Ownership, etc.I liked Bodenberg's note, its so typical of rhetoric Victoria produces in regards to the forest products sector but his reference to ownership is somewhat tacky. From the rumblings I've heard Harbinger is selling as they need liquidity - perhaps Phil has bought too much shiny junk debt that is now being called. Either way, ownership is not static, obviously Brookfield will retain control as WFP is slowly transformed into another lean, mean operating company. As it should be. But Harbinger? Hello? These guys are in it for the quick buck which they now need and will take.
Brookfield won't be moving on for at least a few years and in the meantime will be transforming WFP in the forest products sector operating on Crown land.
.50 a share? Given the cash flow and profitability Carter and Frasher can produce that's hilarious, especially considering they are going to be maximizing recapture of WFP tax losses. Interfor, a fair comparison (ummh yeah, except they don't have the support of Big Brother Brookfield in the background) is around $4.50/share.
And as for Bodenberg's point, in case I stink of hype, Harbinger needs to make a buck here as they don't have controlling interest, which means they are much like you and I, they need to sell to stimulate trading to maximize their returns. Now lets sit back and wait for results to come out . . .
Just my thoughts at first glance.