SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Technology Stocks : IDT *(idtc) following this new issue?*
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
From: redalgae2/28/2001 11:07:39 PM
  Read Replies (1) of 30916
 
Several people have speculated on how IDT will avoid paying their $569M tax bill at the end of the year including acquiring companies with tax loss carryforwards. It's been argued that this cannot be done to defer taxes.

It seems to me that the STRX PT-1 purchase is an example of how they'll do it. They bought this asset for $1 and accepted a bunch of liabilities. I'll bet that these liabilities can be written off as one time expenses for tax purposes. So I expect IDT to make a lot more of these purchases and for their losses to be very large in the next few quarters. They'll end up with a bunch of assets for next to nothing and hopefully the economies of scale to be profitable next year.

Still long on IDT for it's balance sheet and deal making savvy.
Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  

HomeMailHotSubjectMarksPeopleMarksKeepersSettings
Terms Of UseContact UsCopyright/IP PolicyPrivacy PolicyAbout UsFAQAdvertise on SI
© 2026 Knight Sac Media.  Data provided by Twelve Data, Alpha Vantage, and CityFALCON News