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.

Strategies & Market Trends : Graham and Doddsville -- Value Investing In The New Era -- Ignore unavailable to you. Want to Upgrade?

To: Berney who wrote (1026)	11/27/1998 8:46:00 PM
From: Freedom Fighter	Respond to of 1722

SBARRO's RIP OFF OFFER!!! If you are a shareholder of SBARRO, please write the company and vent your anger about this offer. Let them know they will lose your dining business in the future if they steal the company from us with this inadequate offer. www.sbarro.com How can the company make an offer to us for less than the value of the prior offer in January when that one was rejected as too low? Sbarro's is a wonderful company. It earns a very high rate of return on tangible assets excluding the very excessive amount of cash it carries on the balance sheet. A minimum of $4 of that cash could easily be distributed to shareholders or used to buy back shares. The value of the company minus the cash is still well in excess of $27.50 per share. This is a company that has earnings power of just under $2 a share. If $4 was distributed, that means we are being offered about 12 times earnings for a very above average franchise that generates significant amounts of free cash flow annually. This is way out of line with its intrinsic value and compared to other restaurant deals for very inferior companies. To put it mildly, they are trying to steal the company from the rest of us. Vent your dissatisfaction with the offer. Wayne Crimi Value Investor Workshop members.aol.com