Bailout Plan

Vanik Inc., which has delayed payment on its listed debentures, says it is hoping to pay interest as soon as some planned debt collections come in.
Vanik has also come up with a new restructuring plan, which they are hoping to present to their bankers.rn

rnThe plan involves waiving off accumulated interest and releasing some of their assets held as security.rn

rnVanik is also seeking debenture holder approval to convert nearly 300 million rupees of debentures to preference shares.rn

rnThese debentures were originally issued in return for Forbes shares and not for cash.rn

rnldblquote We have convened a meeting of debenture holders and we told them it is a part of the restructure package-not the only one- we showed them the total cash flows which are now being finalized and showed the advantages of the package and we do hope they will accept it,
dblquote Vanik Chief Executive Justin Meegoda told journalists on Friday.rn

rnThough the fifteen per cent debentures are cumulative and fully particip