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Isn't that doc on K&E's web site? Maybe they actually did stomp on it before they scanned it. should we resubmit with a laminated copy?
I agree totally, so much so as to state that it will "Run Like a Scalded Dog" as we Texans say.
Commentary on pullback vs. correction from CNBC
http://www.cnbc.com/id/33508638
And then there's this update on those treasury bonds...
http://us.altermedia.info/news-of-interest-to-white-people/update-on-japanese-smugglers-with-1345-billion-in-us-bonds_5735.html
Yup, so then tack on about $2 per share for devaluation of the US dollar which inflates the value of Chemtura's foreign assets in US dollars, and you're at about $5.50 per share.
Now think about how much money has been doled out by our government in the last year, and then remember about the $l34 BILLION dollars if US treasury bonds them I-talian's found on them Japanese guys in the Alps at the swiss border a few months ago, and the rapidly squelched firestorm of questions surrounding how that came to pass. Isn't it funny how quiet that all is now, and those questions STILL haven't been answered!
http://www.timesonline.co.uk/tol/news/world/europe/article6507161.ece
Now them I-talian guys ain't stupid, they only seize 40% of what they catch smugglers with, and the smugglers know that and that is why that route has been soooo popular since WWII. So what do you think, is it worth being that careful with counterfeit bonds?
A wise man once told me that in Heaven they have British Police, French Cooks, German Soldiers, and Italian Lovers; but in Hell they have Italian Police, British Cooks, French Soldiers, and German Lovers.
I don't know about you guys, but I'm not converting my Chemtura shares into dollars anytime soon.
As Warren Buffet says, "You can't really see who's been swimmin' naked until the tide goes out."
Undoubtedly, and quick summary tables like that are the worst because they really don't tell the true story. You can't see that in this case it a figment of accounting via impairments and not because of a weakness in the business model or strategic value that CEMJQ represents.
If you are a buyer it's a good thing, and if you are pressured to sell in the very near term it is not. I keep telling myself that there are many reasons why the real BV of this company should be north of $3 and that it should one day trade at a multiple of that. It is what made it a great value investment when I bought it, and I must be patient to allow that realization to mature.
WOWSER, now that's what I'm talking about! A financier that recognizes an automatic ~20% discount on debt payment compared to March of this year because of our sick dollar. Now imagine what they see the asset valuations are in US dollars.
Very Geckoesque. The possibilities are endless.
WS, that is nothing short of an outstanding piece of work. Though I'm a few shares shy of your holdings, is there anything that I should do to support you?
It was not intended to offend. Please accept my sincerest apology.
Add my thanks to WS, MC, and Jax as well. We are lucky to be associated with the knowledge and passionate hard work of great men such as yourselves. Them lawyers have no idea what kinda stuff a man who cut his teeth in the Texas oilpatch has up his sleeve, right WS?
It is good to see the SP getting kicked in the ask. Glad I added yesterday too, cuz these shares won't be this cheap again IMHO. I pity those who panicked and sold, those who are selling now, and those who can't decide if now is the time to buy to get back in.
I flipped out of AMLM and bought a few thou @$1.04, WOO-HOO!!
I wonder what the short interest is, maybe will squirt up a squeeze!
LOL! If you've got the Andy Griffithness, then I must have the Gomer Pyles!
I think this thing is going to pull up hard this next run, the dollar's just not doing well against other currencies right now.
I hope the judge takes someone to task to respond factually to some of the logical valuation arguments that were submitted. I think we could get another buck of BV just on the devaluation of the dollar alone, what do you guys think?
The MOR had impairments that that have no relationship to anything real in the marketplace. If you take those impairments out, it's strong. Don't get BS'ed by the BS-ers, in a short time I think we will have an EC, and then it will get interesting thanks to WS & Jax. Make no mistake, this stock is a strong value play, and pro's like SVP know it and are buying. 2 million shares bought at $1.32=2.64 million in JUST ONE transaction folks!
HOW MANY BANKRUPT PINK SHEET STOCKS DO THAT?
THERE AREN'T EVEN THAT MANY NYSE OR NASDAQ STOCKS THAT DO THAT.
LET'S BACK AWAY FROM THE TREES AND LOOK AT THE FOREST.
It is a great letter Keith. It speaks to the real life and real risks and real needs of real people.
Forged head was good though. It created a striking mental image
Awesome. I would expect nothing less from you Keith.
Your letter is just as important and just as appreciated as mine or anyone elses. Thank you for doing it.
