GREY:FTPLF - Post by User
Comment by
OptsyEagleon Mar 14, 2013 11:09am
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Post# 21129312
RE: RE: Was Dresden the right move?
RE: RE: Was Dresden the right move? I doubt you are going to see much debt get paid down at Fortress Paper. They are not allowed to pay off the convertible debentures, but more importantly, Fortress will need this money to deal with their capital requirements for Thurso and more importantly LSQ, over the next year or two. Plus, I doubt Chad is going to rush to get himself into the same financial position he was in a week ago, anytime soon. I am sure it resulted in more then a few restless nights for him. I know I tossed and turned about i,t a couple times, myself.
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I would bet this cash, maybe $150M net of taxes and Dresden debt, will sit comfortably in the bank and unfortuneately make very little interest. That is what I would do if I were him.