Monday, June 22, 2009

Canwest... whaddadeal!

I haven't been looking at Canwest's ticker price much lately. I have been following its restructuring. Essentially, the bond holders now effectively control Canwest but have not mucked out the Aspers and their toadies...yet. Once that's done, the break-up and sell-off begins.
But my old fishin' buddy Warren Kinsella did check, and found Canwest's stock price hit a new all-time low of 13 cents on Friday.
But, to all the people who think I have been too hard on Canwest (I pointed out $6 ago that this company was fucked), there's a silver lining. Canwest has bounced back by a full 7%! It's now 14 cents!
Meanwhile, the Globe's staff has voted to strike on June 30.
My bet: the union will cave, the way the Ottawa Citizen's union did last summer. A strike would be insane, even if it is justified.


Warren K said...

Can Prof. Bourrie explain to us how they remain listed on the TSX? Is it because someone at the exchange likes David Warren's opinion pieces?

Ottawa Watch said...

They're still on the TSE because there's no reason to de-list them. Months ago, they wer taken off the TSX 100 list, so Canwest's value does not affect the composite index. That's one of the jiggery-pokeries used by the TSE to prevent the public from understanding the true amount of the market meltdown. The removal of Nortel was a similar manipulation of the index system to make stocks look like a better investment than they really are.