RE:RE:RE:RE:RE:Target is around 10-124 for this yearHi folks,
I just want to start out with the acknowledgment of the *speculative* nature within this post.
Management has indicated on the last conference call that they were kind of just getting warmed up with the restructuring and that there was still a fair amount of work to do.
Selling the pipe coating business would be a fairly drastic move but could be possible. My concern with this type of move is that they may fail to maximize the value of this division which is certainly in trough revenue and earnings. To sell the pipe coating division at trough earnings and at a trough multiple would be insane... especially in a substantially improving market.
With that said, Management has indicted that it wants to focus on higher margin more stable business going forward. There are other businesses out there that could be a better long term fit with Management's vision.
Perhaps we are just getting started.
LR