GREY:FTPLF - Post by User
Post by
OptsyEagleon Dec 07, 2011 8:37am
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Post# 19298345
I seem to Remember
I seem to RememberI seem to remember that when the first news release came out about the Thurso acquisition, Fortress Paper did a powerpoint presentation and outlined their EBITDA estimates with 2 different dissolving pulp prices. They showed $1,600 per ton because that was where the price was at the time, but also showed $900 per ton, to be more conservative. If I recall they were indicating some pretty substantial EBITDA even with DP prices at $900. I think their operating cost estimates were about $60 per ton lower (due to a better currency exchange), but if I recall, they made the acquisition with a $900 target price in mind.
That is if my memory serves me here.