Well I like to think of socialism as a system where all of an organizations assets and revenues are devoted to the members of that organization and the stockholders get nothing. That sounds like Starrett. The shareholders have received very little for decades and my prediction is that they will get even less in the future as Starrett proceeds towards bankruptcy. At that point, the employees won't even have jobs, let alone retirement and health care benefits. I used to own SCX stock but I gave it up and took my profits when it became obvious that the shareholders were second class citizens at the organization.
As for me being a tea party member, I am much more right-wing than the tea party. You Obama lovers are about to get your wishes as the US proceeds toward defaulting on its debt.
Do you really think that that I will pay the $16 trillion that the US owes?
Though perhaps tone could be improved, watchthedownside is correct in assessment of company's declining ability to generate cash earnings.
Most recent quarter's results underline this, with collections of accounts receivable basically the only positive and continuing inventory build absorbing most of the cash flow. SCX historically has a hard time controlling inventories during downturns, and 1Q for FY13 is no exception.
Also, sales / employee very very low for an industrial company, and this number would look worse were it not for Bytewise purchase. But whether that acquisition was worth the additional debt burden and will ever be accretive to earnings I can't tell.
It is unfortunate that the interests of management, employees, and the shareholders seem to have diverged a bit here over the past few years. The dual class share structure, the poison pill, and staggered terms for directors should be eliminated, but I really see little chance of that happening.
You said "it is unfortunate that the interests of management, employees and the shareholders seem to have diverged a bit over the past few years."...
Well that may be true. None of the groups you mentioned have done very well.
However, the shareholders have taken it in the neck for decades and it does not
appear that it will change soon as the stock makes new lows for the current year.