CVA

[lebowski]

oh well, at least we get to text the club about our opinions on the foreign trialists.

potentially, this opportunity is open to abuse.

[deltaincline]

also, what if the deal with the new consortium falls through? better to be safe than sorry and delay payment by another year

No disrespect Rich, but that's a stupid fucking thing to say.

There is a good chance of the FL deducting 10 points in advance of next season if it's deemed that we have varied the terms of the cva by getting another year to pay. That fat bearded old wanker Bates has pissed off just about everyone at the FL and the IR again today with his questionable takeover, assisted by his mates in the business.

Don't think that we would be exempt from hefty sanctions by the FL or the IR off the back of the Leeds deal.

[flammableBen]

a fan's rep in the boardroom would more than likely have to keep schtum anyway.

Not if it was me, even if I'd been made to sign something then I'd flout the law. I'd be a fan's rep for the fans!

[This broadcast was sponsored by flamableBen, for the possible future fans rep on the board elections]

[deltaincline]

I wonder what the new investor's favourite cheese is.

I'm sitting here fuming over the actions of the boardroom, and some cunt is wondering what cheese the new investors might like???

Fair play, Si pie. Reality check complete.

[sonic youth]

I wonder what the new investor's favourite cheese is.

if it's not stilton i shall be disapointed

[lebowski]

he's typed the letter up now...


"In my capacity as Join Supervisor of the above matter. I report to creditors and members that the Company has failed to pay the final annual ballon payment of £900,000 which fell due for payment no later than 30 June 2007.

I refer to amended clause 3.10 of the CVA which states:

"If the company fails to pay the annual contributions referred to in paragraph 3.4 the supervisors will,

(i) either call and convene a further meeting of creditors to discuss any possible amendments to the arrangement in light of the changes in circumstances; or

(ii) fail the CVA and seek to prevent a winding up petition or procure the voluntary liquidation of the company."

I shall therefore allow the creditors to decide themselves as to whether or not to convene meetings of creditors and members to discuss any possible ammendments to the CVA or to wind the Company up. To this end, I attach voting instructions which must be recieved at my offices by no later than 4.30pm on Monday 6 August 2007.

I shall act in accordance with the majority of the creditors having regard to the value of their claims.

You should be aware than if creditors decide to fail the CVA, then the Company will be wound up and there will be a shortfall to the preferential (Crown Departments) and no dividend whatsoever to the "Unconnected Unsecured Creditors". By comparison, if the creditors and members decide to hold meetings to discuss any possible ammendments, then I would reccomened that the ballon payment of £900,000 be deferred by a further period of up to one year so that it be paid by no later than May 2008. In such an event, I believe that there would be reasonable prospects of the CVA having a successful outcome.

I am currently in advanced negotiations with a third party which I am confident will bring to fruition an investment which will not only secure the Company's short term future but it's medium to long term requirements as well. I will provide creditors with a detailed account of my negotiations, and hopefully the said outcome at the proposed creditors meeting which will be held within 28 days of 6 August 2007.

I attach an estimated statement which compares the financial scenario for creditors as between liquidation and the CVA if varied. It can be seen that in liquidatiom there will be a substancial shortfall to the preferential creditors and no dividend to the unsecured creitors. By comparison, if the CVA were to be vaired then the preferential creditors should be paid in full and the unsecured creditors should recieve a dividend, to be calculated at the time of distribution.

I would urge all creditors to vote in favour of holidng meetings of creditors and members to discuss any possible variations to the CVA, as I believe that allowing the extra time for payment will be in the best interests of all creditors and should allow the continued survival of the football club."

[Fred Elliot]

Could you scan it please (obviously not to reveal the creditors identity) and PM me it please

[lebowski]

stole it directly from the myonlyswindon forum:

http://boards.rivals.net/default.asp?sid=1019&p=16&style=1&forumId=3486&action=1&replytoid=528736947

[Fred Elliot]

Thanks Lebowski

However, until I see the full letter in its original form then I am sceptical.

This goes against everything that has been stated both publically and privately over the last 10 days.

I for one want more proof before I start throwing a wobbly

Sorry

I know we have had far too many false dawns in the past, but we have also had far to many knee jerk reactions to 1/2 truths etc.

Show me the scanned letter, then, and only then will I give it credence

[flammableBen]

Don't the trust have members which are creditors? can't you make a cheeky phone call?

[Fred Elliot]

Already have, but its darned late mate

[pauld]

You've missed off the end bit of the post lebowski which says:

Some accounts are given which basically state that liquidation would net Preferencial Creditors £293,236 while a Varied CVA would net them £1,193,236 (cash in bank plus the £900,000 ballon payment)

Now unless he's got that wrong, this is over 100k short of what's in the CVA document which states

It is anticipated that these payments will be by way of four payments of £100,000 after each anniversary of the CVA, being £400,000 in aggregate, and a final contribution in the sum of £900,000

 which makes £1.3m and in fact there's a table two pages later setting out the schedule of payments which shows a total of £1.3m. So, if the figures quoted in the post are accurate, there appears to be over 100k "missing".

[edit] Actually those figures can't be correct as they refer to the Preferential creditors getting £1.19m whereas the CVA doc makes very clear the only Preferential creditors are HMRC who are owed 927k, the remainder (ie a little under 400k) being unsecured unconnected creditors. Either way this doesn't appear to add up - think we'd need to see the original.

[flammableBen]

Apart from some crazy spelling mistakes (ballons?) that I noticed I haven't really read it.

I'd also be interested in seeing a scanned copy of such a letter, even if the creditor was blacked out at the top.

Just out of general interest like. Is it on headed paper and stuff?

[Fred Elliot]

In all fairness to Lebowski Ben, he pasted the body text from another post on another forun.

Delta................can you provide this ?

[Fred Elliot]

So reading that it's not as bad as first thought. The payment might be made before May 2008. Or not?

Some accounts are given which basically state that liquidation would net Preferencial Creditors £293,236 while a Varied CVA would net them £1,193,236 (cash in bank plus the £900,000 ballon payment)

So it all boils down to what the creditors decide.

Sorry for any typos.



hmmmmmmmmmmmmm