If MNI does a share buyback and goes bankrupt instead of retiring 9% debt at par.... the directors had better have good liability coverage.
I do not care if Hardluck is short. His analysis may be faulty. I appreciate all on topic discussion. The factual part of your rebuttal to Hardluck was excellent, but there is no need to belittle him. I am clueless as to whether Alphabetty can become a significant revenue generator for KING. It would be nice to hear the feminine perspective on AB as women represent most of the $s for King.
Well, it could go to zero if the newspaper market continues to evaporate. Current assets ,tangible assets, those intangibles that you can identify, Career Builder stake, and assorted others total $1.351 billion. Current liabilities, long term debt, pension obligations and other financial obligations total $1.854 billion so they are under water about $500 million if you throw out goodwill as an asset (basically vapor since no one wants a newspaper nowadays). Ask yourself why bonds paying a coupon of ~9% which are a liability of MNI are yielding ~11% when you can take out a mortgage for under 4%. My answer: There is a higher default risk with MNI and the collateral isn't great. I'd like to invest in MNI if I could see evidence of a turn in their ad revenues... but I am still waiting.... and it has been the better part of a decade!!!!
So you don't have any data? Seriously, there must be something you can articulate? Did those others you list... COCO, EDMC, ESI, CECO ever receive the level of positive reviews CPLA cites? Or maybe just because CPLA is a profit educational operation CPLA is bad??
I hope you are okay. I saw you sold all your MNI. The internet shattered the newspaper world and even though MNI could see that 8-10 years ago and participated with a few good internet assets the company acquired too much debt via the KRI acquisition to cope effectively. Pruitt grabbed the falling knife 25% into the fall!! Sad.
Capella seems to have an excellent reputation. It appears that you want to knock the company. If you have some evidence you would like to share please go ahead. I might decide to sell. Thanks.
Basically, he wrote a MM puff piece. I wonder if she approved it before it was published. It is good Starboard is looking over her shoulder. My take reconfirmed by the article.... she's an all about me girl.