Member Info for Henrythecat

Below is an extract from a Canadian Newspaper and sums it up in simple terms.
I’m not sure it is as straightforward as some think especially with ‘ ordinary course “ during a pandemic which is unprecedented in Canadian Courts.

The case will hinge on Cineworld arguing it had the right to terminate the agreement without payment because Cineplex strayed from “ordinary course,” when it deferred its accounts payable by at least 60 days, reduced spending to the “bare minimum” and stopped paying landlords, movie studios, film distributors and suppliers at the pandemic’s start.

Cineworld alleged the changes were meant “to present a more favourable long term debt position in its financial statements than was actually the case” and “cannot be excused by the outbreak of the novel coronavirus.”

Cineplex’s statement of claim shows it will argue it fulfilled all of its obligations and that it continued with an “ordinary course” for the industry.

Cineplex will also claim Cineworld did not have grounds to terminate the deal because there was a clause exempting outbreaks of illness or changes affecting the motion picture theatre industry from being considered “material adverse effects.”

Both companies declined to comment because the matter is before the court, which will decide what contract obligations are in play if an act of god or illness occurs and what constitutes “ordinary course” during a pandemic.

There’s a lot at stake for both sides.

Shady - I assume the cat means something. Not too much damage done. If I had just sat on my hands I would be about 70% up - but by repeatedly trading it I’m over 200% up. Can’t get it right all the time but back in and not too much damage.

I’ve been trading this share from the very lows all the way to 120 when I sold the lot.
Last few days felt like a complete idiot so back in first thing at 137.
I now do not feel the need to watch it every second as I think it is well on its way to recovery and a higher rating.
Plan is to revisit in 3 years

Android £3.02
sb £3.05
Goose £314
Grandadtom £3.27
Henrythecat £3.28
Robbyw £3.29
Emerald £3.30
JPWilliams £3.31
Jezzoo £3.32
CharlesRix £3.33
Wmmg £3.34
Cong £3.35
Spights. £3.45
Plas £3.50

Certainly got this one wrong - sold out at just under 120 - congrats to those who stuck with it.

I understand people taking profits from this roller coaster especially if investing large amounts with small margins.
The risk dynamic is obviously totally different if one got in sub £2 that investor can afford to wait it out and see what happens.

I sold my last tranche of 102 yesterday near top of market.
After fretting last night bought all in this morning @ 116 only to sell a little later all at 120. Nice little profits but completely out of character and feels more like gambling.

The ITP Sale as been in the news for a while. Could it already be factored into the current SP?

I am a fan of RR but even after the ITP sale RR will still have negative shareholder equity the long term liabilities look even worse. I think this is what is holding back.

Could be because sold at 274 and bought RR and IAG made 9% profit - sold out and will buy these back and add 2500 shares for nothing.
Why does that make someone thick?

I’ve just sold my 95p tranche @ 117 am now left with my 102. Perhaps premature but can’t turn down a relatively quick 20%+

£2.93 TheJanbo
£2.99 45Bob
£3.03 Longish
£3.04 Henrythecat
£3.05 Bugerov
£3.06 Barbillyard
£3.08 Terraplane
£3.09 CF
£3.105 Falky
£3.11 goosefromtopgun
£3.12 Share-Ninja
£3.13 EMGOMG
£3.16 Jezzoo
£3.17 JPWilliams
£3.18 grandadtom
£3.20 Emerald
£3.24 Cong
£3.33 NSS
£3.39 Caitlin

I think it held up quite well today. The market is down nearly 1% and RR has a beta of 1.699

As my post last night bought back yesterday at 105 and sold this morning at 110.
Very profitable share at the moment and still have a chunk in for long term.
Would sell the lot if reached 130.
At present there is always an opportunity to get back in

An analyst on news channel over the weekend threw up the idea of IAG eventually going for a RI to enable it to take over EZJ instead of paying down debts.
Seems a bit fanciful but he appeared serious

Let’s hope so - recently sold half my holding at 117.8 and put a quarter back in today at 105 - I very rarely buy back above my average, but just thought it was oversold for no good reason. This is more of a punt than an investment but you have to live a little.

I sold half at 325 then traded a few times on a 5p move.
The rest I’m keeping long term as a 5% dividend fits with my longer term strategy and over time this irons out any blips in the price.
They account for about 5% of my holdings

You forgot to mention they generally have to have a market cap of less than £100 Mill.

I think the point being made is that the only reason you have the options is that you were a holder when the RI was announced resulting in a near £2 drop in the share price.

Obviously RR. can not be compared to an airline company but they used to generate over 50% of their revenue from maintenance- leasing and their paid by mile pricing plan.
The reduced long haul traffic does have a material effect on the share price.