Well, I have been right about the Bombardier shares (TSX:BBD.B) becoming “penny stock”, and it has stayed a penny stock since January 27th when it hit $0.99, today it hit $0.89 and a continuing slide to nowhere good. 649 more words
Tags » Bombardier
SUMMARY: Bombardier "B" shares closed at $0.89 today, a reverse stock split is badly needed to avoid the stock being ejected from Canada's benchmark S&P/TSX composite index. A reverse stock split would reduce the number of shares and increase the stock price accordingly, so as an example a 5:1 reverse split would reduce the TSX:BBD.B outstanding shares from 1.933 billion to 386.6 million shares and increase price to 5 x todays' price to $4.45 all else being equal. Sounds good ? well only 25 months ago (January 17, 2014) Bombardier the stock was at $4.51 at the current share price decline, another reverse share split would be needed by the end of February, 2018 ! So, I expect that a Bombardier reverse share split will have to be at least 15:1 to avoid future problems after the split (e.g. CHC Group). If it were not for bad news these days, there would be no news out of Bombardier. On December 8, 2015 CHC Group stock (NYSE:HELI) hit $0.234 per share, they did a 30:1 reverse split on December 11, 2015 to avoid delisting on the NYSE, and the stock immediately went to $6.55 (slightly discounted after the reverse split from a expected price of $7.02 ) and they are now out of the 'penny stock' category. Today (February 4, 2016), CHC Group stock (NYSE:HELI) hit $2.10 per share, or better put, $0.07 per share without the 30:1 reverse split ! it's all just "smoke and mirror games" (today's CHC Group market cap is only $8.35 million for a $1.7 billion a year, 233 helicopter operation), so things can get worst for Bombardier even after a "cosmetic" reverse share split. These are dark days for Bombardier and the offshore helicopter market and their OEM's as well.
Unpublished, time-sensitive and proposed rules for February 2, 2016:
PROPOSED RULE: This proposed rule would implement new statutory requirements that would expand how qualified entities may use and disclose data under the qualified entity program to the extent consistent with applicable program requirements and other applicable laws, including information, privacy, security and disclosure laws. 481 more words
Newly minted Transport Minister Jacques Daoust will remain responsible for Quebec’s financial participation in Bombardier’s CSeries program despite the cabinet shuffle unveiled Thursday.
Daoust will follow the file even though he has been replaced by Dominique Anglade as minister of the economy, Premier Philippe Couillard announced. 241 more words