Banro Corp. fka BAA

[braised007]

This is true. Tons of companies carry debt. However, Banro finished Q3 with $2.2M in cash. They have an $8.8M bond payment due in 51 days. There's no chance they generated over $6M in net income alone in Q4 or to date, which would increase their cash position enough just to pay make that debt payment, let alone any other interest charges they may have or will need to pay in the next 51 days. And that is assuming the cash position hasn't dwindled.

The bonds wouldn't be yielding near 30%, ESPECIALLY with interest rates being damn bear 0%, if everything was peachy. The bonds went out, priced at par, at 10%. They are now yielding close to 30%. The stock is trading for 8 cents on the dollar.

The bond and stock markets are both pricing in a BK scenario. This is not hearsay, or doomsday speak, this is reality. Whether or not you choose to accept that is up to you.

That being said, I am long BAA as I believe they will get something done that addresses the liquidity/current liability crisis and puts them on a good foot moving forward.

Good day, sir.