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We can break that .098 wall!
Didn't shake too many under .90, time to go up and stay up.
I agree that Twitter can be very useful, it just seems a little bush league, however maybe Noel doesn't thinks CE news isn't PR worthy?
I totally agree. A PR release will reach a bigger audience, particularly the big investor. Would you invest your big money in a company whose CEO released news via Twitter? If the BIEL team wants to be taken seriously then they need to act accordingly, not wait for news to trickle down from Twitter.
I realize that everything needs court approval. I guess what I was getting at was does Chemtura need to notify the court that they are negotiating an asset sale with a particular buyer? Could they have already worked out a deal with a buyer but have yet to submit it to the court for approval? Does any asset sale "have to" coincide with the POR"
I saw a post on the Yahoo message board by a poster named slknigh that made mention about how he thought Rogerson had already sold an asset or two and that news of the asset sale wouldn't be revealed until we see the POR. If an asset sale had already been completed, is there a legal reason why it could not be revealed prior to the filing of the POR? Is there a bankruptcy law that would prevent this, or is Rogerson perhaps worried about litigation issues? I only ask this question because many on this board have suggested that news of an asset sale could come any day now, and I was just wondering if their were any legal issues involved in releasing news of an asset sale prior to the POR release. I have already looked into this issue and can't find anything that would prevent release of this news "now".
There will be an infusion of money coming from somewhere soon I believe, and I believe it will come from a private equity source, however I don't believe Rogerson will sell the whole company, but then again the Chinese have deep pockets these days. Someone or some group is going to end up controlling some part of Chemtura in the future. Chemtura wants that $400 million debt gone, whether it comes off the books via debt for equity or an asset sale only time will tell. Extending the life of this debt makes no financial sense in this environment. The POR in November "will" include mention as what means they intend to use to get out of debt, once they exit the BK process, however I think something will get leaked before then and that it will reveal the presence of private equity $$$$$$$$.
Not that this really matters because the economic situation is much different these days, but this was a $10.00 stock back at the end of 2006. If the economic environment improves and they start receiving new orders, the PPS could go much farther than the .02 range.
Thanks Wallstreet, but no thanks. I'm no fan of those b.....s either, and I think Obama and his cronies are going to run this country into the ground. Politics aside, your argument is a "very good" one, and I agree that there is a sense of urgency, and that BK is costing Chemtura some big $$$$$. I guess I worded my post wrongly, I was merely trying to suggest that Rogerson and company have given myself and probably many others thee impression that they want to keep the company intact, and may choose to give some of the other options consideration in order to avoid having to sell off any of the assets. I agree that the clock is ticking and that the economic environment is getting "worse", not better like Obama and his cronies would like you to believe. Something needs to be done now. Rogerson in my opinion has been wearing a poker face this entire time, and has been running a bluff on us by making us think he is considering these other options. Rogerson knows that an asset sale is his best option, and by suggesting to us that he may use one of these other options, is merely a means to create a smoke screen in order to give himself leverage in future negotiations. Chemtura wants that 400 million dollar debt "gone", they don't want to postpone it. I think Rogerson will reveal his hand shortly, and that hand will be advantageous for everyone, including shareholders, and will confirm that an asset sale was always Rogersons end game.
There are many other options available besides an asset sale to pay off debt, a swap of debt for equity being just one of the options. The POR should give us some indication as to what means will be used to pay off debt. It's just a wait and see game from here on in, and saying that commons will not survive without an asset sale is a premature presumption. At one time I thought an asset sale was the most viable means for Chemtura to rid itself of debt, however now that Chemtura has become profitable the playing field has changed. Profitability gives them more options to work with. No one knows anything "for sure" right now, otherwise it would have already been recorded by the court. I think something will get leaked before the actual POR is released, however Rogerson thus far has given no indication that the other options are no longer being considered.
What about issuing new bonds with a lower interest rate and using the proceeds to pay off the old bonds? Would this be a viable option?
Didn't Rogerson indicate that the asset valuation process would not begin until after the judge set a bar date, so why would they be doing any valuation of assets now unless perhaps someone made them an offer for an asset, and they are doing an appraisal at the request of the potential buyer? I know it's a stretch, and feel free to tell me I'm full of chit if you want, but you never know.
Do you think CE removal will impact the PPS?
23 why does it have to be equity, there are other alternatives.
