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Jonathan Verenger

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  • An Update On YRC Worldwide [View article]
    ps - thanks for the links. good luck to you. it will be interesting to see how all of this unfolds.
    Apr 23 06:38 PM | Likes Like |Link to Comment
  • An Update On YRC Worldwide [View article]
    trucker - I have addressed this issue in past articles and in the comments above. Most people assume that these things will simply roll back to pre-concession levels.
    Apr 23 06:36 PM | Likes Like |Link to Comment
  • An Update On YRC Worldwide [View article]
    There are some potentially important changes going on with pensions in the US that you need to be aware of. Right now they are only proposals but the Teamsters and pension funds are well aware of their woes and most likely there will be significant shared sacrifices going forward to avoid default.

    Additionally, many people assume that YRCW's concessions will roll back to what they were previously when they expire in 2015. This is simply not true. They will be negotiated going forward each time they expire and the union, now significant shareholders in the company, are working with the company to make sure they return to sustained profitability. It is in their best interest that this happens as it means more unionized workers down the road.

    Take a look at the proposed terms the IAM agreed to with YRCW as a guidepost for how their pension contributions will most likely look going forward:

    "** The contribution rate into the IAM Motor City Pension Fund for Detroit employees and into the IAM District 9 Pension Trust for St. Louis employees shall be $ 2.50 per hour in 2013, $2.50 per hour in 2014, $3.00 per hour in 2015, and $3.00 per hour in 2016. In the event one of both of the funds do not approve the lower rate, the Companies shall have the option of moving those employees to the IAM National Pension Plan. If the Company opts not to move employees to the IAM National Pension Plan, the employees shall remain in their existing fund at the current rate.

    ** YRC Freight employees in Kansas City shall remain in the Central states Pension Fund at the current rate of $1.75 per hour. No further contributions to the IAM National 401 (k) Plan shall be required. Instead, the Company shall contribute to the IAM National Pension Fund tor Kansas City employees at the following rates: $2.50 per hour in 2013, $2.50 per hour in 2014, $3.00 per hour in 2015, and $3.00 per hour in 2016.

    ** Emplyees currently in the IAM Local 701 Pension Plan shall remain in that plan at the current contribution rate for the duration of the agreement.

    ** The Companies shall pay annual contribution rate increases required by any H&W fund to maintain the current level of benefits. In the fourth year of the contract, any H&W increase shall be capped at the amount the Companies negotiate for IBT-represented employees for that contract year."

    Here are a few articles on the proposed pension reforms:
    http://bit.ly/11Bz60I

    http://bit.ly/15HabxI

    There are active discussions going on in Congress about pension reform, which is something Jeff Rogers addressed at the BB&T Transportation Conference in February:
    http://bit.ly/11Bz6h0

    Based on comments from the company and on proposals being made by Congress, Teamster Central States, etc it seems like YRCW may actually have LOWER pension contributions going forward. Nothing is set in stone yet but I don't think it is correct to assume that contributions will be going up.
    Apr 23 06:27 PM | Likes Like |Link to Comment
  • Steer Clear Of The BlackBerry Dog [View article]
    "The weakness in BlackBerry came amid the backdrop of a broad sell off in the technology sector, led by Microsoft Corp and Hewlett-Packard Co, after an influential tech research firm said personal computer sales plunged the most in two decades."

    BBRY has actually been underperforming the nasdaq for 2 and a half months now:

    http://bit.ly/151hEaz
    Apr 11 04:37 PM | 3 Likes Like |Link to Comment
  • Steer Clear Of The BlackBerry Dog [View article]
    It's a concern because he has been wrong about the market.
    Apr 11 04:34 PM | 5 Likes Like |Link to Comment
  • Steer Clear Of The BlackBerry Dog [View article]
    Thanks Seppo. Good luck with NOK. Very cheap stock with a clearly defined catalyst ahead of it and a chart that looks excellent.
    Apr 11 03:32 PM | 6 Likes Like |Link to Comment
  • Steer Clear Of The BlackBerry Dog [View article]
    Shouldn't it be a concern that he has 30% of his fortune out of the market because of worries? I've mentioned here numerous times over the past year that the "worries" about the market are unfounded.
    Apr 11 03:31 PM | 4 Likes Like |Link to Comment
  • This Bull Market Has Legs [View article]
    It is in the mortgage servicing business through its stake in NSM, which is on fire. Recent trends within the company are strong and it pays a good yield. Housing and credit are back.
    Apr 5 01:44 PM | Likes Like |Link to Comment
  • This Bull Market Has Legs [View article]
    Don't worry I'm fully invested. Just look back on my prior articles to see where I have my money. I believe the theme going forward will be centered around investing in economically sensitive stocks, European stocks, and Japanese stocks. Best of luck to you Seeker4.
    Apr 4 03:21 PM | 1 Like Like |Link to Comment
  • Baidu Is Cheap But Faces Headwinds From Slowing Search Advertising Growth In China [View article]
    QIHU is not a new entrant. They have had a roughly 12% market share for several years; they were diverting that traffic to Google and Baidu until they launched their own search offering.
    Mar 19 03:22 AM | 2 Likes Like |Link to Comment
  • Baidu Is A Buy, Dude [View article]
    The mobile business is still developing so I think it's hard to say with any conviction how it will pan out. But keep in mind that leading search brands inherently have huge moats because of the amount of searches people do on a daily basis, which increases the brand awareness. So as the brand becomes synonymous with search, people will use it on any type of device.
    Mar 14 02:33 PM | 1 Like Like |Link to Comment
  • Baidu Is A Buy, Dude [View article]
    What's wrong with that dude?
    Mar 14 01:56 PM | 10 Likes Like |Link to Comment
  • Baidu Is A Buy, Dude [View article]
    "canceled based on feedback from Chinese residents saying the BIDU has done nothing to gain market share in the growing mobile industry"

    huh?
    Mar 14 01:05 PM | 1 Like Like |Link to Comment
  • Buy YRC Worldwide Based On Improving Fundamentals [View article]
    Mack - Interesting. Thanks for the feedback. It's going to be a long road for them to get back to where they were but the current valuation at $50 to $60 million (or $130 million assuming fully diluted shares (again, they don't convert until $14 and $34) right now is basically pricing in bankruptcy.

    By comparison it used to be a $3 to $4 billion market cap so quite a discrepancy. If they can return to net profits and continue increasing operational efficiencies, I see this returning to a $1 billion plus market cap over the next couple of years. First thing's first, though, let's see if they can generate positive net income by q2 or q3.
    Mar 12 02:08 PM | 1 Like Like |Link to Comment
  • Steer Clear Of Qihoo And Its Questionable Management [View article]
    Michael - I have zero interest in shorting QIHU. Instead, I'd rather go long BIDU. Pretty much every "new" search engine launch fizzles out after the initial pop. It makes for good articles and gives the media something to talk about but that's about it.

    First mover advantage is huge in this space. I think people will look back on this period and kick themselves for not buying BIDU because they were worried about the threat from QIHU...or worried about mobile monetization. BIDU has a 70% share of a rapidly expanding market. That's a huge economic moat.

    One day soon the stock will have a huge reversal and leave a lot of people lying in the dust.
    Mar 8 11:37 AM | Likes Like |Link to Comment
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