RE:stockwatch.comA Canadian analyst that calls a spade a spade is worth listening to...
What it boils down to is the choice between a) death by a thousand cuts or b) get it over with now.
A 50% cut would save BCE ~C$1.8B per year.
A 28% cut (ie from .9975 to .7225 per quarter) would save BCE C$1B per year.
Obviously the 28% cut would be ideal for shareholders as long as it allows them to become consistently free cashflow positive. For that matter, do we even know if a 50% cut would be enough? To me the cut that needs to be made is the one that allows them to be freecashflow positive in their Canadian operation.