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Strategies & Market Trends : Value Investing

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To: Grommit who wrote (51007)3/1/2013 12:10:31 PM
From: geoffrey Wren   of 78705
 
I had a large position in CWH. But I am totally out of the common now. It is an arbitrage situation now. If RMR manages to stay in power, the price will settle presumably to somewhere around the price after the recent earnings report ($16), or the secondary stock sale ($18).

If the dissident shareholders manage to get RMR out, price might go up to $28 or so if CWH is not harmed by the proxy fight. I suppose the company will be harmed by the proxy fight, as RMR is stuck on CWH like an alien parasite. Getting it off will hurt the patient.
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Price now is $23. I have decided to watch from the sidelines. I think eventually RMR will be out.

I did pick up some CWH-D.
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