability to repay any debts recently refinanced a very large amount of debt to push back payments to 2022. Aromas was discussing the 2020 bonds for 200m that may be refinanced, at the same rate, at a higher rate, may be paid off, who knows at the moment.

Smallcap if you invest in shares, put your money into an investment fund and let professionals calculate your investments for you as from your statements I'm concerned that you don't understand company finances to the level you think you do and I'm concerned for you and your money.