Now, you people do realize that the value of the $3.2 billion (with a "b") write down is close to, if not greater than the total market value of all the gold that Kinross has pulled out of the ground in the last year, right? (2.5M ounces at a conservative market price of $1400/oz).
That aint no way to run a railroad, IMO. That's just #$%$-poor management with no regard whatsoever for shareholder value. Shareholder value and Kinross should never, ever be used in the same sentence.
I think the new CEO is doing what he needs to for the future of the company. I blame the last BUM that did not do enough DD to spend the money he did. The shareholders' money.
The street will look at this and re-evaluate the value of KGC. As I said earlier today, it is still undervalued here and should be at $8.50 to $9.75 sooner than later. The rest will have to wait until the gold starts coming out of that mine!
Just my humble opinion....
The slate has been cleared for the new CEO. The mistakes for the previous CEO are now behind Kinross. Tomorrow they essentially start as a new company, one that is extremely undervalued given their current cash flow. I'm expecting a positive day tomorrow and for the remainder of 2013. They've proven they can make good money at the current gold prices. The worst is finally behind Kinross.
That mine......still no update on CC, FDN or LM projects. You'd think that a CC during an earnings release would be an ideal time to provide updates on other expensive, unproductive acquisitions, wouldn't you? The more things change, the more they stay the same.