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Albert Alfonso  

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  • BreitBurn Energy Partners Solves Its Debt Problem [View article]
    Tack,

    Wow, what bearishness!

    E&P investing was done assuming too high prices. I agree on your point. However, cost fundamentals must dictate the terms eventually. That being said, I can see why so many are down on oil. The pain will continue for years.
    Mar 31, 2015. 12:49 PM | Likes Like |Link to Comment
  • Apple: What's A Proper Buyback? [View article]
    Bill,

    Paradoxically, Apple does better with its buyback if the stock price stays depressed. A too high valuation will gimp the accretive effect of buying back shares in terms of EPS and saved dividend payments.

    I wish Apple would trade below $90 again so I could add. I bought big in 2012/2013 and my only regret was not buying more. Apple is as dominate now just how Microsoft was back in the 1990s. I say this as a compliment :)
    Mar 31, 2015. 12:45 PM | Likes Like |Link to Comment
  • BreitBurn Energy Partners Solves Its Debt Problem [View article]
    Jeffrey Pickett,

    Come on now. If oil stays at current levels we will see production declines world-wide. The price cannot be below the cost of production for a long period of time.

    I think we'll see $60 in 2015 and $70 in 2016 and 2017. Brent could be at $80 by 2016/2017 if China and Europe were to get growth going.
    Mar 31, 2015. 11:04 AM | 1 Like Like |Link to Comment
  • BreitBurn Energy Partners Solves Its Debt Problem [View article]
    Rawenergy,

    BBEP solved its short-term debt problem. They now have enough liquidity to survive through 2016.

    I do not think BBEP will be using equity to save cash on its interest expense or preferred distributions. They already cut the common distribution... no need to dilute unit-holders even further.
    Mar 30, 2015. 10:47 PM | 1 Like Like |Link to Comment
  • BreitBurn Energy Partners Solves Its Debt Problem [View article]
    Scooter-Pop and RLP,

    Yes, I was referring to the recent deals in the biotechs and tech space. Cheap debt is fueling all that.
    Mar 30, 2015. 10:42 PM | 1 Like Like |Link to Comment
  • BreitBurn Energy Partners Solves Its Debt Problem [View article]
    Griffin Mungus,

    Most of the E&P MLPs will be goners if oil does not recover by 2017. Keep in mind that BBEP does have some hedges for that year. I would also say that your LOE and maintenance capex estimates could be lowered. I estimate BBEP should be cash flow positive at $60 oil even without hedges.
    Mar 30, 2015. 10:40 PM | 1 Like Like |Link to Comment
  • Has General Electric Hit A Snag? [View article]
    Can we put the 2009 dividend cut to rest? Its been over 5 years now. Company was overly exposed to financial engineering and got burned.
    Mar 30, 2015. 10:54 AM | 8 Likes Like |Link to Comment
  • BreitBurn Energy Partners Solves Its Debt Problem [View article]
    Pablomike,

    Yeah, short-term debt is dirt cheap. That is why you are seeing a ton of M&A activity in various sectors.
    Mar 30, 2015. 10:51 AM | 2 Likes Like |Link to Comment
  • BreitBurn Energy Partners Solves Its Debt Problem [View article]
    Pablomike,

    From the 10-k:

    As of December 31, 2014 and December 31, 2013 , we had $2.195 billion and $733 million , respectively, in indebtedness outstanding under the credit facility. At December 31, 2014 , the 1-month LIBOR interest rate plus an applicable spread was 2.414% on the 1-month LIBOR portion of $2.168 billion and the prime rate plus an applicable spread was 4.50% on the prime portion of $26.5 million . At December 31, 2014 and 2013 , we had $33.5 million and $13.7 million , respectively, of unamortized debt issuance costs related to our credit facility.
    Mar 30, 2015. 10:25 AM | 3 Likes Like |Link to Comment
  • American Realty Capital +2% post-earnings [View news story]
    4jeffryangelus,

    I also prefer monthly dividends rather than quarterly since I like to accumulate cash and add to my positions every month. With ARCP, I would just hope for any sort of dividend. New payout should be announced soon.
    Mar 30, 2015. 10:15 AM | 2 Likes Like |Link to Comment
  • BreitBurn Energy Partners Solves Its Debt Problem [View article]
    mrmvino,

    I did note that the terms were harsh... Also, this deal is better than the alternative (insolvency).
    Mar 30, 2015. 09:44 AM | 5 Likes Like |Link to Comment
  • BreitBurn Energy Partners Solves Its Debt Problem [View article]
    LINE's credit revolver capacity seems more robust compared to BBEP. I do not think they will need to lower the distribution.
    Mar 30, 2015. 09:41 AM | 1 Like Like |Link to Comment
  • BreitBurn Energy Partners Solves Its Debt Problem [View article]
    Bc12852,

    The old distribution was well covered by DCF. However, they really needed to solve the looming debt problem. BBEP has been saying for at least 3 months that they were looking for long-term debt.
    Mar 30, 2015. 09:40 AM | 2 Likes Like |Link to Comment
  • BreitBurn Energy Partners Solves Its Debt Problem [View article]
    Pablo,

    Yes, but that is a minor amount. Savings there will likely be ~$20 to $30 million. I'll need to check to see how much the exact number is.
    Mar 30, 2015. 09:36 AM | 1 Like Like |Link to Comment
  • Phillips 66 Partners Hits A Home Run With Its Recent Acquisition [View article]
    DPM is a joint venture with SE. It is possible, but unlikely I would think.
    Mar 29, 2015. 05:57 PM | 1 Like Like |Link to Comment
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