CKR:The Fastest Growing Restaurant Message Board

STOCKTALK

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.

Non-Tech : CKR:The Fastest Growing Restaurant

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next

To: The Perfect Hedge who wrote (50)	3/7/1998 9:10:00 PM
From: Chuzzlewit	of 100

Glen, it seems to me that there is too much leverage in this company. Companies tend to be using less debt these days than in times past (with the notable exception of the oil service sector). Obviously, debt increases the risk to shareholders. But, if the company can turn the chain around, it will pay off big-time. I felt that the risks were too great given the fact that the debenture is convertible. In essence, this means that if CKR pulls the deal off successfully (i.e., turns the restaurants around) the bond-holders will have become shareholders at a favorable conversion rate, and we will have been diluted. On the plus side, CKR has an exemplary record in turning operations around. Good luck, Paul

Report TOU Violation

Share This Post

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next