Cut the DIvidend
The sooner the dividend is cut the sooner this company can get its balance sheet in order.
Is their anyone out there who believes that YLO conversion from print to digital will result in a rise in earnings? as least in the short term? That's why I am looking at using cash flow to reduce debt instead of paying out common dividends. What is the point of receiving a 30%+ dividend in the near term, but never getting your principle investment back. Its short term dividend gain vs long term principle loss. My average cost is <$3.50 and I am aware that many on this board have a much higher cost. The only way you will ever recoup you investment is with capital appreciation! Paying down debt, buying back shares all leads to a higher EPS even when YLO digital income has not yet matured, and when it does the value of YLO will show in higher a stock price. Either way its going to be a tough road ahead, better to take the hit now.
August 4th projected earnings are 17¢, I am not sure if this is taking account for the reduced shares outstanding? On this date we will see what the effect of the share buy back has.