This info I found out at GNCMA conference call where the CEO explains their strategy of just giving discounts to wireless subscribers and make them switch to GNCMA.
If the subscriber switches then that reduces the preferred dividends gotten by alsk.
They fired 1400 which is 25% of their corporate work force.
But they still have 4200 people in US?
I mean they are selling to the 3rd world and why are they paying 1st world salaries.
So my effective cost would be 100,000 @ 7.82 if assigned and it falls below $8.
If it stays above I get to keep 17k profit.
Then why are the bonds not selling off?
Bonds have rallied from October and staying pat.
you mean 12000?
If dow goes to 1200, I need to start preparing my bunkers.
If I get assigned then Iam going to sell 1000 calls @ 8.00.
I dont see much downside.
Actually buying the bonds and shorting the stock is a safer bet here.
If this pig goes under you are not getting anything back.
These guys will burn through the 2b before 2016.
Creating a straddle.
As long this pos stays in-between 7.67 and 8.33 tomorrow I will be in profit.