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Goodyear (GT -2.5%) "could go to zero," Wasatch Funds' Michael Shinnick says, citing balance...

Goodyear (GT -2.5%) "could go to zero," Wasatch Funds' Michael Shinnick says, citing balance sheet weakness and massive underfunding of its pensions. Shares are -7.2% YTD but trade at ~$13, pretty far from zero and well above the 52-week low of $8.53. GT recently showed up in Randall Forsyth’s rundown of companies with the biggest pension shortfalls.
Comments (1)
  • rubberoptions
    , contributor
    Comments (402) | Send Message
     
    Yo, I ain't surprised by it.. GT has been Run Over (bad pun) by bad management through several decades!

     

    GT doesn't hedge its natural rubber exposure which has gone from $3100 in early Jan 2012 to $3800 by late Feb 2012; 22% in 7 weeks !!

     

    100,000 metric tons * $700 translates to Winged Foot paying $70 million MORE for natural rubber than they had to; in just 7 weeks

     

    and CEO Kramer is still getting paid $4.5 million + incentives per annum?
    22 Feb 2012, 03:22 PM Reply Like
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