GREY:WONEF - Post by User
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HCI_STEELon Feb 13, 2015 11:14pm
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Post# 23429802
RE:RE:RE:It's over....
RE:RE:RE:It's over....al5190 wrote: Don't forget, when they started in 2006, they had one location in Vancouver that served general construction as well as the movie business. Market cap then was over 30M. Most of their business has little to do with oil and gas other than the general effects of Alberta oil. Revenues are still in place, just need to reign in spending. Hopefully the new CEO will relieve the current President of unabated spending practices.
I doubt revenues are still in place...they've cut their dividend BECAUSE the business DOES have to do with business related to oil. They have said Oil itself essentially only has a 20% DIRECT effect, but the spinoff impact from lower oil prices on all the other businesses they rely on for revenues is also taking a significant hit...thus the elimination of the dividend.
I really don't trust this company and new mgmt if they are going to play around with words, like implying that Oil only impacted 20% of their revenue, attempting to downplay the hit to the company that is clearly much more reliant on it.
All imo.