MexCom's Comments RSS Syndication from SeekingAlpha.com http://seekingalpha.com/user/399368/comments http://seekingalpha.com/article/1427811/comments?source=feed#comment-18730401 18730401 Sun, 12 May 2013 09:49:15 -0400 http://seekingalpha.com/article/1425531/comments?source=feed#comment-18717761 18717761
On the first jump in interest rates there will be BUYING panic. Those that have put off refinancing their mortgages, replacing their cars on credit, taking that long planned vacation that has been put off and swapping the credit card balance to next deal offer in the mail for zero interest will boot economic activity in the short run. Investors will see a trend of increased sales and earnings for just about any stock traded. It could last for 2 quarters. After that investors will compare fixed income yields to stock dividend yields and if rates go bonkers - the stock market will crash.
]]> Sat, 11 May 2013 17:54:47 -0400
On the first jump in interest rates there will be BUYING panic. Those that have put off refinancing their mortgages, replacing their cars on credit, taking that long planned vacation that has been put off and swapping the credit card balance to next deal offer in the mail for zero interest will boot economic activity in the short run. Investors will see a trend of increased sales and earnings for just about any stock traded. It could last for 2 quarters. After that investors will compare fixed income yields to stock dividend yields and if rates go bonkers - the stock market will crash.
]]> http://seekingalpha.com/currents/post/1019031?source=feed#comment-18689211 18689211 Fri, 10 May 2013 16:25:37 -0400 http://seekingalpha.com/article/1424201/comments?source=feed#comment-18687631 18687631 Fri, 10 May 2013 15:44:41 -0400 http://seekingalpha.com/currents/post/1017951?source=feed#comment-18678911 18678911 Fri, 10 May 2013 12:29:04 -0400 http://seekingalpha.com/article/1421051/comments?source=feed#comment-18663921 18663921
The chairman at the annual meeting emphasized their improved efficiencies and profit improvement with the effort to resolve all the "bad will" issues. When this all settles down and the company can start to become more investor friendly with a fair dividend payment as I stated when interviewed by the Charlotte Observer at the annual stockholders meeting - the stock will be substantially higher.]]> Fri, 10 May 2013 06:08:48 -0400
The chairman at the annual meeting emphasized their improved efficiencies and profit improvement with the effort to resolve all the "bad will" issues. When this all settles down and the company can start to become more investor friendly with a fair dividend payment as I stated when interviewed by the Charlotte Observer at the annual stockholders meeting - the stock will be substantially higher.]]> http://seekingalpha.com/article/1422861/comments?source=feed#comment-18663731 18663731
The brief spurt above $13 may not be immediately sustainable. Looking at the 5 year record of annual high and low stock prices, it continues a volatile trend. Some analysts and many commentors here on SA are suspicious of the stated book value saying it is overstated and not reflective of the outstanding litigation liability. As time goes by and the libility side of the balance sheet improves with proof positive of its validity, I forsee a stronger rally in the stock price. Getting into summer rally mode with the rest of the market should take it to $14. After that a dividend hike would take it substantially higher.]]> Fri, 10 May 2013 05:46:41 -0400
The brief spurt above $13 may not be immediately sustainable. Looking at the 5 year record of annual high and low stock prices, it continues a volatile trend. Some analysts and many commentors here on SA are suspicious of the stated book value saying it is overstated and not reflective of the outstanding litigation liability. As time goes by and the libility side of the balance sheet improves with proof positive of its validity, I forsee a stronger rally in the stock price. Getting into summer rally mode with the rest of the market should take it to $14. After that a dividend hike would take it substantially higher.]]> http://seekingalpha.com/article/1417341/comments?source=feed#comment-18613611 18613611
This was my first BAC meeting to attend in person. It was not a stockholder friendly affair compared to the other annual stockholder meetings I have attended. Located the heart of the uptown area of Charlotte, it was difficult to get to with the street construction in the area and there was no reimbursement for parking. Typically at a morning meeting a continental breakfast was expected but not even a cup of coffee was given. To get out to buy a coffee in the hotel/conference center required going through security again which I declined to do.

