Replies to post #15839 on The Rising Influence of Rising Affluence

[DewDiligence]

Update on CLF’s enterprise value: #msg-137350960.

[DewDiligence]

CLF 4Q17 results:

https://finance.yahoo.com/news/cleveland-cliffs-inc-reports-fourth-130000635.html

I’ll have more to say after the CC at 10am ET.

The stock is currently +9%.

[DewDiligence]

CLF will receive ~$300M of cumulative cash refunds from the IRS during the next six years due to elimination of the corporate AMT in the US tax code, according to today’s CC.

CLF's tax rate going forward will be 0%, thanks to substantial NOLs that are now fully usuable as offsets to income.

[DewDiligence]

(Correction)—CLF will receive ~$250M of cash refunds from the IRS during 2018-2022 (inclusive) as follows:

 2018:  $10M 
 2019: $120M 
 2020:  $60M 
 2021:  $30M 
 2022:  $30M 

These cash refunds stem from the elimination of the corporate AMT in the recently enacted US tax bill. (Source: 4Q17 CC.)

[DewDiligence]

CLF closing APIO by 6/30/18—$140-170M charge of which $120-140M will be cash:

https://www.sec.gov/Archives/edgar/data/764065/000076406518000083/a20180406-8xkxapioexitdeci.htm

[DewDiligence]

Re: CLF income taxes (correction to #msg-137975722)

CLF will receive ~$250M* of cash refunds from the IRS during 2018-2022 (inclusive) as follows:

 2018:  $10M  
 2019: $120M  
 2020:  $60M  
 2021:  $30M  
 2022:  $30M

These cash refunds stem from the elimination of the AMT in the US corporate tax code, which is retroactive to prior years.

Corollary: CLF will not have to pay any material US income tax for many years to come.

*Not $300M, as previously posted.