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CANEXUS CORP 6.5 PCT DEBS T.CUS.DB.D



TSX:CUS.DB.D - Post by User

Comment by Calgaryrideron Mar 16, 2015 3:23pm
209 Views
Post# 23526825

RE:RE:RE:The ship is turning

RE:RE:RE:The ship is turningWhitey, that was in the summer, not in Q4-2014.  I urge you to validate this.
Careful.

Furthermore, they are actually providing guidance that things are going to get worse with respect to NATO in Q1 and Q2:  Here's the excerpt from the Management's Discussion:


t the currently contracted level commencing in the third quarter of 2015 of 5.5 unit trains per week (assuming full nominations), this facility should break even or be slightly positive from a Cash Operating Profit perspective.

Nominations for the second quarter of 2015 are lower than expected and Canexus is currently pursuing spot contract opportunities for the second quarter of 2015. We have loaded four unit trains on a spot basis so far in the first quarter and have contracted one additional spot unit train in March.

This tells us Q2 is looking ugly and Q1 will be running an average of 4.5 trains, which is below breakeven of 5.5 trains.  Again, this is assuming FULL nominations, which they nicely dance around.  

The ship is not turning yet.  The iceberg is just moving into the path ahead.
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