Great letter. I think that judge is a fair man and cares about the taxpayers that pay his salary. You stated your case very well.
Mailbox says I have 8 messages, but when i open it I only find 4, why is that?
YES IT DOES. I DID THE SAME ONCE.
That can be hard on a wife, love her and maker her feel special for it.
When the payout is the same for a person regardless of the outcome, life is easier if they don't see it, and they are NOT MOTIVATED really search hard or think a lot about it. The job of the EC is to help bring that into focus for them. The big equity buys now make positive equity undeniable since the market is speaking it loud and clear, so the question is how big the equity really is.
Carpentry is very honorable and admirable. The greatest man who walked on our planet was a carpenter.
Mine's there too, with the grammer and spelling errors that PROVE I wrote it myself!!!! (late at night)
MERGERS AND ACQUISITIONS!!!!!!!!
I WONDER HOW MANY SUITORS THERE REALLY ARE?
I BET THERE IS MORE THAN ONE!
Stay Thirsty My Friends.
I need a good tax and estate planning attorney. Any recommendations for local to Houston Texas? I would consider NE Texas near Tyler also, as I'm buying a lake house on lake Palestine (my sweet wife's dream) and some decent ranch land around there in time if CEMJQ does what I think it can. It would be fun to get my pilot's license, build me a private airstrip on that ranch and build or acquire myself a kewl Turbine Legend aircraft. Might need a weekender cabin in Arkansas on the Lil' Red river also after that.
When the cat gets out of the bag, there's nothing left to do but chase him. It should be fun to watch, and profitable for us longs too!
Until WS responds, please see post by Jaxstraw at the top of the board about the Alliance. This is the most urgent thing.
Some of us have also sent letters to the Trustee and the Judge. I posted mine last night.
Some of us have also sent letters complaining about Kirkland and Ellis' performance and stating concerns that we expect a reasonable asset valuation to Chemtura's Board of Directors and to Investor Relations. see post at top of the board about this by Chemtura MultiMillionare.
Thanks for your effort, we can each make a difference, and together we can be invicible.
And ever so eloquently, I might add!!!!
Dang, that'll screw their eyes out when they read that! If I was Rogerson, I'd fire somebody after I read that!
Like they used to say back home, "If you wanna run with the Big Dogs, Ya gotta get off the porch". All you guys made it easy with the information and examples provided here. This is an awesome board.
Thanks for the encouragement.
....Sure to set those K&E Sphincters a-quiver!
Sent USPS overnight certified to Trustee & Judge this AM:
BBalls-N-CowTown
TEXAS
October 4, 2009
Ms. Susan D. Golden, Esq.
Office of the United States Trustee
Southern District of New York
33 Whitehall Street, 21st Floor
New York, NY 10004
Dear Ms, Golden,
I am a stockholder of Chemtura Corporation, as is my wife, and my children and I manage all of our investments. I have 30 years experience in the energy and chemicals industry where I continue to serve professionally as an engineer. Although I never was associated with Chemtura and am now active in the exploration and production business, I purchased this stock because of its strategic value in the particular markets is serves. It is a significant proportion of our portfolios. I also know from past experience as an estate trustee and in other matters, professional experience in oil and gas asset acquisitions etc, that value is determined as to the intended purpose considering payout of investment and value growth potential.
I am writing in regard to the Directive to the Trustee by the Honorable Judge Gerber to consider the inclusion of an equity representation on the fee committee in a hearing on September 29, 2009. I am concerned that recent emails and filings by Kirkland & Ellis, LLC (K&E) indicate an ineffectiveness to fully represent the equity holders of Chemtura, and I assert and urge that an equity committee in support of these chapter 11 proceedings is sorely needed in light of this and the many debt restructuring options that could be pursued in the reorganization. In support of that, I would like to assert that there is shareholder equity that must be represented for the following reasons:
• Chemtura is a significant part of the chemicals sector of the US economy. It does not suffer from a broken business model, but a lack of liquidity caused failed monetary policy that has created these conditions for many of our corporations and industries. “Chemtura is now generating cash. We filed for Chapter 11 – not so much because of profitability but because of liquidity issues, as debt was coming due and the banks weren’t lending,” he said. Source: August 24 Interview of Craig Rogerson, CEO of Chemtura, ICIS News
• Current assets exceed liabilities and Chemtura 2009 and 2016 bonds are trading above par value, while the 2026 bond is at a post-petition high level. The solvency issue for Chemtura is a question of fair market valuation. Without a voice on this matter, Chemtura’s shareholders are not fairly represented. Chemtura has long been capitalized by shareholder equity before and has remained so during this bankruptcy proceeding. The hard-earned capital deployed in this equity is just as real as that deployed by any creditor.