Something definitely appears to be driving the bonds at an accelerated pace. "If a bond’s actual interest payments will be greater than the interest payments expected by the market, the bond will sell for more than the bond’s maturity amount". This is the case for the 2009 bond. The market currently is dictating a much lower interest rate for these types of bonds than it did when Chemtura orginally issued them. With the fed signalling that they intend to keep interest rates low for some time it is no wonder investors have found Chemtura bonds attractive.
Are Chemtura bonds just an attractive investment right now, maybe, however I'm more interested in what is driving the increased interest in these bonds all of a sudden. Is paying of these bonds imminent from an asset sale or refinancing? Something that rarely gets mentioned is maybe there is a possibility of a new issue of bonds at a lower interest rate, and using the proceeds to pay off the old bonds.
Something has spurred on the buying of Chemtura bonds and I think it is more than the just the notion of a decent return. Bondholders must have been given some assurances by Chemtura that we are not aware of, otherwise why would bond traders be demonstrating such confidence in the bonds by buying them up at such an accelerated pace if not for a sweetened deal made to them already by Chemtura. By buying up the bonds they are trying to exert control over the reorganization process, and it appears they have succeeded, because the acceleration of buys tells me Chemtura "already" has a deal in place for the bondholders.
CEM MM is exactly right, the bondholders are trying to take control and I think they have already succeeded!
Are we headed into a down trend or are the profit takers being weeded out?
I believe that Mercury is addressed in the bill in regards to being a by product of coal emissions. The bill is only in the draft stage, however it mainly concentrates on implementing higher emissions standards for coal burning plants. Mercury is not a specific target of the bill, however reductions of Mercury spewed into the air are likely to occur through adoption of a clean coal policy. There are amendments in the bill for the Clean Water Act, which will help to reduce Mercury in our drinking water supply. Mercury and other heavy metals aren't specifics targets for this legislation like I mentioned, however reductions in these pollutants are likely to occur if this bill is put into law.
Billions over a long span of time.
Among the hardest hit by this bill will be coal producing burning plants that produce electricity. The purpose of the bill as you already know is to address carbon emissions. Clean coal "is" one of four parts to this bill. The part of the bill that addresses coal will benefit Chemtura tremendously and should provide Chemtura with billions in new revenue if implemented.
"American Clean Energy and Security Act-A.K.A ACES H.R. 2454"
Carbon Capture and Sequestration. The draft promotes development of carbon capture and sequestration (CCS) technologies to ensure a continuing place for coal in our nation’s energy future. CCS is a method of reducing global warming pollution by capturing and injecting underground the carbon dioxide emitted from electricity generation plants that use fossil fuels. The draft includes a CCS early demonstration program, incentives for the wide-scale commercial deployment of CCS, and performance standards for new coal-fired power plants.
These are some specifics about the requirements for coal burning plants through 2025.
Coal-fired power plants:
New coal plants could be built between 2009 and 2020, though they would be expected to adopt carbon-capture-and-sequestration (CCS) technologies when they become commercially available
By 2025, all coal plants built after 2009 would have to capture 50 percent of their CO2 emissions
Coal plants built after 2020 would have to capture 65 percent of CO2
Early movers on CCS would be rewarded—for every ton of CO2 it sequesters, an electric utility that gets at least half its power from coal would receive bonus emission permits for 10 years
$1 billion would go toward CCS demonstration and deployment each year, funded by a fee on consumers of fossil-based electricity
Energy-efficiency standards.
Hopefully this gives you and idea of the impact this bill will have on Chemtura's bottom line.
Referring to this from late April 2009.
HANFORD, Calif., April 28 /PRNewswire-FirstCall/ -- Thresher Industries, Inc. (Pink Sheets: THRR), a California-based manufacturer of precision recycled aluminum and advanced metal matrix composite parts, is pleased to announce the release of a positive 16-page research report written by one of the nation's leading micro-cap research firms, Grass-Roots-Research (Grass-Roots-Distribution.com). The report can be viewed online at http://www.grass-roots-distribution.com/.
The report states:
Thresher Industries, Inc. provides high quality aluminum casting alloys made from recycled aluminum and metal matrix composites. Thresher's unique metal induction cast process produces exact design specifications, differentiating it from available conventional methods. The Company is a zero emissions foundry with a low carbon footprint and seeks to benefit from the ongoing shift towards green products and technologies. Thresher is well-positioned to capitalize on rising domestic demand, especially in the automotive industry, requiring the use of eco-friendly materials and processes. The Company is in the process of raising additional capital.
We forecast significant top-line growth as the Company focuses on highly profitable markets nationwide and in Europe through its agreement with Advanced Technology Sales Associates. Revenues are projected to grow more than six times from 2008 to approximately $1.8 million in 2009. Thresher Industries, Inc. is a compelling opportunity for risk adverse investors.
