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yesterday I mentioned a strange drop in cash. I found it easily today. here it is for the Interim report.'' The Group successfully extended its 2016 Eurobond maturity to 2018 and 2019 including a prepayment of US$154 million[2] ….so that's where the $154m went to,

Unlikely, we have $108m in accessible cash, and steady cash-flow income of $20m monthly. why would we raise money, our bank account will be rising not falling. Debts are substantial but this company can raise money of need by way of bonds. Unlikely at this stage I would think

correction, he IS facing enforcement from a central bank. Nor a commercial bank.

Hi collateral for those business loans would most likely be the assets of those businesses. However, the central bank announced he gave Personal Guarantees against these loans. That usually means ALL his assets are fair game in a recovery process. Also he is not facing enforcement from a Central Bank as opposed to a merchant bank. Different powers and twice as ruthless.

Ill answer with my nserts because you asked a lot there !The cash at bank now seems to be $106m as opposed to $280m as partly tied up with F&C. - Correct Maybe a legal matter to match off with loans unless part of the loan agreement as you rightly - that's not how the banks work even though it seems normal to laymen. Loans and despots are separate. said. Assume now that loan servicing will stop pending clarification - The loans are Eurobonds tied to assets so the loans will continue to be paid. and also can't access $174m. Working capital needs with $106m, is that sufficient. I think that the working capital is enough, we are cash generating, no Capex due, and profit making with decent margins. loans already reschedule until 2018. we may need very little of the $108m. Assume debt servicing will be deemed to be met via cash held by F & C. --again unlikely as this could be months to years to release this cash. Otherwise very tricky? - I don't think the situation is tricky. we have a profitable business, that will make $230m in 2015, No Capex due, No Capital exp due. Plenty of accessible cash. where is the problem. If we never see the $174m again we will be fine. The same cannot be said for Mr Z, his trouble are with his businesses not associated with FXPO. Had these businesses paid their loans, the Central Bank would not have stepped in. I think they will play very hard ball here reading their media releases. They are clearly blaming him for the administration. his most liquid asset is his shares here. Based on personal guarantees I understand they could take these shares in FXPO worth $120m in liquid funds. I gather his loan exposure is only $160m. Problem solved.

yes the pursue the original value. FXPOs debt repayments was not an issue. Our CEO Mr Z personal debts for other businesses was the problem. His stake in this firm could be seized by the Central Bank and sold to a basket of investors and a new CEO appointed. It is all up in the air at the moment.

Debt written off. normally the deposits and debts are treated separately unless of course a Canny CEO insisted on a contract to link the two, as a form of protection to his-her firm's cash. In any regard I understand that the bulk of our loans are not from this bank. I am not sure about this though. In liquidation the debt is merely sold on to the next bank down the street. …sorry just notice Pokerchips already answered the same question. at least our answers are the same.

the way I see it there are two components that mostly relate to us. 1 FXPO. This company has consistently made money and had a very strong H1 in2015. The debt levels are manageable in my opinion 2 The Bank and the 'lost money'. I have written enough here on this. but I believe we will recover significant funds here. Mr Z, seems to be the target of the Central Bank energies. He just received $16m dollar dividend from FXPO last week. speaking of dividends. I expect our dividend here to be cut to 2p. I think the management would take a conservative approach. I doubt they would slash it completely unless there is a severe shortage of cash.

that's it.

mr Z could be forced to sell his stake here. That would be an Institutional buy . We would be better off in the long run with a diverse shareholding meanwhile . A management update would be welcome .

i was curious how the day would start. Suppose it was likely to fall as risk adverse people and Co's sold out. Soon the mart cap will equal a single years profit for2015. But the debt is high.

hard to believe the collapse .its free fall.

without question the $174m was a critical Part of the bank's Tier 1 capital reserve made from deposits . There was of course a conflict of interests here . Let's face it anothe CEO would have withdrawn the money from a bank with a Moody's CCC rating . I don't think it was safe to have money invested there . As proved on Friday . However , it may have been getting a sweet interest rate . The CB put $20m recapitalization money I here during the summer . Clearly they saw a future . They also may have been planning this a long time off. .

I bought back in on Friday. I thought the market over-reacted to the news. I could be wrong and it could slide further . However, on balance I 1, like the company in general 2 think the Central bank is in no nonsense mode these days and the issue is liquidity rather than fundamental asset weakness . 3 don't rule out Mr Z marching in next week and throwing their money on the table and telling them to get out ( not quite so fast or damantic but you get the picture ).

smart play . I bought in - sold out in jan - I'm back now .

the company made a net profit before of $143m in the first six months. And there is no reason to say profits of $286m cannot be realised for the year . The debt maturities have been extended to 2018 according to the last RNS. Cash flows are positive . $106m in available cash . It looks solid enough to me .

I know one of the other posters said he worked in Ukraine . I have worked there or should I say we had operations there I had to visit quite often. I dreaded each and every trip . But, I must say it has become much better in recent years . For a start passport control now takes 15 to 20 minutes. It used to take 1 hour. Now my suitcases are not searched every single time ! That was guanatees in the past. It's become l more westernized . But it was the most currupt place in Europe .

i assume there are universal standards for banking .

sometimes in the USA , a clause can be used that seperates 'innocent ' depositors from 'vulture ' depositors . This basically means that depositors that knew the bank was in danger and took their chances to benefit from higher interest rates , can be treated differently to ' unaware ' depositors who were simply caught in the crash . If this happens , we are then behind the 7% of deposits you mentioned . BUT not behind the guaranteed deposits corporate fund recovery . ( because they too knew the risks ).

yes there is a hierarchy of preference creditors firstly retail depositors under the h200,000 maximum get paid by the deposit insurance fund so they are not creditors . So I order of the queue . 1, the administrator gets their costs and expense 2 next to get paid are the staff for all salaries due 3 tax . This is a slightly complex as some taxes are next in line to get paid and some follow later on 4,next in line are the depositors not covered under the guarantee scheme . That's us . Also jointly and equally here in line are the Depisit guarantee fund who try to claim back on the deposits they have paid out on. They in affect get control of the small depositors accounts . 5 next in line are some federal taxes 6 next are the Bondholders $100m here. 6 the shareholders ...... Note each level of creditor must be paid in full before payments are made to the level below . In this case Bondholders and shareholders are in a very dodgy position.