RE:RE:$337mil of cash at 9/30/23perhaps the company can't comment at this time as to what the future plans are for the $337M cash.
Maybe a potential suitor wants it left on the balance sheet?
Going forward, the interest payments on their outstanding loans will not be $11M per qtr.
The coupon rate is 9.75%, balance on loan is now $212.3M Cdn ($157M US).
Also keep in mind, the $337M is likely earning appr 5% in short term money market so it offsets large chunk of the interest payments.
Concern right now is the large spread on the heavy differential.
If that can come down, even more serious cash will come in and I can see dividend on the horizon in addition to the buybacks.
cahclick wrote:
filefish wrote: Can someone on their conference call please ask management why they find it necessary to carry over $300 mil in cash on the books when they could wipe out their debt completely and still have $125 mil left over + an undrawn credit facility. Financing costs in Q3 were over $11 mil
I would really like to hear ATH management answer this question (not posters on this Board) as it makes no sense to me why they burn $11 million per quarter paying interest.
As you say, they would still have $125 million cash on hand plus line of credit.
Otherwise a killer quarter !
go ath go