Replies to post #11236 on DryShips Inc (fka DRYS)

[Net-Man]

JJ - At this point, there are only 2 possible impairment charges that DRYS could take:

1) ORIG - these shares are held on DRYS books at $523 million or ~$9.33/share. Their current market value this morning is ~$155 million @$2.76/share. This would result in a new impairment charge of $368 million if any of the shares are sold. No new sales - no impairment charge, but the fact is those shares are clearly not worth what is reflected on the books.

2) If the remaining ships are sold for less than $244 million, a new impairment charge will be used to net the books out. Of course, it is in the realm of possibilities the ships are sold for more or simply kept working.

Any way I look at it though, DRYS pps is mirroring the ORIG share value so any impairment charges on the financials would seem to have no impact on the share price.