According to the news release, the combined organizations has EBITDA(earnings before interest,taxes,deprec. and amort.) of $34mm. Interest and pref. divs. for the operting company and the holding company were combined $128mm for nine months. The $34mm excludes large write offs. So Earnings before taxes and non-cash exenses is negative $94mm for 9 months or -$125mm for one year annualized. This is of course rough but still based on the recent numbers put out.Debt costs are thru the roof.
Looking at the operating company for 6 months and stipping out all the cross revenues between CCA and then PZN....for 9 months $420mm Rev....oper. expenses $337...SG&A $25mm...for net of $58mm (excluding non-cash items).
It's very clear who one of the bogey men is, the bank LOC. It's also pretty clear whats going to have to happen, get the debt load down and that's going to have to happen with asset sales I would assume. Sure cutting costs makes a difference but not when the bank group pig piles on them with usery rates.
Nov. 17 is the dateline for an answer from the banks on what's to happen with their bank breach.
Sam you may be right, but then again I should have sold this damn thing a long time ago and didn't. I sold out this morning and even if this pig does go back up I won't regret it, because it is something I should have done a long time ago.
Then again, I'm still stuck with my shares in the IRA and will probably get more shares due to the settlement. This thing never goes away!