Hudson's Bay Co. HBAYF

CEO just stepped down

[riddle5]

Here's hoping this is the first step before taking it private soon

GLTA

[las5513]

HBC needs to be able to satisfy a lender they can service the debt that would be required to go private and there isn't a snowballs chance in hell of that happening till HBC can prove to a lender they can service the required debt . Nordstrom just got declined by lenders so what makes you think HBC, who is consistently losing money could obtain financing.

[CorporateRebel]

unlike nordstrom, HBC actually owns a real estate portfolio.  I'm not saying that real estate collateral = easy financing, but rather that when comparing a two big box retail establishments such as Nordstrom and HBC, one must take into account that without real estate collateral, a financing agreement is MUCH MUCH more difficult to occur.  While ability to service debt is important

[talladega10]

In the world of corporate finance the ability to service the debt is equally important as the collateral. An interesting turn of events this morning is the HBC stock price decline after a sharp run up in the last hour of trading on Friday.

[CorporateRebel]

yes, i agree, except that nordstrom doesn't have as much collateral as HBC, thus the Nordstrom privitization abandonment can not be compared likes for likes when looking at HBC's future. 

[talladega10]

If going private is plan (a) and all other alternatives are plan (b), my guess is plan (b) will be selected since nobody will finance plan (a).