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Re: Company success vs. shareholder success

By: Down And Out Man in ALEA | Recommend this post (0)
Fri, 18 May 12 11:53 PM | 89 view(s)
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Msg. 07909 of 54959
(This msg. is a reply to 07907 by kaleido)

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I don't mean it in the sense that the BoD directly intends to separate the company from the shareholders, I mean it in the sense that they fail to the point of having to nullify the existing stock in bankruptcy, or dilute it to nothing.

Take a gander at YRCW history the last few years. Yellow bought Roadway, got in debt trouble, reverse split several times - I'm thinking one for three hundred, and it might have been even worse. Then gave everything away to the debt holders.

Look at Atchison Casting. The foundries still exist, in business, but original shareholders lost it all.

Look at what happened to IFR, same thing.

Candelwood Hotels.

How about GM? If you had the original stock, um....you lost.

I can go on, but the wife just got home and we're heading out. Later.

D&O


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The above is a reply to the following message:
Re: Company success vs. shareholder success
By: kaleido
in ALEA
Fri, 18 May 12 11:44 PM
Msg. 07907 of 54959

Hey D....
I'd be interested in a just few names of companies
that you think are a good example of how wave
might separate the company from the share holders.
This thought makes me cringe...but I'd like your help
with my DD.
Thanks,
Best,
K


""I could make a long list of companies that are carrying on successfully after wiping out their previous shareholder base.""


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