No it will not.. any positive earnings vs projected 11 cents loss is enough to say that even under this low low IO price environment , LG produced profit for Q-2 and the stock will move up. It will be even more helpful if there are some bids for BL mines. That could be a frosting on the cake.
How many times MUST I keep bringing that NO One BHP, RIO or Vale can bring 62% Fe pellets in this country under $100. Its a proven fact. . CLF takes a rap because of their small volume going to China from APIO.. I so wished LG had sold it or gotten rid off it some how. Met Coal is stilla little profitable or breakeven. US IO profit margins are at least $30 /ton and WILL REMAIN SO. LG needs to make WS and Analysts aware of this again and again.
It would be great if LG makes some kind of long term alliance to supply all the IO pellets to NUE. That can be very helpful as US IO margins are high irrespective of what happens in SB IO markets.
Their sales margins in US are $30 / ton and if sold 6 mil tons . the gross profit will be $180 moil NOT $80.8 mil.
Substract $45 mil Interest
Substract $20 mil for CapEx
Sunstract $ 25 mil for SG &A
Substract $13 mil for Pref. Dividend
fSubstract $25 mil or Depreciation and Amortization
$180 mil gross profit -$128 mil all expenses = $52 mil Net profit or about $0.35/sh Q-2 earnings..IMO
BK on what grounds?? They stillmaking money still paying their bills including the Preferred Dividend.
who are michelle and shark?? new people here I guess. They seem to be somewhat knowledgeable and smart.
If Quebec Gov helps the miner with rail facility which is like $20.ton, then the production cost can be as low as $30 to the miner and would make a profit even selling @ $50
We should know something about BL bids on 7/16.. Shouldn't we? Ask surf.
I have spoken to LG a few times but he doesn't let you talk and he keeps talking.
Who is crying about Chinese markets going down ..you? people here may be crying about CLF's price which did NOTHING when Chinese markets went up 60%..
thedeathrace.. you come here once in a while and talk wisdom and defend CLF w/o knowing anything... just go away!!
I think LG is shrewd and will report Q-2 earnings of $0.25 plus and blast the analysts in the CC and the analysts will applaud him in CC and then go out and bash the stock like they have done last 2 times.
Is he supposed to appear every time on CNBC? How much bigger idiot are you ? HE IS NEVER ON CNBC PERIOD .. moron!! Increase in IO price from $47 to $65 did nothing for CLF. It kept going down .. all because of debt and LG's inability or wishy washy state of mind to get rid of non-core assets.
thedeathrace...You are dumber than I thought. Its all APIO that Shorts using to point to SB IO price and keep bashing the stock. This stock is down from $102 to $3 .. don't you get it? the pain the SH endured over the last 4 years under both Kirsch and LG MNGT. LG keeps saying he wants to do nothing with Seaborne IO so why in the hell he is still hanging onto it? its destroying CLF right or wrong.
Where else steel companies going to get IO pellets? To import IO with 62% Fe content in a pellet form will cost $90-$100 to a company like BHP ,Rio or Vale . So the downside risk for CLF in IO pellet is very little. Just understand that. Like that shark guy said in his post yesterday, get rid off Met Coal mines ,APIO and wait on BL Bids next week and then decide fast what to do. And in the mean time cut cost even more.