Security was overdone in comparison to the threat for violence. There were no street demonstrators anywhere near the entrance to the meeting. Traffic flow in the uptown area seemed normal. Entry into the meeting was cumbersome. BAC officials had access to databases to check validity of being a stockholder with brokerage records. I was given a badge and a security wrist band. There were color codes on the ID materials to show stockholders from media people for example. Security screening also included what you would typically go through at an airport. My pocket knife made it through as allowable and I didn't have to take off my shoes. I was disappointed that the attractive young woman at the checkpoint refused to frisk me at my request.

Most people in attendance were in business suit attire (I guess this is how bankers are always dressed). Employees were not readily identifiable except for the few in booths where a mortgage relief display was the only active presentation to show the banks work just side the meeting room. I can't imagine anyone would come to this meeting seeking this type of assistance but it was probably a display of their concern to reach out to their mortgage holders that are in a default payment situation. I wasn't impressed by this but maybe the media would see this as a sincere effort of the bank's priorities.

I sat next to a reporter from the Charlotte Observer. I mentioned I had a letter to the editor published in that day's paper. This struck up a nice conversation before the meeting that resulted in an nterview that he followed up on later in the day with a phone call.

This meeting attracted many people who do not represent typical stockholder concerns. Environmentalists dominated the Q&A period with repetitive statements about BAC contribution to global warming, pollution and coal mining. This amazed me and The Chairman's request to entertain limiting repetitive "questions" concerning climate change was ignored - this prompted me to leave the meeting with the observation that nothing productive was remaining to be listened to.

One interesting take away for me is the blind anti-business attitude being expressed by stock holders who only own a token amount of stock who would come to this meeting to complain about the environmental impact of business in general. The major complaint was the bank lending money to coal companies.

There seems to be a big project in Oregon that will ship coal to China. What these people don't understand is the basic economics involved when it comes to the use of natural resources.

The Chairman emphasized BAC doesn't invest in these enterprises but just continue their banking business with these companies and any company that is creditworthy. They respect the compliance with environmental regulation and existing laws.

As far as the new project to open up a port on the West Coast to export coal, these people need to realize that regardless if the United States does not supply their needed coal, they would get it somewhere else. There would be no reduction to global warming impact if this export project were not to be built. If we have the most efficient means and environmental friendly regulation of how mining is done, it would probably reduce the total worldwide environmental impact if this project continues. Therefore the Bank's efforts along these line should be seen as reducing any negative environmental impact.

Other questions that I would have preferred to listen to were concerns about the level of dividend payments. There was no promise that they would be increased in the near future but growth in business and getting out of the litigation problems with legacy mortgage issues was emphasized.

This all in all it was an interesting experience, it was not stockholder friendly. They seem to continue to want to show their outreach to mortgage holders and show a public image that stockholders have not as yet benefitted from the improved economy and the business of the bank.
]]> Thu, 09 May 2013 06:28:21 -0400
This was my first BAC meeting to attend in person. It was not a stockholder friendly affair compared to the other annual stockholder meetings I have attended. Located the heart of the uptown area of Charlotte, it was difficult to get to with the street construction in the area and there was no reimbursement for parking. Typically at a morning meeting a continental breakfast was expected but not even a cup of coffee was given. To get out to buy a coffee in the hotel/conference center required going through security again which I declined to do.

Security was overdone in comparison to the threat for violence. There were no street demonstrators anywhere near the entrance to the meeting. Traffic flow in the uptown area seemed normal. Entry into the meeting was cumbersome. BAC officials had access to databases to check validity of being a stockholder with brokerage records. I was given a badge and a security wrist band. There were color codes on the ID materials to show stockholders from media people for example. Security screening also included what you would typically go through at an airport. My pocket knife made it through as allowable and I didn't have to take off my shoes. I was disappointed that the attractive young woman at the checkpoint refused to frisk me at my request.

