Makes sense as they account for a growing % of MTL exports.
@@@@@OAO Mechel, Russia’s most indebted mining company, is including Asian lenders in talks to refinance as much as $3.5 billion of borrowings as customers for its coal in China and other countries in the region increase.“We’ve started to export more to Asia and want to gain some advantage from this,” Chief Financial Officer Stanislav Ploschenko said in an interview. The Asian talks cover $2.5 billion of debt due in 2014 owed to international lenders including European and U.S. banks, and are due to conclude this year. Mechel targets July completion for an agreement with a Russian bank to refinance about $1 billion due in 2013, he said.@@@@@
@@@@Slowly but surely, one investor thinks the tide is turning for Russian steel maker Mechel.
optionMONSTER's monitoring programs detected the sale of 16,500 October 3 puts, most of which priced or $0.45. Volume was almost 8 times open interest at the strike.
The trader is now on the hook to buy shares for $3 if they close below that level on expiration, but the cost basis would be $2.55 including the credit received. That's slightly below its previous all-time low early 2009.
Selling puts is a common strategy when investors like a stock but don't want to shell out cash getting long. It lets them earn some money from the passage of time while programming a buy order at a lower price. (See our Education Section for more on how to manage entries and exits using options.)
MTL is up 1.67 percent to $3.04 in morning trading. It's lost more than 90 percent of its value since early 2011 amid worries about the Chinese economy and weakness in metals prices. But data in recent months has shown improvement in the global-growth story.
Today's put sale pushed total option in MTL to 24 times greater than average. @@@@
i think they will survive... that is all i am wondering in relation to when the steel and coal prices rebound. i would like for them to get their act together quickly cause their stock has way underperformed the market this year cause of the falling commodity prices and their rising debt levels.