Good morning! It's Paul here with the SCVR for Tuesday.

Please see the header above for companies reporting today that I will be reviewing.

As usual, it's initially a blank article, which I put up about 7am, so that readers can add any comments you have about the 7am RNS releases. I then write up the main report throughout the morning, section by section. Assuming I can manage to avoid accidentally deleting any of them!

Estimated timings - I have to write today's report early today, due to needing to travel back to Bournemouth this afternoon, from London. It will be interesting to see how the city centre looks these days. It was like a ghost town last time I walked through the City, towards Waterloo. It's difficult to predict what is likely to happen to all those fancy offices, if companies decide to have staff permanently based from home. Or will companies & staff gradually return, once treatment/vaccines have resolved covid-19 (whenever that might be)? My feeling is that humans don't have terribly long memories, and it often surprises how quickly things do return to normal. after e.g. natural disasters, terrorist attacks, wars, etc..

Today's report is now finished.


AA.

Share price: 25p (pre-market open)
No. shares: 620.8m
Market cap: £155.2m

Possible Offer & Update on Refinancing Progress

Possible Offer for AA

The Board of Directors of AA plc (the "Company" or the "Group") notes the recent press speculation regarding a potential refinancing of the Group's indebtedness and the possibility of an offer being made for the Company in connection with such a refinancing.

The Company confirms that it is currently in discussions with a number of parties in relation to a wide range of potential refinancing options.

This is particularly interesting, because the AA's balance sheet was wrecked by financial engineers, who came up with the ridiculous idea to load it up with massive debt that would never be repaid. It was therefore only a matter of time before the company ran into a financial crisis. The scale of the problem is mind-boggling, given it's only now a £155m market cap company;

As stated in its preliminary results announcement on 7 May 2020, while the Group continues to remain well within its financial covenants, at the end of the last financial year the Group had approximately £2.65 billion of total…

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