Replies to post #35279 on Sears Holdings Corp. (fka SHLDQ)

[chemist72]

You said the same things when SHLDQ was trading in the 80's and the same things when it was trading in the 60's. Look where SHLDQ is now, trading in the 40's.

Do you pay attention to SHLDQ's share price at all? Seems to me that shorts are the only ones making money here. How low does SHLDQ share price have to go before you realize that maybe, just maybe the end is closer than you think?

-jmo

[VelvetJones]

From May 16th 8K filed by SHLD. Chapter 11 allows for liquidation. The difference between chapter 11 and chapter 7 is that in chapter 11 the corporation is still in charge of the liquidation. In chapter 7 the liquidation is turned over to a court appointed trustee.


"On May 16, 2019, the Debtors filed an amended Plan of Liquidation (the “Amended Plan of Liquidation”) and an Amended Disclosure Statement (the “Amended Disclosure Statement”) describing the Amended Plan of Liquidation and the solicitation of votes to approve the same from certain of the Debtors’ creditors with respect to the Chapter 11 Cases. Among other things, the Amended Plan of Liquidation and Amended Disclosure Statement reflect amendments to the PBGC Settlement Terms (such amended terms, the “Amended PBGC Settlement Terms”) Pursuant to the Amended PBGC Settlement Terms, the Company and the PBGC have agreed, among other things, that the Debtors may propose, and PBGC will support, the Amended Plan of Liquidation and Amended Disclosure Statement providing for distributions to all of the Debtors’ creditors on a consolidated basis and to increase the PBGC’s priority claim to $97.5 million. "



https://www.sec.gov/Archives/edgar/data/1310067/000119312519150641/d748893d8k.htm

[rc1968]

Exactly there is NO POL at all.

Yes there is.

https://restructuring.primeclerk.com/sears/Home-DownloadPDF?id1=MTc5OTg3&id2=0

It has not been approved and is not likely its final form but while CH 11 is normally about reorganization there is nothing left to reorganize and if you read the document you will see they outline why continuing in CH 11 vs switching to CH 7 is better for the creditors in the end.

The company will probably continue to trim the " FAT ", and sell stores, and save jobs and turn things around.
The NOLs will be used and SHLDQ will be cancelled and replaced by a new ticker.

There is no FAT to trim. There are no stores to sell. There are no jobs to save and nothing to turn around. Its like you have not read anything related to this over the past 4 months. The stores were sold to Transform, the employees now work for Transform (except the few handling the wind down), expenses(FAT) are mostly legal fees at this point.

The NOLs are mostly with Transform and you can only use NOLs if you have profits. Since SHLDQ has no assets to generate revenue let alone profits, any NOLs remaining with SHLDQ are useless.

There will be no new ticker because there isn't anything for the ticker to represent. What exactly do you think the investment would be in? There are no assets. This is NOT going to emerge from bankruptcy as a going concern because it can't.

There is no fear or confusion being spread. That would have been years ago when no one knew if it could be turned around or not. At this point, we now know it couldn't and ending up in BK, the assets all sold and the company being wound down and liquidated. That is what is happening and will happen. It isn't a guess or opinion now. Its blatantly been stated by everyone actually involved in the process. The only real things to decide will be done by the judge and the details may change a bit but this is intrinsically worthless. Eddie has no say in the cancellation of the shares or anything to do with SHLDQ anymore.

In the meantime, someone is taking a nice position.

Obviously someone completely clueless who has not read anything about the stock. Its not any sort of institutional investor as we already know.

No that complicated to understand why shorts position went from 23,000,000 to 7,000,000. It seems they know that Eddie Lampert is quite smart.

No its not complicated. Having a short position ties up cash. If you shorted at say $4.00 even, you already made 90% of the possible profits on the short. Waiting until it goes to zero to make that final 40 cents may not be wise if you have other options. This is called opportunity cost, you give up one opportunity (that 40 cents) to take another one that is even more profitable. Obviously this wouldn't be the situation for all shorts but likely for a substantial number thus the reduction in shorts. Its probably what has kept the shares as ridiculously high as they are.

Shares at 40 cents when the actual value is zero is not cheap its infinitely overpriced. Yes its cheap vs $40 many many years ago but its not cheap when the actual value is zero.

Eddie doesn't care about the shorts, Eddie doesn't care about the longs. Eddie cares about if he makes money or not. Eddie is not going to give away money or assets to SHLDQ shareholders for no reason. There is no reason for him to do so. He gains zero, nada, zip from anything like that. You and others really need to get your head around that fact.

Its seems like you are blocking out information that doesn't fit what you want to happen on this. Its not confusing information that I and others keep providing. Its clear, concise and backed up with facts from SEC filings and court dockets. Yeah they are long and boring to read so they have been correctly summarized on here by those who do read them and understand them.

I am all for thinking outside the box but it seems you are thinking inside a box with incorrect assumptions and information and don't want to look outside the box you have created to see reality.