Sino Agro Food Inc (fka SIAF)

[RealDutch]

Doesn't this mean that there will be no dilution?

Probably. They will be repurchasing shares I presume. I know nothing about how they do it or when etc.

How do you square that with the estimated $66M "internal funds =-- $10M more than income -- used for cap ex?

I believe there was $27M in accounts receivables by the end of 2011

I simply don't see the necessity to project $85M in development when you can foresee generating $80M from income, loans, grants, and credit from suppliers.

Chad already pointed out, the market imploded in mid 2011. And changing your plan is like turning a 1000' oil tanker around. IOW, management plans ahead a whole year or more.

Personally I find it impressive that they are able to find $92M for capex with little dilution. There is nothing wrong with this company's ability to adapt to changing environments. In fact, they get a very high score from me.

Flexibility = efficiency. Efficiency = money.
The ability to settle debt for stock gives them flexibility.
Keep in mind that profitable companies can go bankrupt, when they don't pay attention to their cash flow.
Like I said, if you don't have that flexibility, you would probably have to maintain a cash reserve of $10M or more. Just to be sure you don't run out of cash. And that means you can't use that $10M to invest. How much would that cost you?
I'm just making this up. I'm not a manager. But I think it's a plausible idea.