Larry, while the preferred does not become floorless before 1/27, the stock is 30% or more above the ceiling of the floorless. This let bandits to set a perfect win/win hedging situation.
As I mentioned to you on another thread, VLNC, from a technical point of view, looked extremely good on breaking $5 (if memory serves). Now we are going into a strong over head supply just under $10, and once again, if it breaks through that level, it would be an earlier indication that after pouring close to $150 MM in this business, it might finally bear fruits.
As for insiders, it is quite positive that insiders have been buying (particularly the big $450,000 by Shugart). But Lev's buying is unimpressive since he disposed of about 850,000 shares in Marsh and since has bought back only about 20,000 shares or so. All the buying was done in the $3.5 to $4.5 area (probably what provided some of the support in late August and September. Thus here, when we are bouncing against the $8 to $10 area, I am not sure if it is significant anymore.
Zeev |
