Noranda Income Fund Unit T.NIF.UN

RE:RE:RE:RE:RE:Markets

[ZincDink1]

1) Yes, pay us distributions please.Shareholders allowed management to waste a bunch of money upgrading the plant assuming we would still be producing and paying a distribution. If we had known this would happen, I would have protested investing in the upgrade and just wind down the income fund as the better deal
2) A union with a poor bargining position. Excess refining capacity, shortage of raw material. Trying to get the employer to disclose contracts (a good thing for us shareholders to know) by striking will not be effective. Of course the pension funding has nothing to do with this.
3) Negotiations are going to be limited in my opinion. Zinc concentrate can be sent anywhere in the world. I seem to recall GC had an idle refinery in Spain which could probably be restarted. Probably send excess raw to contract refiners is cheaper.
4) The longer on strike, the more attitudes harden on both sides. They do need some type of compromise. Frankly, at todays stock price, the union could probably buy the plant - but then they would still need to source concentrate. GC has the upperhand on all of us.
5) Most people have either no pension or a defined contribution plan. Only government gives a defined benefit plan now, with a few exceptions. I would be worried about pension plan anyhow since companies are not always around to pay at the end (i.e. Nortel for example). This distribution was part of my "pension" plan. I plan to continue eating potatos as my main staple.