Michael DecterNortel ASNTEL.TODON'T BUYJan 18, 2007
New management team seem to be very capable with lots of industry experience. Thinks investors are betting on the top line eventually increasing the bottom line. Hasn't got the stomach for this one.
If you own the stock, you are playing that there is some value in the assets they own. The company is not a going concern. Have a huge deficit hole in their pension plan. Individual parts of the company may be better being sold off.
Has about $4 per share in cash. They are thinking of selling an asset that would raise about another $1 billion, which would add another $2 per share in cash. However, the overall quality of the balance sheet is as bad as he has ever seen it. Speculative.