Post by
ForRealNowAndNo on Aug 10, 2016 10:36am
Current landscape no longer warrants the debt level
Concordia contracted too much debt while its business environment changed so much. I am long the stock... but it is too long for the EPS to come through. Forget short time spike and money back. Will not see $30 any time soon. So, assuming no new share issuance, what does it take for CXR to be solvent in 2017? Mark Thompson insisted so much his guidance on 2016 alone. THANK YOU
Comment by
wordless on Aug 10, 2016 11:07am
CXR to remain solvent needs to earn cashflow in the X was of its interest repayment obligations. There is and will be plenty of cashflow for that. GBP cashflow will pay GBP obligations and USD cashflow will be used for US obligations creating a natural hedge of sorts. I don't understand why people keep bringing up solvency? The Company generates tons of cash to satisfy its obligations.