RE:RE:RE:RE:Major currencies vs. U.S. dollarHi Lattice, Thanks for letting me know. I sold my vrx yesterday with a loss as I got emotional. Bad practice. But I would not touch it again, the model of price increase will not work any more(as they are now under extreme regulatory body attention). I hate to see the price got back, that's The truth. 1027
Lattice wrote: yyish, I have not received anything from Kingsdale Crisis Management [who were recently contracted by Concordia according to their March press release]. Also, I have not heard from Adam Peeler from IR. I imagine they all have their hands full with other things right now!
You still in VRX? Look at that think go today! Illuminati gets a spot on TV and look what happens!
yycish1027 wrote: Hi, Lattice, did you get a reply email from the enquiry that you sent on the weekend? Please update 1027
Lattice wrote: sunshine. This will not wash. You have to examine the currency risk exposure during the Q1 period and not look at Monday's GBP/USD in isolation from Q1. Concordia does not have a buffer. There is no question that the declining GBP in Q1 will be a drag on AMCo's performance as 85% of their profit comes from direct sales and the UK contributes the lion share. There will also be impact through flow of Austrailian dollars and Swedish Krona. What is of most concern is the corporation's interest coverage ratio covenant. With only 20% of Concordia's debt in GBP and the other 80% in USD that leads me to believe that Concordia has over-exposed themselves in Q1. It would have been so simple for them to have mitigated their risk by hedging, IMO.
sunshine7 wrote: from G&M: "How rough? Just about every major currency has gained versus the greenback in 2016.
There is one notable exception: the British pound, which is down about 0.4 per cent as of Mondays close."
0.4% is negligible and the other currencies have gained significantly so I would have to guess that the FOREX issue raised by the shorts in one of their weekly talking points is a non-issue and that 'natural hedging' is the right decision since it costs nothing.