Replies to post #31866 on Newlead Holdings Ltd. (fka NEWLF)

[jimw2]

Major DILUTION Coming Again,watch for More Toxic Financing

1 BILLION SHARES AUTHORIZED


''We are highly leveraged, anticipate that we will continue to have a high degree of leverage, and may incur substantial additional debt, which could materially adversely affect our financial health and our ability to obtain financing in the future, react to changes in our business and make debt service payments.''



''As of December 31, 2013, our outstanding indebtedness was $234.6 million. Despite our restructuring efforts, as of May 8, 2014, we continue to have a substantial amount of indebtedness amounting to approximately $159.9 million, excluding the BCF of the 7% Notes (excluding the share settled debt and redeemable preference shares with Ironridge Global IV, Ltd).''



''Although it is likely that any agreements governing our future indebtedness, including the terms of any indebtedness remaining outstanding as a result of the restructuring, will contain limitations on our ability to incur indebtedness, the covenants in such debt agreements typically contain a number of exceptions. As such, we may still be able to incur a significant amount of additional indebtedness. Our high level of indebtedness could have important consequences to our shareholders.''