RE:RE:RE:RE:RE:@ $77.00 WTI and Current Differentials and the CAD$And just a few more considerations to add to my initial post. If they continue to buyback shares at 3.3 million a month that equates to 39 million shares a year and at Friday's close of $3.85 that about $152 million CAD. Now lets say they continue to buy back shares for the next 2 years (78 million shares at an average of $3.85 per share). That means they will have bought back over $300 million worth of shares and their float is still well over 400 milllion shares.
But now let's say they stop buying shares on Monday and apply that same $300 million to pay down debt over the next 2 years, and that's in addition to the what $88 million or so they pay off per year now? This option would leave them with only $300 to $400 million debt outstanding in 2 years or nearly $500 million in debt paid down in the next 2 years. I don't know but the pay down debt scenario sure seems to make far more sense to me. Of course the share float would probably jump another 50 million shares by the time the company got done rewarding themselves for their outstanding performance but at least the retail shareholders would benefit too in dividends and share price appreciation. Because right now the only ones I see making money on TVE are the Nutalls and day traders range trading this thing up and down like a Yo-Yo and the company continuing with their share buyback strategy is only helping to maintain certainty that the share price will remain range bound for the foreseeable future barring a major spike in oil price.
My opinion only. DYODD
HB77