Can't you imagine the GS legal team taking the position of "what injury?"
"The preferred dividends could be deferred at any time. This happens every day. Our client intends to pay once the asset sale is completed."
"The assets are being sold to a third party. The preferred shares will be redeemed."
"As a result of the Great Recession, assets around the world were devalued. Management did a great job of keeping the firm from failing." I might call a comment like this the "consider yourself lucky" defense.
Telos is a situation I have been following for close to twenty years. Holder of TLSRP, a 12% Cumulative Exchangeable Redeemable Preferred Stock, have been waiting for a dividend since 1991. One might actually view the business as being insolvent today. The preferred holders are owed $118 million. The company only has $72 million in assets. The courts have not provided much relief. see Costa Brava Partnership III, L.P., et al. v. Telos Corporation, et al. and Hamot et al. v. Telos Corporation.
"Someone said it takes 30 years to be an instant success" - Gabriel Barbier-Mueller, CEO of Harwood International
