Blue is back now

[Thabani]

i am very happy to see BFS perfoming like this because i was loosing hope whether i will get back my initial investments i put two years back when the share price was R1,78. I not concerned about dividends i will be very glad if i can get back my initial investments.

[Rams]

Hey, Thabani, Blue is back down here too....

[#3]

Thabani, there are more than double the number of shares in circulation since you bought yours, and the company is sitting with over R1bn in debt. In its good years, its turnover was R500m, but it operates at a massive loss. Lets assume that some lender is stupid enough to give them a 10 year repayment period - that is R120m a year, more or less in debt repayment. That is 25% of its turnover! Blue would have to improve its operating margin by over 2500% to cover this, and then it will only break even for the next 10 years. Now for you to recover your money - BlU will have to perform even 4 times better than that to give the kind of price earnings ratio needed for you to break even. your money is lost boet, pure and simple, and the sooner you comes to terms with that, the better