Got calls from both CASA and CLF and told CLF that their performance is totally Unacceptable and voting for CASA.
AA( Alcoa), ABX ( Barrick Gold) and NEM (Newmont Mining) and sell non-core assets and/or spin off INT Operations except the Ring of Fire property.
Big article in today's WSJ ...... AA swings to the profit on Cost Cuttings and beats the earnings estimate. Both ABX and NEM selling non-core assets . ABX about $1 B and NEM by $1B in 2013 and additional $700 mil in 2014. Pressure on both form activist Joe Foster of Van Eck Assoc. to combine these 2
companies or split up into many pieces.
CLF MUST learn a lesson form them.
Will vote for all 6 CASA nominees (GOLD Proxy) this weekend that will send the message to Kirsch that he is DONE, if he hasn't already resigned after Q-2 earnings are announced.
Because AA's CEO Klaus Kleinfeld is a strong business man and not some dummy like Kirsch of CLF. I have a lot of AA shares and glad he is here with his great management.
There are still a lot of short sellers here EVEN knowing CASA might take OVER THE CONTROL OF THE COMPANY. Generally , the stock takes off because of the Activist. But its not happening with CLF. The reason is that they think Kirsch and his jokers will prevail because of people like surf, solar and rps think that is the best thing for Cliffs and will vote for them
So if for some Godly reason Kirsch and them prevail don't blame shorts, CLF stock may go down as low as $10-$'12 area, as they have NO strategy nor any RESTRUCTURING plans. So don't blame us who want CASA to take the control and straighten out this company and improve its balance sheet.
Kirsch will be booted out as soon as CASA takes over.. or there is some rumor that he may even depart following the Q-2 earnings if they are terrible. His days are numbered regardless..IMO
surf.. . Go for CASA. If you are long you will NOT lose. With CLF and Kirsch , business will be as usual and debt will eventually kill this company. There is NO restructuring plan with the present MNGT. JPM and ML are collecting their money w/o doing a single thing and Company Executives are getting big compensation packages. What a freaking joke!!
Activist CASA has nothing to do with the MNGT of this company. Kirsch and his buddies drove down the price from $102 to$15 with their buying binge at a very inflated price and taking on more and more debt. They failed to realize there is always a bust cycle after the boom cycle. You don't seem to realize this.SOLAR!!
CASA did nothing to this company and like us they are losing their money and that's why its more IMP that the Change in the Board is absolutely needed to put the finances in order. If CASA lowers debt down to $1B, it will be manageable if they cut CAPEX and other overhead expenses and
executives compensation packages drastically. Its going to be painful but Cliffs will be smaller and survive. I don't have a problem with smaller and more domestic CLF.
About less than 2 weeks when we find out the Financial health of the company. Some rumors that Kirsch might leave on his own immediately if Finances are in a terrible shape based on Q-2 Earnings report. That will make CASA to move in easier...IMO
Generally, its stock price goes up even when the markets are down.....except in the case of Cliffs. . Down to $15.59 now.
Had an interesting call yesterday from CASA Rep .. asking to vote for all six(6) original nominees including Patrice Merrin who he said will be replaced by a new guy. He also said CASA has an overwhelming support to change the Management and Board from his contact with Shareholders. I do hope CASA takes over the Board and MNGT.
Two time bombs ticking.. Q-2 earnings out 7/21 and SH meeting on 7/29.. ke sera..sara !! good luck all LONGS and CASA supporters.
Yesterday, July 7, 2014
1:50 PM ET Cliffs to Sell Pinnacle Coal Mine as Part of Response to Low CommodityPricesTREFIS
I don't think they got the buyer yet. Probably work with JPM and Merrill Lynch to find a buyer. This was the part of yesterday's news.
Finally!! but it may be too late to get the decent price now. They should had sold it last year. They are doing this now grudgingly because that's what CASA wants to do. They may announce more sales of losing assets before the meeting date. Kirsch and his people will do every thing to fend off CASA..