Velan Inc T.VLN

But what is it worth?

[mjh9413]

Even if the do 40c/sh EBDA per qtr they wud be >6x but with no measure of growth going forward . Maybe fully priced here? eom

[screamer9]

I've been selling recently and finished today. There's a ticking time bomb here and it relates to the asbestos claims.  Because the company expenses the claims when incurred, they don't record a liability.  Outstanding claims have risen to over 1,830. They settled 63 this quarter for $4.2m. That's $67k a claim where prior quarters have been consistently around $20k or

[Mrguillaume]

Thanks for pointing this out. The growing number of cases is worrisome. I guess lawyers are out soliciting for new claims. The PR does note that the uptick in legal fees/settlement costs in the Q was more timing related than a change in trends.  The 2 major outside shareholders, Kernwood Ltd. and Deans Capital suggest that despite the liabilty value exists here. But I will trim back my

[screamer99]

They reused that wording from a prior MD&A (See Q3-20, last sentence in the second to last paragraph on page 8).  In that case, the fluctuation in costs was more so due to timing because of the number of claims as the average settlement cost per claim ranged from $20k - $30k.  In the most recent quarter, when you resolve 63 claims for a cost of $4.2m ($67k average per claim) and