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  • NEWGUY7001 NEWGUY7001 • Nov 24, 2009 3:11 PM Flag

    The Preferred Shares

    are saying that AHR is not going to make it since they are currently trading below the accrued dividend values? Comments?

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    • tn2uk tn2uk • Nov 26, 2009 2:00 PM Flag

      You can't judge AHR's chances by looking at preferred shares. Look at the volume, it is 0-20,000 always. It is completely meaningless for the chances of survival.

    • panamax222 panamax222 • Nov 24, 2009 3:28 PM Flag

      >are saying that AHR is not going to make it since they are currently trading below the accrued dividend values? Comments?

      yup. We can hope for a save but to expect one is . . . delusionary.

      dividend payments are so far in the future it's tough to know if & when they will ever come. Company owes $20M/yr to the preferred. . . . has $250K in cash. Math doesn't work. Preferreds are more a liquidation play at this point I guess.

      • 2 Replies to panamax222
      • Nerd86 Nerd86 • Nov 25, 2009 4:14 PM Flag

        Come on panamax, get the story straight This is from the current 10Q

        September 30, 2009 December 31, 2008
        ASSETS

        Cash and cash equivalents
        $ 297 $ 9,686
        Restricted cash equivalents
        38,939 23,982
        Do you know what restricted cash is? It is the money under contrl of the secured lenders. It is cash, it is owned by AHR, and they can spend all that they need to stay in business and maintain their REIT status. What the heck you know this, why are you trying to create havoc?

      • mattomalley71 mattomalley71 • Nov 24, 2009 3:43 PM Flag

        I have preferred shares.

        1) The company has not approached me about conversion to common.

        2) The company has not paid a dividend for quite some time.

        3) The only penalty for not paying is a requirement to add two preferred shareholders to the BOD.

        I am in the camp that believes that BLK would not allow BK. Additionally, the banks have been very patient, as they have an interest here as well.

        Liquidation play? Sure.