Member Info for WolfofWarks

Stakeholders get’s shoe horned into every piece of business text. It’s a marketing buzzword in these days of ESG, CSR, etc.

Shareholders are stakeholders of course. What decide’s how important a stakeholder is the power they potentially wield and whether they have an active or passive interest in the company and therefore how likely they are to use that power.

That’s a stakeholder theory 101 answer :)

Bull bears - I believe this will need to be a newco - this would put to bed the CP claim and all other smaller debts.

Plus if the senior lenders take it over they are investment banks and hedge funds so there is no saying it will even be a public company. They’ll probably turn it around and then IPO, similar to what is happening at Vue.

If that’s the conclusion you draw, being an accountant then you need to give your head a wobble? The wipeout is a possibility, not a certainty, and I have never said it was certain so I would appreciate it if you would stop mis-interpreting my position.

When have I said that Elvis? You make stuff up as you see fit!

Are you really a beancounter? You thought I was daft for suggesting interest would be accrued the other day. Your story time and time again just doesn’t add up.

My bu ll sh it radar has flown off the charts!

Elvis - you talk a lot but you need to have a look back. I have said all along that I think cine will come out of this as a Newco with the senior creditors taking the lion’s share. There’s hundreds of threads going back where this has been discussed to death.

The only change for me now is this possibility of bits being sold off but I fully expect those proceeds to go towards clearing down senior debt.

There has been zero confirmation that there won’t be a wipeout. You are spouting untruths and misleading people. The conclusion to this is still unknown.

Hi Bullbears - I hear you. It’s all newspaper talk right. Although the rumours by this same journalist about the C11 turned out to be spot on as wellington pointed out the other day.

Elvis - with all due respect you’ve only turned up here the last couple of weeks. You have only found out this week how much the debt is ….

So what you call sparring I’m finding more of an irritation.

Elvis - I see you have gone back to your childlike form. I always said I see the company coming out of this. The question mark is what happens to existing shareholders. One of this has been cleared up by any of this. I still think the maths doesn’t work but only time will tell.

Bullbears

‘ Wolf has been insisting the matter is no longer in CW's hands - but in the hands of the creditors - so how could CW be in a position to make such a statement?’

‘the company’s largest senior creditors were weighing the sale of Cinema City, Yes Planet and Rav-Chen, an Israeli operation. ‘

If these reports are true it’s clear the creditors are in control here. It’s them who are deciding which parts of the company are to be sold.

I’d love to be a fly ion the wall in that data room. Imagine the calibre of the forensic accounting teams that get brought along to something like this.

We all know who might be number one contender to purchase that part of the business.

Not a bad evening of football that!

It's not the deadline for bids. On the back of one of the dockets there was an illustrative timetable for the process milestones. The end of week 6 deadline was to register an indication of interest and is completely non-binding. It'll take months to thrash out any deal. That wasn't exclusively for sale either as it incorporates the restructuring plan as well.

Underweight and overweight refers to their weighting in your portfolio. So if a stock is rated overweight you should hold more of that stock relative to the rest of your portfolio and vice versa.

Most Tier 1 finance packages work all these things out for you. You just set the parameters in the set up.

My breakdown was off the top of my head without looking at the accounts - very back of a *** packet to give an approximate.

Trust me if Hexam has given a figure use that!

That's the thing - there's a profit making business in there - just needs the debt chopping and the unknown is at what cost.

They have hedging in place don't forget - this could be in respect of both interest rate and currency and your analysing a period which had massive volatility in both. Corporate loan products often are taken with an accompanying swap as well.

Also I think it's plausible that any legal fees in arranging the DIP have been allocated as finance costs - depends whether this line on the management accounts is interest paid or finance charges which is more expansive but would explain why there could be a major increase in October.

Hi bullbears - it’s up to Mooky to come up with a plan to satisfy the creditors. If a sale/partial sale is a possibility, Ie if there are willing purchasers then Mooky has to consider this as a possibility and incorporate it into his plan.

He has influence in terms of the plan but he doesn’t have control.

"You not contradicting yourself there a tad wolf."

In what respect?

"The judges role wasnt supervisory when he sent them packing on the first day to rethink there proposals and come back with something better."

That was the judge playing a supervisory role - extending the time out so more creditors could join and they got round the table and sorted it out and funny enough the company got their money.

Jeff - I keep mentioning this but the judges role is supervisory. It's the creditors who vote on the plan. The whole purpose of the C11 is to allow the company to come up with a rescue plan as it's them who are owed the money.

It's up to Mooky to come up with a plan that is acceptable to them that they will then vote through. They are the power brokers here.

https://www.uscourts.gov/services-forms/bankruptcy/bankruptcy-basics/chapter-11-bankruptcy-basics