The shorts got snookeredhttps://www.winnipegfreepress.com/business/slow-but-steady-year-in-manitoba-467251143.html
The shorts got snookered
Exchange Income Corp. (EIC), a dividend-paying diversified holding company, was subjected to a nasty assault in 2017 by calculated short sellers who attempt to profit from driving down a company’s share price (by any means possible).
It didn’t work very well. While a poorly handled scheduling snafu a year ago at Perimeter Airlines — one of EIC’s companies — may have been the pretext for the spurious online slagging of the company’s safety and accounting policies, Transport Canada didn’t bite, because there were no safety issues.
The company stood its ground, resisting engagement in the underhanded tactics that included secretly recording and selectively quoting from a late night cocktail-bar conversation with one Bay Street analyst.
While the ambush did drag the stock price down 40 per cent, it’s gained back almost the same percentage since then.
martin.cash@freepress.mb.ca