Replies to post #35071 on Chemtura Corp (fka CHMT)

[hfields]

1. Rogerson at the helm.

[hfields]

2. Bonds trading at post bk highs. These post-bk highs are higher than when the bonds traded in 2008 when the company was not in Chapter 11.

[JDJacobson]

1. Positive book value of $1.31 which is very, very rare when it comes to Ch. 11 companies.
2. Company is turning a profit monthly even while in BK.
3. Preservation of NOL's only if common stock is not cancelled.
4. Strong turnaround leadership with Rogerson.
5. Various potential asset sales in the works.

In the broad markets, specialty chemicals are doing very well. DOW is in the middle of 'recovery' mode. Bottom of the markets and credit crisis was evidenced in December-March where we were hard hit and now that is easing. Majority of this company is not even in BK. We have much better leverage now in BK. If there is that small percentage of companies that do not cancel the common shares there is no better Ch. 11 company to wager on than this one, IMO.

[lymmas]

Top three for me;
By generally accepted calculation equity exceeds debt.
Economy recovering and liquidity markets actively supported by central banks
The company has NOT said new shares would be issued to replace existing shares.
But as you say the guy already has enough money and this is still a very high risk play, so why try to convince him. Lots of fish out there and it's not under a nickel anymore.

[MarketGeometry]

1. NOLs preservation for tax benefits
2. Employees are compensentated with stocks
3. Bonds recovering
4. Sector recovering
5. Rejection of 9 dollar buyout bid
6. Company has 100+ patents
7. Institutional buys post BK
8. 50% of company not part of BK proceeding

[bluebird50]

The judge that only makes 70,000 a year has been leaning his decisions in favor of Chemtura and their is an incentive plan that he approved as well. That is the biggey for me. He would be in a hot seat if he yanked commons. Maybe have MC put this to you in more eloquent terms. lol
Day after tomorrow....... lol