NEWS FLASH...NEWS FLASH...WHC is now conducting business on the internet...inmates are housed in cyberspace...inmates help businesses with their web sites and customer service...WHC changes its name to Prisons.Com...stock rockets to $1,032 a share on hopes that the steady profits currently generated by the company will evaporate and be replaced by make believe cyber profits. Sad thing is that these new Linux and cyber stocks are "worth" more to the eyes of the Wall Street big wigs than solid companies like WHC. Gotta love the new World Order.
I agree with your sentiments. Here's another idea. Rather than changing the name to prisons.com, just spin off 10% of the company's stock in prison.com. WHC could easily do an ipo of 10,000,000 shares, or 10%, of their prisons.com subsidiary. Before the ipo, the company transfers all of their receivable, expenses, taxes, and other liabilities onto the books of the new entity - to ensure a constant flow of losses (a requisite of any good dot com investment). Let's say they get $12 for each of the 10,000,000 shares and the stock trades up to $20. WHC pockets $120,000,000 plus they now have 1.8 billion of new assets in their majority owned subsidiary !
Merry Christmas to you too Manboking :).
Can anyone recommend a good plastic surgeon ? I need some reconstruction in all the wrong places.
TAC 1001,...great idea, also provide each inmate with a lap top computer, allow them to get paid a nickel a site, for surfing the net, form a Corporation around the inmates at each facility, linking each facility by Satellite, collect the funds, less medical expenses, and riot damages to facilities (have to have a negative cash flow), and float an IPO called WACK_SAT.net, sponsored by Coke since they no longer support the World Wrestling Federation.
In 3 more trading days selling should abate, then we will go flat for a while till the "Inter-nene" stocks finish their run. By then value stocks once again will come to the forefront. In the meantime Merry Christmas to all good people on this fine board. So far no "BUY SIGNAL", and no cigar (smiles).
with more possible bad financial news to come from PZN and higher debt levels for CRN in additon to some lawsuit headlines for WHC from Texas there will be some temporary downward pressure. However, I believe in the future of private prisons and I believe WHC is the best run in the world. Two things concern me with WHC. First the tighter labor market in addition to congess wanting to increase minimum wage will directly effect WHC. Second, when looking at the transactions of WHC building the prisons and then selling them at a substantial profit to its sister company CPV (reit). I realize this props up the financial picture for WHC in the short term but the question is. Now that CPV has used up ipo money and is now taking on debt, will WHC still be able to sell the prisons at a substantial profit to CPV? It almost seems like they are sacrificing the balance sheet of one company to benefit another. No question in my mind WHC will emerge as the world wide dominant leader in private corrections. Just a few things to consider.