• A large proportion of the value in Chemtura lies in the investment it has in foreign assets that are not in bankruptcy. Since March of this year, the valuation of our US dollar has declined (see embedded graph showing the US Dollar Index) to an extent that indicates that these foreign assets may have appreciated by ~16%, or roughly $300 to $400 million dollars on this simplified basis alone.
http://stockcharts.com/h-sc/ui?s=$usd&p=D&yr=1&mn=0&dy=0&id=p63580260621
• We have seen positive earnings in multiple successive monthly operating reports from the company despite the huge burden of legal representation in support of this bankruptcy proceeding.
• The business climate for Chemtura and it’s competitors has continued to improve for the duration of this proceeding. As such, valuations which are somewhat dependent of revenues must take this into account to determine fair value (see graph below).
http://www.marketwatch.com/tools/industry/indchart.asp?bcind_ind=1357&bcind_sid=&bcind_o_symb=&bcind_period=ytd&bcind_compidx=aaaaa%3A0&bcind_comp=&bcind_compind=aaaaa%3A0&indchart.x=37&indchart.y=9
• It is a great time in the chemical industry, with cheap feedstocks due to the flush gas production and investment overhang in the upstream energy sector immediately preceding our national financial crisis which led to liquidity issues for companies like Chemtura. Check out year to date share price performance on Albermarle (+42%) , Eastman Chemical (+58%), or Dow Chemical (+56%), while Chemtura is at -37% and trades at less than a dollar per share. A year ago, Chemtura stock traded at $5 per share.
• It is easy to lose sight of the basics of the business, in light of all the litigation and competing business models and evident avarice of the parties involved. Law360, New York (July 30, 2009) -- Unsecured creditors of bankrupt specialty chemical producer Chemtura Corp. wasted no time in filing an adversary case against Citibank NA after a judge signed off on their request to pursue claims against the lender on behalf of the company.
For these reasons, I can support my assertion that an Official Equity Committee is necessary for the protection of the estate and equity therein. Although I have heavy demands due to the current situation in my job, I am very willing to serve as a member of the Equity Committee if formed.
Thank you for your consideration of the facts presented above and my urgent request. I look forward to your response.
Respectfully yours,
BBalls-N-CowTown
CC: Hon. Judge Robert E. Gerber
United States Bankruptcy Court, Courtroom: 621
One Bowling Green
New York, NY 10004-1408
REGISTERED LETTERS...they get signed for receipt, more likely to be opened by the addressee, date stamped and entered into records. They cannot be denied, there is a permanent record of delivery and who signed for them.
Dude, I am truly impressed. Well said and wise words in several posts!
Cant PM, freebie. Add 66O for me.
Question about the "2.3 Billion Dollars" valuation in wholly owned foreign subsidiaries. I was looking at the US Dollar Index and see that it has declined from 89 in March to 77 today. If one uses the index as a simplified means of understanding the impact of exchange rates, the dollar value of the foreign subsidiaries would have gone up by 16%, or if added to the 2.3 billion, about $350 million in appreciation due to exchange rates. Does anybody know where the $2.3 billion came from and what time it is referenced to?
I don't intend to inform the trustee or the court of when I puchased the 600000 shares I own, or the 60000 shares I manage in custodial accounts for loved ones, and will leave it to them to research that. My guess is that they won't.
I also intend to send copies of those letters, along with a cover letter to Chemtura Investor Relations stating that I am very concerned that the legal representation employed by Chemtura is not properly representing the interests of equity owners and has been billing the company excessively for their services. In that letter, I will urge management to hold Kirkland and Ellis accoutable to the standards of performance, professionalism, and ethics befitting a publicly held major corporation in a proceeding of this magnitude.
I will also e-mail copies of my letters to friends and loved ones whom I influenced to purchase stock in CEMJQ and urge them to do the same.
I would say we should call and write to investor relations at Chemtura, and do a lot of it.
Having had the unfortunate experience of hiring a few in my personal life, I have come to the conclusion that lawyers don't make money by being effective and efficient, but by being ineffective, quarrelsome bumblers that bill as much as they can to enrich themselves while screwing the client. This does not mean they are stupid, and they probably do maintain a key awareness of how much meat they can carve off the carcass without killing the patient they are sworn to protect.
Shakespeare said it best "First, let's kill all the lawyers"