The price target valuation states:
We have valued the stock using our Discounted Cash flow (DCF) method to derive short-term and long-term price targets. Our short-term price target is $0.93 reflecting a forward P/E multiple of 71.2x and 35.6x times our estimated 2009 EPS and 2010 EPS, respectively. Our conservative valuation and forecasts depend on the company's raising additional capital to remain solvent.
.002-.004 would be nice but how about that $0.93 short term projection made by Grass Roots Research back at the end of April? I like the short term projection better, although I'd be happy with .01 at this point.
You got that right. The little guy is always at the end of the lined, and is always the first to get screwed, however there is one plus to this manipulation, someone is getting onboard in a big way, and these big blocks will be needed to move us upward, even if that someone is getting preferential treatment.
I agree, probably someone with no patience expecting the PPS to move faster. It's going to take awhile for this thing to get moving. I'd be mored inclined to hold my shares at this point, and if I was looking to add a new position or add to my existing position I would wait until we close above .0007. All we're doing is bouncing off the 52 week low right now and will probably stay around the .0006-.0008 area for a while longer. Might as well hold on to your shares at these levels.
Hoping for that "big bounce" off the 20DMA, sooner than later.
Haven't been below .0005 since the 52 week low of .0004 on the 16th! Where do you get the 3's and 4's from?
Not very specific. CEO said they were now profitable after cleaning up the books, wonder how much?
Wish I could add. You'll be making money off those 5k before you know it.
Did you get your 5k @ .81?
I wish I could Floyd but I'm tapped out from another penny stock purchase a few days ago. You picked a great time to add to your position, because I don't believe we go much lower from here. Good luck Floyd!
Friday, November 13, 2009 – “Exclusive Filing Period” for Chemtura’s Plan of Reorganization lapses. In a recent article posted by Chem76 Chemtura mentioned they are planning to file the POR in mid December.
Should see a bounce off the 20 DMA soon, I hope.
The MM's are shaking that tree pretty hard, but not much is falling. How much harder will they shake that tree before they realize most of the fruit is gone?
Could this happen at some point if the 2009 bond continues to rise?
"As bond prices trade higher, due to their popularity, the effective yield for a given bond will decrease because its face value at maturity is fixed. As effective bond yields decline further, bond prices top out and stocks begin to look more attractive, although at a higher risk".
The higher bond prices are a reflection of sentiment in Chemtura, however at some point I would imagine that the traders who have been investing in Chemtura strictly from the bond side of things would eventually turn their focus towards Chemtura shares, when the 2009 bond reaches a certain point above par.
I don't know whether this applies here, but at some point I would imagine that the 2009 bond price will give the PPS a big pop, as money that was going into the bonds is diverted to the shares instead.
"I know I'm a day late and a dollar short", and I'm sure CMM and Floyd will point that out.
Yes there are way too many shares outstanding, however I see one of many possible scenarios perhaps playing itself out within the next six months to a year. If FDA approval is given BIEL will then have access to a wide variety of markets that it currently doesn't have, which will mean an exponential increase in revenue, we hope. With this much improved cash flow they could institute a stock buyback program, thus reducing the float and increasing shareholder value. I anticipate this will eventually happen if the projections for revenue materialize as BIEL hopes.
Do you have a link to one of claytraders latest CEMJQ charts?
Do you see the PPS moving upward much from this point? I think we will see a slow gradual price increase right up until the movement news is released about the FDA filing. I don't see any factors currently that would drive this down, unless perhaps the MM's decide to help someone get some cheaper shares.
If they submit with a credible recommendation from a notable medical organization or physician the process will take much less time. With a recommendation included in the filing the FDA is required to respond within 30 days, otherwise without the recommendation they will have to wait 90 days for their class 2 device.
You are absolutely right 345, I do need to stay positive and I am. I'm sorry to all about bringing the notion of another retrace up so soon, but you can't tell me you haven't thought about it already? I should be more concerned with getting the PPS up again before thinking about a retrace, thanks for reminding me about my priorities.
I don't own as many shares of Chemtura as most on this board, and haven't sold or flipped a single share as of yet, however I might consider doing so when we have another retrace, which inevitably will happen at some point. I am not trying to suggest that anyone get out at any level, I was just wondering what the thoughts of those on this board were in regards to how high we might run this time before the flippers decide to return? $1.50 comes to mind for me, that is assuming there is a retrace, which as you Manti have suggested may not even happen.