I would like to focus the board on the expected value of the assets vs. the debt. For people new to SCRA, the assets like vineyards, banana's and canals are not significant. It looks like the liquidation of the ferries will be able to about pay off the secured ship debt. We escaped the GNER without losing the performance bond and even got some management fee for the last few months. At this point the big question is how much are the remaining container assets and GESEACO worth, and is it enough to save the equity.
Long term holder who did not know of the pension liability, like me , hope that it is not what screws us. I think this makes an 80% chance that the equity is worthless, but like an out of the money option it still has some value.
There is a possibility that the hedge funds bought to make their debt holdings more valuable. If the debt holders also hold a controlling equity interest they can act to screw us equity holders if there are actions that need a vote.
At this point I think SCRA is a cheap option on GESEACO holding being valuable enough to put us equity holders in the money.
