vsun
Newbie
Posts: 4 
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Post by vsun on Apr 30, 2020 17:37:33 GMT -5
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Post by mnkdfann on Apr 30, 2020 18:08:11 GMT -5
U.S. businesses are eligible for loans if they meet either of the following conditions: (1) the business has 10,000 employees or fewer; or (2) the business had 2019 revenues of $2.5 billion or less. Loans would have a four year maturity, and principal and interest payments on the loans will be deferred for one year. AND (among other restrictions): "has not received specific support pursuant to the Coronavirus Economic Stabilization Act of 2020 (Subtitle A of Title IV of the CARES Act)." So, it appears Mannkind is ineligible as it already has a PPP loan. If it plans to return the PPP loan, it had better do so before this new "Main Street New Loan Facility" money runs out. |
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vsun
Newbie
Posts: 4
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Post by vsun on Apr 30, 2020 18:12:06 GMT -5
- The program will be administered directly by the Federal Reserve, not the Small Business Administration, and the loans will come from private banks.
- Companies with less than 15,000 people or annual revenue of up to $5 billion are eligible, the Fed said today (the original plan was to include companies with up to 10,000 employees or $2.5 billion in revenue); companies that have received PPP loans are still eligible for the Main Street program.
- Eligible companies will receive loans from banks with a term of four years at an interest rate of 3% more than the LIBOR rate; loan amounts will range from $500,000 to $200 million. The central bank will then buy either 95% or 85% of every loan up to $600 billion (with a $75 billion injection from the Treasury) to ease the burden on banks’ balance sheets.
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Post by mnkdfann on Apr 30, 2020 18:15:29 GMT -5
Oh, yes, there is a footnote: "For the avoidance of doubt, Businesses that have received PPP loans are permitted to borrow under the Facility, provided that they are Eligible Borrowers."
Very good, then.
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vsun
Newbie
Posts: 4
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Post by vsun on Apr 30, 2020 18:18:15 GMT -5
www.federalreserve.gov/newsevents/pressreleases/monetary20200409a.htmThe Main Street Lending Program will enhance support for small and mid-sized businesses that were in good financial standing before the crisis by offering 4-year loans to companies employing up to 10,000 workers or with revenues of less than $2.5 billion. Principal and interest payments will be deferred for one year. Eligible banks may originate new Main Street loans or use Main Street loans to increase the size of existing loans to businesses. Banks will retain a 5 percent share, selling the remaining 95 percent to the Main Street facility, which will purchase up to $600 billion of loans. Firms seeking Main Street loans must commit to make reasonable efforts to maintain payroll and retain workers. Borrowers must also follow compensation, stock repurchase, and dividend restrictions that apply to direct loan programs under the CARES Act. Firms that have taken advantage of the PPP may also take out Main Street loans.
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Post by theebavarian on May 1, 2020 6:33:50 GMT -5
False dichotomy. The answer is both. They should get whatever assistance the government can provide, whether it be PPP, Mainstreet, whatever. They should also offer shares where and when necessary for the benefit of both the company and its shareholders.
And if any shareholder doesn't think Mannkind will offer more shares at some point in the future they are delusional. Share offering fear and hysteria is a giant red herring continually parroted by a group of people who simply don't like the CEO. If offering more shares makes you uncomfortable as a shareholder, you best sell your position and move on.
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Post by falconquest on May 1, 2020 7:04:05 GMT -5
False dichotomy. The answer is both. They should get whatever assistance the government can provide, whether it be PPP, Mainstreet, whatever. They should also offer shares where and when necessary for the benefit of both the company and its shareholders. And if any shareholder doesn't think Mannkind will offer more shares at some point in the future they are delusional. Share offering fear and hysteria is a giant red herring continually parroted by a group of people who simply don't like the CEO. If offering more shares makes you uncomfortable as a shareholder, you best sell your position and move on. What ever happened to actually making money (by selling the product) instead of leaning on shareholders to keep you afloat? If we were cash flow positive and the company needed investment capital then the dilution pill would be a lot easier to swallow. That's the issue! |
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Post by theebavarian on May 1, 2020 7:18:07 GMT -5
False dichotomy. The answer is both. They should get whatever assistance the government can provide, whether it be PPP, Mainstreet, whatever. They should also offer shares where and when necessary for the benefit of both the company and its shareholders. And if any shareholder doesn't think Mannkind will offer more shares at some point in the future they are delusional. Share offering fear and hysteria is a giant red herring continually parroted by a group of people who simply don't like the CEO. If offering more shares makes you uncomfortable as a shareholder, you best sell your position and move on. What ever happened to actually making money (by selling the product) instead of leaning on shareholders to keep you afloat? If we were cash flow positive and the company needed investment capital then the dilution pill would be a lot easier to swallow. That's the issue! Positive cash flow is well on its way. Have you seen sales? Lower right to upper left. Record Q120 sales. Costs down. Net revenue increasing. All good trends. |
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Post by liane on May 1, 2020 7:19:30 GMT -5
Did we really need to create a poll for this??? From your admin who HATES polls!
Also - a reminder - when you create a poll, please create a date that it will end (less than 1 week in the future) - or I will lock it for you!
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