Concordia Healthcare Corp. T.CXR.R

They can,t guide down tomorrow

[fdfd12]

MT put out a release last week which said everything is going on schedule. Isn,t this confirmation that they will not guide lower?

[wallop13]

Not really. The low GBP is a fact. If they hold guidance it means the business is doing really, really well to absorb that blow without a revision.

[select1011]

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[wallop13]

It's too early to tell if it's negative, a wash or a benefit. It depends on when exactly the GBP recovers and how much debt has been paid off at that time. It's quite a complicated issue and no one knows that answer without knowing the future GBP rate. 

[select1011]

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[Mulaman1]

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[wallop13]

I expect them to lower EBITDA. But I also expect lower debt. CIBC is right to expect lower EBITDA guidance. I was talking about total financial impact. The GBP being down by 15% wipes 100M off of GBP debt. That also saves about 8M a year in interest. That's 116M over 2 years. It might not show as EBITDA, but none the less, it's a gain to CXR that affects debt to EBITDA. Right now, Debt to

[select1011]

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[Mulaman1]

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[select1011]

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[wallop13]

What? I think this is too deep for you. If we convert EBITDA to USD then we must also convert debt to USD. If we use GBP for EBITDA then we use GBP for debt.

[Mulaman1]

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[Mulaman1]

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[CookieMonster]

CXR is discounting a major guidance reduction.  

[select1011]

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[Craigbad]

I have alot of respect for you Fdfd12, but i remember reading your post last night and it stuck in my head. I knew they had to guide down, but management mislead investors in PRINT that everything was as it should be when it was not. Who can trust them now!!!!! Investors who had faith in these guys have been shafted.

[fdfd12]

100% agree with you