RE:What Else Could Go Wrong With This POS ?These SH boards can sure be entertaining at times.
Starboy must just short stocks as I just looked at his posting history and in the last 2 weeks, he has referred to the following as POS - AQN, LEV, SKRR, WELL, GWM.
I would hope that everyone realizes that a poster on SH can actually never influence a stock's price.
Ciao
Sarge
starboy101 wrote:
Well at least 3 things come to mind with me:
1. According to the companies latest financial statements the company carries a BBB rating for their debt with the major bond rating agencies. This is considered an investment grade which means most institutions, pensions etc. and able to hold their debt. Any rating below BBB is NOT considered investment grade which means most pensions etc would not be able to hold their debt. I firmly believe we are going to see a downgrading of this POS's debt.
2. Many banks, insitituitons etc. that lend money to public companies quite often will invoke certain clauses in their lending agreements which would allow them to call in their loans if certain fundamental indicators are breached. For instance if their interest coverage falls below 2 times or a certain level of their debt\EBITDA is breached. I don't know what types of clauses if any this POS has with some of its lenders. But if I owned this POS if sure as he ll would find out.
3. This flaky Kentucky Power deal seems like its along way off from bieng approved by US Regulators IF it is approved that is. And on top of that if the deal does go through the company will be inheriting another $1.2 billion in debt, like this POS needs more debt. I'm not convinced this deal will go through myself.
Well there you have it....three more reasons why in my view the risks associated with this POS are not worth owning it. More pain to come I predict....it's a POS sell.