what the liabilities you speak of - I see assets wrote down and so are liabilities. Not looking good in general but, note the Apple claim is only tied to sell of Sapphire - you can write down the entire value of those furnances and the entire value of the Apple debt.
Never has anyone for one minute ever thought that there would not be something that came from this that keeps operating - the question has always been - "who will own that which is left?"
Fidelity won approval to trade this stock - I have not idea what that will do for us.
It should have not long term effect, but in the short term
if we assume they want to unwind some of their shares, we would see them pumping and churning the stock to maximize value and volume (the need high volume to exit the position)
However, if that is the case, someone is selling large lots of shares and would either be someone unwinding or someone trying to keep the price low to accumulate.
Yes I understand that everything i said contradicts itself - In short I do not know what will happen
If we eat through the block at .31 it will at least be interesting - will they post a new block
This is a non-event - Event - It means the stock will flutter for more time unless something substantial comes out. They can move the date once - so move it as far as you can - This just means they want more time to come up with a plan. It is that Plan that will determine a lot - assume that plan is uncontested, it is the ultimate fate.
In short, it Means Nothing! but could mean everything.
At first I assumed that it meant they wanted more time to save the equity, but then I was told it would be more significant if they did not.
Thank you for the explanation. So they do own the underlying options? There is something physical they own?
The other issue is that say you buy December 2015 options today, you will pay a premium over PAR correct. Oil Priced at $50 today, but you are paying 50 for the option. Is that correct? So the OIL can loose more?
are the underlying options that they trade tracked?
Ok, I am sure this has been discussed, how does this work?
I just have no idea. It does not track 100% with the price of OIL. Can it go to 0 is there something real behind it. I do not expect oil to fall but if it fell 50% from here, could you lose more than 50%?
I am just not sure how to figure out the real risk here.
Long term, Oil will go up maybe not to 150 but to at least 80. Short term it "cloud" go to 35?
Seems like a descent risk reward - But there has to be other Risk here.
We need someone to really do this whole thing justice - that is we need the info to argue - we are ready to put something good together.
Faloh had a lot of consultations - One thing to keep in mind - coming in as a normal person - less polished may have its advantages.
it is not as though we cannot request one again - truth is - there is a lot we do not know, so we need an equity committee so we can learn -
amazing policy for traders - terrible policy for them!!! A smart man would have two accounts all leveraged 200 to 1 - playing all major pairs in each direction!!
You can file a joiner and add those comments - it may be late now, but you can overnight it to the court!!
Your are right and you are wrong -
First DIP is not the one that takes the equity. DIP becomes the first in the line of creditors to be made whole. That means that they WILL get their money back before anyone else. For DIP to get the equity, there would have to be nothing left but the equity. (That is not the case here).
DIP can be assured that they will get their money, fees and interest before anyone else get a penny. DIP is designed to keep them afloat.
The group that can wipe out equity has and remains the bondholders - they must be paid in full before equity can survive.
Just do not forget that we have 0 existing employees dedicated to the production of Sapphire. While a case could be made to not bonus senior management and Squiller, the rest are working on other project. Ever her of Hyperion?
Here is what everyone seems to forget - Employees technically work for you the share holders. In a private company the person who owns the company is often the CEO. In public companies the person who owns the company is the "shareholder".
I am assuming everyone thinks that this is just a poor managed company and we as the owners should inflict as much pain on our employees as we possibly can, since they did such a terrible job.
For History's sake here is what happened:
Solar industry dried up, GT was going to be in a very very bad place financially. Apple came and offered a deal that would save the company - it was risky but not as risky as the upcoming collapse of the solar industry. So the management ( and the Board by the way - the Board works for us the owners of the company) decided to take a risk -
That risk saved the company from failure when the solar industry collapsed. However, it did not pay off in the end. GT who has been successful at many transformations, was not successful in down-line manufacturing. They gave it a shot and it did not work.
Lets assume some of the management team is responsible - Ok maybe some are responsible fir this risky play not working out, but they tried.
Now fellow "owners" we need some money to keep these guys from getting picked off by other companies that are paying much better than we are. Do you want to treat your employees like that - most of them are on other projects anyway. The ones we need to be cutting edge in the industry.
Granted there is no guarantee that this will save the company - we all may very well sink, but it is part of the risk we signed up for when we decided to be owners in a company taking a risky transformative play.
I want to keep the great talent we have in every area - so I say yes to the bonus - I say we pay them. If we the owners get anything out of the this company, 4 million will not be a factor.
Just an FYI they have never sold one of these furnaces before. So the market data is for a different size and generation.