Paperlinx (PPX)

[dbcrow]

Down 28% today to $2.74!!!

 

[morgoth]

2 times interest cover is what is really worrying the market. To maintain their dividends they will be paying out 118% of earnings! Not possible to maintain, especially with capital works programs to come. Some are saying they may be taken out but worry is whether the banks get nervous re their loans.

You have to wonder why they took on the ex Southcorp CEO given his track record.