RE:Servicing debt is keyryehigh2014 wrote: The CEO is greedy - instead of servicing debt he decided to acquire a heavy oil asset who economics simply do not work which will simply add to the already strained overhead of the company.
They need to sell assets in the EF - sell a portion or all and reduce leverage to get to a technical reset.
You guys understand that impairment = unfeasible, and D&A are still real expenses albiet not a C/F strain. You need to replace those assets.
I don't really understand what management is doing - but this business smells like a Concordia where they are simply too stupid, blind, or stubborn to accept the reality of the market and react - instead they are praying for the oil gods/OPEC to stablize the market.
All these companies are the same for the most part. They will stretch the truth or manipulate news releases to make it appear they are stronger than they really are to shareholders. When they made this purchase they are trying to show shareholders they are strong financially... and it backfired because shareholders are smater than they think. If they didnt purchase the heavy oil assest recently the shares would likely be around $5.25 or so in my opinion....