It doesn't matter how you slice it...
2014: no bonus & no stock.
2015: bonus + no stock.
So they got a bonus in 2015 which they had forfeited in 2014 due to bad performance. Yet LUK has done worse in 2015 than 2014 by their own metrics. Go figure!
"Handler and Friedman each received bonuses of $6 million, based solely on Leucadia’s performance in 2015. That’s better than a year earlier when they turned down cash awards after each being entitled to about $2.2 million apiece for their work in 2014."
When the math doesn't work out, change the benchmark.
Good news. I hope Handler retired 6 million shares yesterday. Deep value bargains & charity start at home.
Interesting day. Despite the market bloodbath, LUK is up on 3x normal volume. I don't have time to check other financials, but GS is down a percent or two (after earnings).
Would not be surprised to see serrious LUK buybacks.
Handler prefers to buyback when a company is seriously undervalued and the market has suffered a noteworthy decline.
More specifically he prefers it when he sees deep value andv"the world is on fire," but that literal spot is hard to find.
When LUK's involvement was first announced, I bought some shares. Just recently, I bought some more because GQMN announced that their total cost to produce an ounce of gold would be $562.00
I haven't had time to focus on Golden Queen itself -- the OTC listed company. Do those shares have potential significant upside? My understanding is that LUK is providing some kind of priority financing, so the publicly floated shares are probably way subordinated in the cap structure. Economically, probably a cheap option and fairly levered to the price of gold.
Anybody looked at this?
You're wrong. I point you to page 3 of leucadia investor day presentation on their website. Corporate parent cash and investments is 1 billion. Defereed tax asset is 1.2 billion (this is not cash!) and debt is 152 m. So really they have $850 million cash available. The other cash you see is Jefferies and is not available unless they wind up Jefferies (not a bad idea!) Part of that is regulatory capital, part of it is to support the credit rating.
and maybe below $15 soon if Handler doesn't go. This guy is delusional. Wants to do more deals in 2016 when he can't even get the dozens of deals he's made right. Note: I also think Friedman and Steinberg should go too. The only smart one was Cumming who jumped ship when he saw the writing on the wall (I won't comment on the ethics of taking your money and running but at least he saved his money!)
Thanks for the head's up. As usual, pretty fluffy, but interesting historical framework/lens to keep current market events in context. I wouldn't say "brain dead" by any means.
Amen to that. The market obviously does not believe in Team Handler's capital allocation skills. They need to focus on improving the JEF business and using excess cash to repurchase shares.