I was looking at this stock, and it was looking real good at first look, until I noticed that they have a large portion of their leases to Kmart and Borders. I think Sears/Kmart might go bk, but probably most leases would be confirmed. About Borders I have to wonder. I have to think there is a high risk of their going bk, and their leases are over 20% of ADC's leases. I think if Bordes goes bk that you have a lot of empty boxes after that.
So what do holders of the stock think about this. Risk of Borders bk? What would it mean to ADC.?
I have not looked at the ADC message board for 2 years, sold all my ADC 2 years or more ago. But with Borders in the news more now lately, my interest was peaked. Back then I was worried about Borders going BK eventually, which it probably will. Plus there was the nepotisim; a public company should not be run like a family business with the CEO sticking his son in at an executive level. Plus they had turned down three successively higher takeover bids in the $30s. There were better investments then, and I suspect that there are better investments now. Good luck.
Yeah, I wrote an earlier post regarding the same concern. I was mostly concerned about Borders as they comprise such a substantial percentage of ADC's leases. I even wrote a question to ADC's investor relations link on their website asking what would be their contingency if Borders were to go bankrupt. I never got a response. I do hold a substantial position in ADC and just keep my fingers crossed in the meantime.