RE:Thank Youskyplt wrote: Perhaps I will get some criticism for this; however, I would like to thank Irwin Simon for taking this challenge on and leading us out of the storm. Today's LATAM write down was a reminder of where this company would be, and twhat he price of the stock would likely be trading at, had he not stepped in. Thank you.,
It was a lousy day, reminiscent of the first week of December.
But there is a difference.
The LATAM write down was a surprise, no doubt a legacy item from Neufeld's reign of error. I do hope it was a one off to satisfy the SEC. That alone counted for the net loss. I sure did not see that one coming.
What I am not sure of is where LHS divestment was recorded, was that not around 80M? As well, the negation of the Green Growth takeover bid will net APHA close to 90 million on 25 April. Though it was opportunistic, it did give the stock price a bit of a kick after the short attack. They knew this was not going to zero. So when you add LHS and Green Growth...then subtract LATAM wrtiedown, that still puts things roughly 100M ahead. Am I missing something here?
As for low rec sales this quarter, the conference call explanation passes the plausibility test with the focus on using some of the plants to seed 4 and 5. I expect Double Diamond will require the same prioritization. It is understandable why they cautioned for the next Q.
The extraction centre is two weeks behind? One need only look at Ottawa's light rail train...or Toronto's for that matter (years behind and billions over budget) to appreciate 2 weeks is pretty good for a major infrastructure project.
So thank you Mr. Simon for taking the reins and picking up the pieces. It was not a happy day today; but unlike last December, I like hearing you state that 1B is doable and there is a 90 day planning process in play.
Once we get over the past we might be able to better see what lies in store.
Good points Sky.. Also the write down was done by an there auditor. It was probably a recomendation to do it now rather than later while there is still a reason fresh in peoples minds. The write down is nominal compared to the value of the company as a whole. A non cash $50M write down on 250M shares is insignificant. I would have been more worried if they wrote off the entire amount and NUU on top of that.
Irwin is 3 months into the game. He has
1. cleaned up Vic's mess
2. brought on key board members
3. improved governance
4. looked to improve costs through automation
5. had more CNBC interviews then Vic
6. fended a hostile takeover
7. secured Germany license
Sales will go up . Over $1B. Margins will improve. Everything else will fall into place. A food JV is in the near future.