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Technology Stocks : American Superconductor (AMSC) -- Ignore unavailable to you. Want to Upgrade?

To: Art Bechhoefer who wrote (869)	3/21/2018 6:20:42 PM
From: Hawkmoon	Read Replies (1) \| Respond to of 973

I'm looking at a number of factors. 1.) Sinovel is, apparently, the first Chinese company that has been found criminally guilty of IP theft. 2.) Trump is serious about stopping IP theft, suggesting that AMSC may actually become a potential "arrow" in Trump's quiver when it comes to negotiations.. 3.) Reportedly, the Chinese gov't is an 18% shareholder in Sinovel. And Sinovel has hundreds of wind turbines operating in China that must continued to be serviced and maintained. Most, if I'm correct, are operating based upon stolen IP from AMSC. Can they really afford to just let Sinovel go BK and fade into nothingness? OR merge it with another company (who?).. etc. 4.) AMSC wants money, compensation, and perhaps reactivation of their previous contracts so as to resume their role in the Chinese market.. China wants a face-saving way out of this.. and paying a criminal fine is pretty humiliating for them. 5.) The US gov't also wants to fine Sinovel, which could amount to quadruple damages (between $4-5 Billion, so the rumour goes), just to make a point and send a warning shot. But I see this as being flexible, depending upon China's response to reducing the inequalities in trade.. 6.) Thus, for China to save face, any compensation may have to be sold as an "investment" at a substantially higher share valuation so they don't obtain too much of a % ownership. This might be through partnership with the Bank of China.. It gets AMSC the money they need, restarts contracts that were expected back in 2010.. Of course, the other potential possibility is revenues from tariffs on Chinese goods might be channeled to AMSC in the form of US Gov't contracts, using that tariff revenue, potentially in the form of PowerGrid improvements, and/or HTS related contracts. To me that is a poor substitute, but better than nothing. But something has to happen soon, IMO, as the Federal Court in Wisconsin is telling Sinovel to have the proper damages put in place before they can appeal.. Since they don't have that kind of money, there will likely be no appeal. Things could definitely get out of hand then.. ticking off Trump's DOJ folks.. Main thing.. I think China would want to avoid permitting the precedence of a criminal conviction for IP theft to stand.. Hawk