They are NOT allowed to talk and especially NOT allowed to say anything that MATERIALLY affect the market and stock price one way or another.
oht..its the perception . When WS thinks CLF (LG/CFO) has No control over its actions , Its worse than taking NO action at all. This reflects in the stock price. They call this shooting from HIP.
And Why did the CFO agreed to it ..next to CEO, CFO is the most powerful Executive who helps determine if BL,Wabush and "Ring of Fire " purchases were good for CLF or Not.? Obviously they weren't thats why I told LG you need a new CFO. same thing about this tender offer of Bond purchase which they terminated. They should had waited while they were in process of selling WVA Coal mine.
surf is right about they needed to wait on the outlook of Coal mine sale before making a tender offer.
red.. I had actually spoken to LG when he called me in October. I like his spunk and was hoping he will move fast to correct what the previous MNGT has done. May be its still too soon as he is charge for some 4 months only still...but I do hope he closes BL mine before the end of the year and cuts losses.
surf is a smart dude .. I go back and forth with him and lishe from time to time when we differ.
I am realist. Do the math. I plainly said when they took over price was $15 down 85 %. now its down 92%.. from 100 to 8
GO read again..moron. NOT closed yet. Planning to close if they can't find partners to open the Phase II operation. You know something.. they NOT getting any
partners while it costs $105/MT to produce IO at BL mine and current IO price is under $70. #$%$ I am banging my head with you.
PS: do you know any thing about CLF? I live in Cleveland and know a lot about it. When you learn something about this company then post here intelligently. Don't be like solarmike.
You are new here and don't understand a S**T . CASA and LG took this company down from 85%( from $100 to $15) when they came in power to now 92% (from $100 to $8). He talks foking big but cant make up his mind and ACT fast. He wants NO-PART of SB IO but still has BL Mine
albatross around his neck.
He is wishy-washy and can't make up his mind on Bond tendering.. renaged on it. Has the same CFO who
advised Previous MNGT badly and LG still has him. HE NEEDS TO FIRE HIM.
Goncalves can't make up his mind about closing BL mine keep and keep piling up losses to offset US Operations profits. He MUST do this CLOSING well before 2014 ends and make a fresh start for 2015. AP operations can wait till price may be right as they are still profitable. MET Coal price will rebounce as REP Congress take hold of both Houses in January.
It doesn't take A ROCKET SCIENTIST what CLF must do going forward to make it a viable company and wipe out SHORTS.
Do you own any shares in this company? I had high hopes for CASA and LG when they were bashing Kirsch/Carraba's MNGT of destroying CLF's SH share price by 85%. A PURE DECEPTION.
2015 will be a turning point for CLF and will be a very good year if they Close BL mine by the end of 2014 and take the closing cost and make a FRESH START in 2015. AP will be sold likely in early 2015 but its not a problem as it is still profitable. MET Coal will bounce soon after REP Congress in both Houses convene in January.
Longer you wait on BL mine.. more losses pile up. According to CLF BOOKS, yearly Losses from BL mine add up to $250 mil plus and they come out of US/AP Operations
profits. Dumb Accounting. Get out before 2014 ends.
Yup. LG MUST Close BL mine immediately and take the Best Closing cost. What is so bad about taking some $600 closing cost over 5 years when they have already taken $5.8B writeoff in ECAN mines charges. Just close the bloody money hemorrhaging #$%$ W/O Second thought any more and forget SB Io and move on to JUST US Operations. Make up your mind..LG!!
What a POS Management.Why make an offer of tender if you have doutbts of NOT honoring it? Think before what you do LG. WS will rip you apart for stupidity and they are doing it right now.
LG wants the right price for APIO sale which is about $800 mil. If IO price is up in 2015, he may get it. Anyway, whatever , he may get will help reduce the debt by that amount. If it was me ,I take $500 mil and get out of SB IO totally.
CLF has 5 US IO mines . 3 mines are also partially owned by ArcelorMittal and US Steel. Combined IO from 5 mines is 32.9 mil MT of which 25.5 mil MT is owned by CLF.
In 2013, Revenues per MT were $113 and cost were $65 per MT. In 2014 they are $100 and $59 leaving a profit of some $ $35-40/MT. Multiplying 25mil MT by 35 = $875 mil Gross profit. conservative...sufficient to pay downdebt, pay interest, $90 mil dividend , $200 mil S,G&A and $250 mil CAPEX (this mat be further reduced to $150mil or less if BL is closed down) and will have ample cash left. I hope you get the picture.
Sale of APIO in 2015 may bring as much as $800 mil to further pay down the debt and this will happen as LG wants no part of F* SB IO price.
According to Credit Suisse, the closing cost for BL mine may be lowered to as low as $500 mil-$600 mil. All that debt is NOT due till 2018 and by that time CLF will be smaller ,leaner and much healthier and will be able to pay down debt and pay interest due with enhanced Cash Flow and earnings and price will be in $30's by that time.