Today’s Trade Alert is: YBTVQ (from july)
Remember yesterday QSGIQ</span> ran up as much as +4,233%</span> & FNLYQ</span> as high as +1,633%
</span>Remember VSTNQ</span>?
The company announced bankruptcy after massive losses & the stock
dropped to 0.02 per share as shareholders believed that all the common
stock holders would be wiped out and left with nothing.
Well VSTNQ</span>
turned things around and posted a massive profit & a judge in their
bankruptcy case ruled that shareholders could receive something in the
reorganization plan.
VSTNQ</span>’s stock price then ran up from 0.02 to $2</span>!</span>
</span>
YBTVQ</span> could be the next big “Q” Bankruptcy stock play that we believe has similar potential & here is why…
</span>YBTVQ</span> – Young Broadcasting Inc., together with its subsidiaries, engages in the
ownership and operation of television stations in the United States. As
of December 31, 2008, it owned and operated 10 television stations, of
which 5 are affiliated with ABC, Inc.</span>, 3
are affiliated with CBS Inc.</span>, 1 is affiliated with National
Broadcasting Company, Inc.</span>, and 1 is affiliated with MyNetworkTV</span>.</span>
The company went bankrupt </span>at the beginning of 2009 after realizing over $318 MILLION</span> in operating losses for 2008!
However, for 2009 the company reported NET INCOME</span> over $19.7 MILLION & expects increased profits for 2010!</span>
</span></span>Highlights of Year Ended December 31,
2009 compared to Full Year 2008
•Local and national revenue decreased 15.6% in 2009.
•Political revenue decreased by $15.1 million to $5.4 million in 2009.
•Retransmission revenue increased 141% in 2009.
•Net revenue decreased 16.3% to $159.7 million in 2009.
•Station operating expenses decreased 21.3% to $121.9 million in 2009.
•Corporate overhead decreased 49.7% to $7.0 million in 2009.
•SOP increased 5.3% in 2009 to $37.8 million.
Outlook for 2010
The trends that emerged at the end of 2009 are continuing into the first
months of 2010. Gross local revenues increased 6.8%, national revenue
increased 13.3% and political revenue increased 14.9% in the 1st
quarter of 2010 compared to the same quarter in 2009. Total local,
national and political revenue for the 1st quarter of 2010
exceeded 1st quarter 2009 revenue by 8.9%. SOP for the 1st
quarter of 2010 was more than twice the SOP for the same period in 2009
as the Company benefited from increased revenues and lower station
operating expenses. There are also strong indications based on order
activity that this rebound will continue into the 2nd
quarter. Orders booked are subject to cancellations under certain
circumstances and are only indicative of probable revenue performance in
the future.
</span>The company is currently going through bankruptcy reorganization & the process is being handle by the courts…
The important part is that there has been NO FINAL RULING </span>as
of yet if old shareholders will be completely wiped out or if they will
receive some share conversion into the new trading symbol once it
emerges from bankruptcy DEBT FREE</span> now that the company has seen a big turn around in business since having to declare for bankruptcy.
As
mentioned about with such a turn around in their business we can only
remember one other “Q” play this year that had a similar story &
that was VSTNQ</span> & we all saw what happened once the court decisions ruled favorably for the common shareholder.
