http://www.prnewswire.com/news-releases/yellow-media-reorganization-opposed-164639796.html
If the yellow Media banks oppose the reorganization and are owed $369M from the company and the company has over $400M in cash…
What is keeping them from simply extending their credit facility and relaxing their covenants thereby allowing the company to use $350M to close out of debt at $0.65 on the dollar after a conversion of the A’s to common?
This would effectively close out of the July 2013 notes, the Dec 2013 notes and the April 2014 notes at market.
This company makes over $50M FCF per quarter, but for the sake of argument, That $50M per quarter would have the bank credit facility paid off in 2 years.
And suddenly you have a company that has $500M EBITDA, $250M FCF, and $900M of debt in 2 years.
in theory, the equity in that case if you have an EV of $1.4B is worth $600M. $1 per share.
Can you see it?