Replies to Post #19060 onGT Advanced Technologies Inc fka GTAT

Replies to #19060 on GT Advanced Technologies Inc fka GTAT

12/26/14 8:06 AM

#19062 RE: LarryAshy #19060

GT has the rights to the Mesa factory until at least the beginning of 2017

Apple is the owner of Mesa building and GT is allowed to stay in there for manufacturing until end of 2015 without paying any leases.
Earliest date for resigning will be mid of 2016 ... JMO

XenaLives

12/26/14 10:06 AM

#19068 RE: LarryAshy #19060

Good post - may I add, most of February is down time in China due to thie holidays - SPRING? Not a chance.

Quote:"If the company hopes to feature sapphire screens for any of its fall 2015 products, Apple needs to act quickly to get the equipment and buildings ready for production by spring 2015."

Sure isn't going to happen if they disassemble Mesa.

beginendgame

12/26/14 11:18 AM

#19087 RE: LarryAshy #19060

You dont seem to understand - I am not an Apple fan, Apple can survive without sapphire screen just fine (look how many iphone 6 it is selling), frankly I do not understand why Apple still wants sapphire if it actually does, but one thing seems certain to me:

Without Apple's adoption of sapphire screen, GT will have an extremely hard time selling (i) all 2,000 furnaces (ii) at prices > $500k (iii) within the time frame that will matter to the current shareholders (ie by 1/26 to form the EC or by the POR deadline).

That is why we are seeing some precipitous fall whenever there is no news. It is like a time bomb, or an option with an expiration date. We dont have that much time. Unless there is an occurrence of sale in reasonable quantity at prices much greater than 500k in a very near future, creditors will do everything to wipe out equity, and, absent a clear showing to the contrary, there isnt much the court can do. It does not matter at all if GT actually becomes hugely successful AFTER the confirmation of POR; look what happened to GM shareholders. All the boon went to creditors' coffer.

That is why we need Apple. Nobody else on earth can buy > 500 furnaces in one purchase. No, not Xiaomi.

The worst that can happen to current shareholders is the following: (i) no sale of furnace until 1/26; (ii) no EC approved; (iii) no sale until POR (or sale at depressed price); (iv) POR cancels equity and brings new financial structure; (v) Boom!
Sale of 2000 furnaces to Apple at prices >700k each. Then we become the ultimate losers.