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Bullboard - Stock Discussion Forum Reitmans Ord Shs V.RET

Alternate Symbol(s):  RTMNF | RTMAF | V.RET.A

Reitmans (Canada) Limited is a Canada-based specialty apparel retailer for women and men, with retail outlets throughout the country. The principal business activity of the Company is the sale of women’s wear. The Company operates three different brands: Reitmans, Penningtons and RW&CO. The Reitmans banner is a specialty fashion destination. The Reitmans has an online presence and store... see more

TSXV:RET - Post Discussion

Reitmans Ord Shs > Management
View:
Post by Uthr80 on Dec 13, 2023 3:30pm

Management

I suspect the new CEO will try to establish her own legitimacy by taking several shareholder-friendly actions. Let us also remember that two thirds of Sherlex are held by non-management branches of the Reitmans family. That means the controlling shareholder is likely aligned with general shareholder interests. I also support the Donneville Kent plan to create one class, though I believe the premium for voting shares should be higher (maybe 75%) as it would essentially garantee that in future we will have professional management and not family management as was the case until recently, which appears to me to be the reason that Reitmans has twice as many SG&A people as some larger and more diversified American comparables. In relation to tomorrow, I don't expect this to be a good quarter (the FX effect that crushed last quarter's comparables should not as pronounced but the general winter which we entered this summer is likely to weight on results).
$3 per share though is still fantastically cheap especially if they do a conversion
Comment by TheCount11 on Dec 13, 2023 5:36pm
"Let us also remember that two thirds of Sherlex are held by non-management branches of the Reitmans family." What is their involvement?  What is their voting record?  Hell will freeze over before I give them ANY premium.  Want a premium?  Earn it.  The board has a fiduciary duty to ALL shareholders.  Reitmans family has stacked the board and should ...more  
Comment by TheCount11 on Dec 13, 2023 6:11pm
foreign exchange loss of $0.5 million on U.S. denominated net monetary assets in the second quarter of 2024. There is a Eurodollar shortage.  What interest is company making on USD?  More than CAD. Q2 revenue was $213.2M.  FX loss was $.5M.  That is 0.23%.
Comment by Uthr80 on Dec 13, 2023 7:35pm
A big driver of higher costs in retail is a weaker cad because apparel is purchased in USD, but the pricing dynamics in Canada are independant of foreign exchange (this has nothing to do with FX loss). As for your other point, if you dislike so much the controlling shareholders, why don't you want to get rid of them by way of a Magna-like transaction which would add enormous value for a ...more  
Comment by Uthr80 on Dec 13, 2023 7:44pm
Oh and before I forget, don't join GAC, because you have the temper to start a war. 
Comment by Lllennn on Dec 14, 2023 12:52am
Ya, I always knew that guy was a kook, would you recommend a shrink? IMO 
Comment by TheCount11 on Dec 14, 2023 10:10am
"A big driver of higher costs in retail is a weaker cad because apparel is purchased in USD, but the pricing dynamics in Canada are independant of foreign exchange" How much weaker was CAD over the quarter? What are interest rates on Eurodollars? How many times per quarter are apparel items shipped to Canada? How does Reitmans set initial garment prices / margins?    Why doesn ...more