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Strategies & Market Trends : Value Investing -- Ignore unavailable to you. Want to Upgrade?

To: Rawnoc who wrote (35462)	9/26/2009 7:26:39 PM
From: Spekulatius	Read Replies (3) \| Respond to of 78748

I agree the buybacks add an interesting twist to that story but by definition they cannot buy back the whole company because the remaining shares get more expensive. They also have increased their debt while their cash flows have been shrinking. they only have 8M$ left on their bank line until they have covenant issues, so i think these buybacks will have to slow unless they continue to generate strong FCF. Radio has been shrinking for years before we went into the recession and while a better economic climate will reduce the revenues losses, I think that it is a business in terminal and slow decline, just like newspapers. ROIAK does not really stand out relative to it's peers, not even in stock price performance. Many penny stocks have been jumping up a few % percent from their loans. Obviously the perception has changed and some give those equity sliver stocks a chance of survival. I am not sure they actually will and if the debt is included (that is what the EV will do) they are not even cheap.

To: Rawnoc who wrote (35462)	9/27/2009 3:32:21 PM
From: rllee	2 Recommendations Read Replies (3) \| Respond to of 78748

Can anyone who follows ROIAK confirm the accuracy of this posting? 3/31/09 and 6/30/09, per Form 13F-HR filed on 8/14/09. Incredibly, their selling represented roughly 50% of the 7 million or so in total volume that ROIAK traded during that time period, which no doubt explains why the stock was "dead in the water" for that time period. I see a similar pattern with MNI, where Ariel did some major dumping in the same time period, only to be surprised by (like ROIAK) SPECTACULAR earnings. The interesting question now, is with Ariel still holding 6.5 million shares at 6/30/09, are they CONTINUING to sell, or have they decided to HOLD their remaining position. Ariel owned an incredible 10 million shares of ROIAK at 3/31/09, which was equivalent to nearly 20% of the outstanding "K" shares, at the time. My HOPE is that management is using its availability on its line of credit to BUY BACK shares from Ariel, and reduce the size of the share base. That would be an incredible way to continue to increase shareholder value...for those of us who remain.