Silicon Investor (SI) -- The First Internet Community

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.

Gold/Mining/Energy : MP Systems Corp. (formerly Molycorp) -- Ignore unavailable to you. Want to Upgrade?

To: feedmindanaochildren who wrote (29)	2/25/2013 10:36:34 PM
From: sense	Respond to of 111

"as to why the cash and accounts receivable equal the long term debt plus accounts payable and yet their debt is lowered to CCC+" That's the issue I'm addressing... in pointing out that it isn't the history you see on the paper, but the future cost of fixing the things in the business that aren't working... that you have to be concerned about... The numbers don't tell you "what's broke"... and what it will probably cost to fix it ? Maybe the ratings down grade was just a hack job paid for by a hedge fund who shorted them ? You can't say that's not possible, in this market, but, I doubt that's the issue... Patience... will provide the answer... but, maybe not quickly... It's probably more useful to have the conversation and be patient... than it is to hold the risk... And, then, you still have to focus on the questions that come from noting that these guys just did a really big Wall Street raise... that was the biggest core component in the REE bubble a year or two back... then they drove their brand new bus off a perfectly good freeway... and now can be seen rambling off through the woods and swamps four wheeling it. Maybe they do know a short cut... and have the skills required to not bog down and sink into the swamp. You still have to ask whether that's the bus YOU want to take to the airport... What I note... is that the business I can see now... doesn't look very much like the one they said they were going to be focused on building when they did the raise... A management that looked right for restoring a previously producing mine to production... might not be close to what you need... to accomplish what needs doing now, to fix the thing they've ended up assembling, instead of what they set out to create... It's a fundamental issue bigger then "the numbers"... to determine if they've simply lost focus, over-reached what they're capable of, and gone stupid with the piles of money... It does look like there's "a component" of all of that... leaving you needing to answer the questions about "fixing the business" first... assuming it is fixable... even before asking what fixing it will cost.