nndung- Depreciation calculated is on a set tax basis, we are talking about a market value loss or what they are worth in the real world. That is not depreciation that you see on the books. Huge difference in this case
Lets pose why the company did not appeal the notice from Nasdaq, so the insiders can sell out stock before it goes to "nothing"? The answer is delisting and filling out Chapter 11 is a better solution for shareholders included the owners.
"why the company did not appeal the notice"
on what grounds? this stock is going to zero, stop
trying to spray this pile of crap with perfume. First
its book value, then deprecition, now why it did not
appeal, give it a break, you are talking pure #$%$
dream on, there is no value to tweeter. Do you really think
this stock is trading near zero because there is all this
"big value" They declared BK, they will be lucky to
recover 50% of their fixed asset book value, mabey a
little better with inventory. Any leverage they may
have had on certain leases was destroyed when they
declared BK. Most likely all creditors will not be
fully paid, shareholders will see nothing.
do these locations have to be sold to certain types of buyers or anyone? ie similar business ie Best Buy, CC
some of the lease terms require anchor stores to have some specific characteristics
these stores are big
I would think they would have big value
Your math does not apply in this situation. You have to add in forward loss, three part sale and the fact that this ship is sinking daily. If your going to use that math, you might want to adjust y our figures daily, you will be adjusting them right to $0
"1 share is worth 1.35"
lol, you are not serious are you? the book value includes
about 91M of inventory which they will be lucky to get
60M for. It also includes about 70M of fixed assets
which could lose much of its value when they start
closing stores. For the months of April, May and June
they have been losing money hand over foot. The second
they declared BK the value of the stock became worthless.
It has been pointed out before, the book value of
worldcom the day they stop trading was over $12.00 a
share, the shareholders lost everything.
These shares should be selling for under a penny,
and will in a few days or weeks. Just like Enron or
worldcom or others before them, some believe that a magic
bullet will be found to save shareholder's equity. It
aint going to happen. Within a few weeks they will stop
trading and shareholders will lose eyerything.