Fellow Syquesters:
I have not participated here before, but now have some general questions I would like help in thinking through from those who care to join in.
I am sure there are those among us who have placed great stock in the announced 50,000 unit DD sale to China. I myself have thought this a great coup. However, who among us knows the time frame for delivery and payment of these units? Moreover, what impact, if any, will currency strength differences have on the value of the sales when all is said and done. As you know, some US companies have complained that currency differences, owed to the current relative strength of the dollar, will cause them to miss this quarters numbers.
How, if at all, do these issues affect sales to China? I am not up on the relative value of the dollar and the Chinese currency.
Is it possible that a sale of this magnitude could actually cause the company to lose money, say if the deal was done at a fixed price in Chinese currency and it devalued significantly prior to payment?
Although I may not have expressed these concerns well, they are nonetheless thoughts that have been on my mind.
Thanks |
