You might be right, but my "guess" is that they will cut the dividend by about 50% and the stock will trade at around 16.50 for a while to maintain an 8.5% dividend yield. If they cut by 50% and the stock declines I would consider that a nice buying opportunity. With all of the negative sentiment around this and other similar MLPs my feeling is that we are closer to a bottom than many think.
I agree with you.A DIST. REDUCTION ISN'T GOING TO MAKE THE BUSINESS BETTER. So the source of the problem doesn't go away. This isn't necessarily the last cut.And even if it is MLP'S that reduce the Dist. are not soon forgiven..There are 8.5% yielders out there that raise Dist.with regularity.