I think DXM generates more cash than most companies that pay less than 4% in interest. THere must be some bank, BDC, mutual fund, closed-end fund, private equity that would loan us money without any equity strings attached (except standard). We also should go after management if they do something sinister with lawsuits. I get the feeling the debt holders or private equity want this company and they don't want to pay $500 per share for it.
"We may also allocate some money from the current cash account for DXM workers for layoff packages." Don't worry about the old workers, do they ever give you the shareholders a cake for allowing them to work there. They have unemployment insurance. The moral thing to do is pay workers as little as possible giving everyone equal chance of working there. End all stock option plans and only promote employees that show they bought shares in the open market.
What about the 3rd parties, I would think they would love to finance at 7%, when many stocks like GM and CVX pay less interest and are in worse shape.
I think there already have been rulings on this. In summary, legal.
Seems cafd is getting all the junk the utilities do not want to buy. Systems less than 50 MW that are costly to maintain. The big boys that like to kill birds with wind power, coal, and gas get all the big projects. Looks like Sunpower is considering selling a plant to Berkshire. A good plant that is already large and expandable. Even cafd largest plant , If I am not mistaken, has one of the lowest $ per kWh purchase agreements in the industry from the solar unfriendly fake republicans near Arizona. How about a new yieldco where we get the big large expandable projects with high PPA and we lobby congress for access to the grid for free in a deregulated environment. Where the people of the country can invest in a company that buy and sell solar electricity between people without the big "limp in the groin" utilities getting a big cut.
$50 billion in debt and $8 billion in cash is $58 billion. There are about 2 billion shares outstanding. Thus issue a $29 dividend and hope you can meet interest payments. If you can't it goes to chapter 11. But, if it is able to survive, debt will be paid off quick dues to semi#$%$ liberal fed low rate policy and we can issue more big dividends.
I was just wondering if there was a way to determine this.
I would loan money at DXM 3% (or less) if I was going to loan money to GM at 1%. I would buy DXM debt at 7% if all the debt was re-issued at 7%. I would loan money to DXM at 5% if I was going to loan money for Dell to buy EMC at 5%.
It does not have any losses. It has profits every quarter. Depreciation is a non-cash expense. Profits (cash flow) are higher at DXM than GM and TSLA combined, yet GM gets to borrow at 0.8% interest. That does not seem fair.
DELL stock was like $40 in 2000, he let the bagholders sit and wait until the stock became massive undervalued at $13.75 the price of the buyout. I doubt if they even took a vote, I never got a list of the votes. Icahn calls Dell what he is he stole $ billions from the shareholders. Never buy a Dell product again.
DXM is more profitable and should pay 1% too. Lets drop payment to 1%.
I have an answer I just want to see if I am not making a mistake. Please post.
Just to show how corrupt the system is GM has 50 billion in debt, yet pays only 400 million in interest. A company with its history gets to borrow at 0.8% interest.
What are they doing. They are adding massive debt and also have massive dividend and buybacks and really no cash flow to pay for it. The add like $4 billion in debt a quarter, don't they realize this company has had problems with debt and bankruptcy. They now have $39 billion in debt when it was only $9 billion 3 years ago.