Noranda Income Fund Unit NNDIF

Someone knows ...

[JasonBilly]

...something I don't know. Wish I knew what it was. I don't think NIF is prone to being manipulated by short-term speculators, so what can it be?

[BigJo]

Last year the "special cash distribution" was announced on December 17. It was paid to shareholders of record as of the close of business on December 31 2018.

[JasonBilly]

Thanks for that thought. You may well be right if last year's event turns out to be the first of an annual one, although I suspect it was designed principally to mollify and distract those who would prefer the reinstatement of a monthly payout.

[rjb1954]

Judging by the size of the jump, it has to be something larger than a $.03 special dividend

[THRK]

This post has been removed in accordance with Community Policy

[Bigbird9999]

People are begining to see the potential of incredible returns on this stock whin the distributions resume. Last year they posted earnings of $12 million and paid out dividend of 3 cents = $1.5 million.  They will probably do the same this year but are not required to do so.  They could retain these earnings and give an in kind distribution (which results in no cash) as they have in

[galvanized]

BB, and the rest of you,please don't expect a reinstatment of a monthly distribution.  It's likely to be a one a year thing, from now on.  Without a long term contract, earnings are going to be highly erractic going forward, so a monthly distribution makes no sense what so ever.  I expect the company will retain all of their earnings during the year in order to minimize the

[Northforce13]

* Q3 was better than expected partially because they held back some old TC concentrate to process in Q4 (so they processed more new TC in Q3 than otherwise would be the case if you think about it).  My understanding is that they did this in order to mix different types of feed (overseas vs local) to help deal with higher impurities.   * On that topic they said they expected old/new

[Bigbird9999]

I am also long and sitting  Q3 earnings were $15 million on $20 million of cash provided by operating activities.  All of the cash flow was used to pay down the ABL debt from $133 million to $111 million.  Q4 will be a bit better say $17 million on $22 million of cash provided by operations.  So 2019 should end up with about $10 - $15 million earnings (same as last year) with

[Bigbird9999]

Forgot to mention.  The fund reports in USD but the shares and distributions are in $CAD.  As a result, the earnings available for distribution in $CAD are 1.33 times the reported USD earnings. BB

[THRK]

This post has been removed in accordance with Community Policy

[HA20200]

Glencore will use every trick in the book to take advantage of NIF shareholders, as they have been doing for years. Over the next few quarters there will so much profit that they will be unable to steal all of it. Even half of the expected profits suggested will make NIF stock look very good. I have been long for years and remain so. We will get a few quarters in the sun, just have to be patient.

[iwasgold]

I dont believe Glencore receive any distributions...they have a different class of shares still....and since the terms of the contract they have with Noranda is secret, we really dont know much about anything except what they choose to tell us. It seems to me they try to do things differently every year. We may not hear about any distribution until after Noranda's year end, for example. Doing

[wizthewiz]

Thank yiou, Bigbird for continuing to update and give some insight on this stock as you are one of the very few who has real insight on it. I, too, am long, but have not been paying attention to it for quite some time. Hard to believe it will rise much above $3 but we will see if it moves past the top that is forming today.

[iwasgold]

Q3 earnings were $15 million on $20 million of cash provided by operating activities.  All of the cash flow was used to pay down the ABL debt from $133 million to $111 million.  Q4 will be a bit better say $17 million on $22 million of cash provided by operations.  So 2019 should end up with about $10 - $15 million earnings (same as last year) with the ABL debt reduced to $90

[Bigbird9999]

Forget earnings and focus on free cash flow.  Frree cash flow is the cash left over after CAPEX , residue pond reserves and taxes.  In 2019 Q4 cash generated  was $20 million Q4 should be slightly better.  Q1 and Q2 had negative cash generation so year 2019 should generate $30+ million in cash which will be applied against debt and maybe pay us a year end dividend like last

[Bigbird9999]

I forgot to mention that Glencore gets any royalty we get.  2019 Q3 FS shows US $1.1 million distributed = CAD$1.48 million.  Distribution was 3 cents CAD per share so shares which received distribution is is $1.48 million /$0.03 = 50 million shares.  Glencore owns 12.5 million shares and we own 37.7 million BB

[ZincDink1]

Wow, you really think 1 distribution of 1.4 is doable? That would be fracing fantastic!  I don't think it will happen before we get a low ball bid from GC.  Still, I like your thinking (as always)

[galvanized]

If the lenders don't agree, the trustees may be forced to distribute earnings in kind, like it or not.  This is a good stock to hold in your TFSA or registered account, if you dont like a suprise big tax bill.

[ZincDink1]

Maybe someone noticed that a plant worth close to 1 B$ is valued on paper at 150 M$.