HWANGE Colliery, a major Zimbabwean coal supplier listed on the JSE, is in talks with its creditors to ease its crippling debt burden and is looking for further funding to bring the company out of its loss-making position.Hwange, which is a thinly traded share, is well off its June 2008 peak of R10.30 and trades at about 49c.It reported interim results to end-June on Monday, showing current liabilities of $311m, of which $256m was under trade and other payables, against current assets of $61m, of which just $360,000 was cash. Finance costs in the first half grew to $1.8m, from $1.1m."The burden of servicing debts continued to strain the company’s cash flows, thereby presenting working capital challenges," said chairman Winston Chitando, pointing out that the board had plans to stave off liquidation processes and return the company to profitability."The company is in the process of implementing comprehensive cost-reduction initiatives that seek to return it to profitability in 2017,"...
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