YRC Worldwide Inc (YRCW)

[GuyBig]

At below 6, the EV is now below $1 Billion.
The MC is about $210 million.

$5.93 is not likely to be the bottom. It'd be unwise to start buying here. Wait until the last two weeks of December.

A good case can be made for the market cap to fall below $100 million. Assuming another 500,000+ shares are issued to compensate MGT and the BOD, then the price would fall to $100 million divided by 34.5 million fully diluted shares outstanding -- $2.90 a share. But if it falls below 3, there's strong pressure to push the stock down to 2. I think that's likely to be the bottom -- a $70 million market cap. I don't think YRCW will fall back to its all time low market cap of $45 million.

It's not been easy to find what YRCW is paying for its loans, but the the Powerpoint presentation released with earnings does tell us the interest rates YRCW is paying on its debt:
$75 million CDA notes at 7.9%,
582 million term loan at 10.6%, and
247.5 million in capital leases (the new trucks and trailers) at 14.5%.