RE:RE:For What It’s Worthmicromike wrote: Until such time that it is safe for Temple to assess the damage and start doing something about it the properties will not fix themselves; it will only get worse….
They have insurance to cover any loss of income from the fire. So what do you mean it will only get worse?
WTX Crude is trading @ 48.59..
MM
They did tell us that they have Revenue Loss Insurance but I doubt that it is based on “potential revenue”. It will likely be based on the “current / recent revenue” which has been the source of Temple’s problems. Don’t forget that the Q1 occupancy was 32%.
The longer it is before they can get access and dispose of all the rotting food ect. The less likely they will be able to salvage the Refrigerators, Freezers, Kitchen Equipment etc. and the more likely the properties will get infested with vermin.
We also don’t have any idea of how much of their losses will actually be covered. It could be somewhat less that 100%.
Before this event happened Temples Balance Sheet was in terrible shape. This event will put a lot of strain on Temples meagre resources. They will likely get some immediate help from their Insurers but it will be a very long time before ALL the claims are settled and paid.
As I said; For Me There Are TOO Many Unknowns so I took the Opportunity to get out with a small profit.
As Always; Do Your Own Due Diligence; It’s Your Money !! PS; The current “improved” price of OIL doesn’t have much to do with this. If WTI gets to $55 -$60 and looks like it will stay there we can expect in increase in “Drilling Activity” in Western Canada.
Before there will be much interest in Large Oil Sands Investment in the Fort McMurray area the outlook will have to be VERY Positive c/w substantially Improved Export Capacity (pipelines) which at this point doesn’t seem likely any time soon.