Post by
Trooper01 on Apr 15, 2023 9:17pm
2 main risk i see
1- another major pandemic (remember RET was having 100M$ in cash before the pandemic and they burned that cash very fast , they were having little debt by then and thats why they bankrupt)
2- privatization
All the others is just fear mongering because RET was and is printing money and that will not chane anytime soon .be ready for huge dividends in the not too distant future imo
Comment by
Trooper01 on Apr 15, 2023 9:19pm
#1 having no sales when you must pay rent , adm expenses and all other fix costs is harsh
Comment by
Torontojay on Apr 15, 2023 11:30pm
1) If covid happened again the world would be in a depression especially if they turn the money printers on. 2) I'll keep it short. Cash exceeds both the sum of short and long term lease liabilities. Prior to covid, that was not the case. They are much more financially sound on the balance sheet end.
Comment by
nozzpack on Apr 16, 2023 6:30am
They re-negotiated A large fraction of the leases such that lease costs are sales linked. That is, higher sales, higher lease costs and vice versa. A smart move in any future economic downturn , unlike pre Covid. Not sure how much negotiating leverage they had during Covid but they have covered losses that they would have suffered from by their previous lease terms during Covid .