Most people in attendance were in business suit attire (I guess this is how bankers are always dressed). Employees were not readily identifiable except for the few in booths where a mortgage relief display was the only active presentation to show the banks work just side the meeting room. I can't imagine anyone would come to this meeting seeking this type of assistance but it was probably a display of their concern to reach out to their mortgage holders that are in a default payment situation. I wasn't impressed by this but maybe the media would see this as a sincere effort of the bank's priorities.

I sat next to a reporter from the Charlotte Observer. I mentioned I had a letter to the editor published in that day's paper. This struck up a nice conversation before the meeting that resulted in an nterview that he followed up on later in the day with a phone call.

This meeting attracted many people who do not represent typical stockholder concerns. Environmentalists dominated the Q&A period with repetitive statements about BAC contribution to global warming, pollution and coal mining. This amazed me and The Chairman's request to entertain limiting repetitive "questions" concerning climate change was ignored - this prompted me to leave the meeting with the observation that nothing productive was remaining to be listened to.

One interesting take away for me is the blind anti-business attitude being expressed by stock holders who only own a token amount of stock who would come to this meeting to complain about the environmental impact of business in general. The major complaint was the bank lending money to coal companies.

There seems to be a big project in Oregon that will ship coal to China. What these people don't understand is the basic economics involved when it comes to the use of natural resources.

The Chairman emphasized BAC doesn't invest in these enterprises but just continue their banking business with these companies and any company that is creditworthy. They respect the compliance with environmental regulation and existing laws.

As far as the new project to open up a port on the West Coast to export coal, these people need to realize that regardless if the United States does not supply their needed coal, they would get it somewhere else. There would be no reduction to global warming impact if this export project were not to be built. If we have the most efficient means and environmental friendly regulation of how mining is done, it would probably reduce the total worldwide environmental impact if this project continues. Therefore the Bank's efforts along these line should be seen as reducing any negative environmental impact.

Other questions that I would have preferred to listen to were concerns about the level of dividend payments. There was no promise that they would be increased in the near future but growth in business and getting out of the litigation problems with legacy mortgage issues was emphasized.

This all in all it was an interesting experience, it was not stockholder friendly. They seem to continue to want to show their outreach to mortgage holders and show a public image that stockholders have not as yet benefitted from the improved economy and the business of the bank.
]]> http://seekingalpha.com/currents/post/1005231?source=feed#comment-18585701 18585701 Wed, 08 May 2013 13:14:39 -0400 http://seekingalpha.com/article/1411511/comments?source=feed#comment-18568041 18568041 Wed, 08 May 2013 05:48:18 -0400 http://seekingalpha.com/currents/post/1005231?source=feed#comment-18545011 18545011 Tue, 07 May 2013 13:59:32 -0400 http://seekingalpha.com/currents/post/1000531?source=feed#comment-18490811 18490811 Mon, 06 May 2013 10:09:15 -0400 http://seekingalpha.com/article/1402301/comments?source=feed#comment-18435601 18435601
My main takeaways are from his presentation completely documented accurately as above. The company successfully completed the recent merger with Progress capping off a series of 5 mergers over the years to make Duke the largest utility company. The efficiency of these mergers have reduced the number of employees of these merged companies by 40%. Share holder returns have been good with a long history of consistently paying a dividend that has increased over the years.

His emphasis in being the largest utility was the main responsibility to provide electric power safely. It must be reliable, sustainable and cost effective.

Duke's efforts have been successful to attract new businesses to the region - Google was mentioned. Another goal fulfillment has been the retiring of old plants, reducing environmental impact and increasing efficiency. Over the past year the company has doubled its renewable capacity.

During the question and answer period that usually are dominated by environmentalists with the what seem to be a repeat of the same old questions I heard last year - Jim did an outstanding job in response. The company being a regulated utility in most of its territories and can't arbitrarily implement environmental improvements at a cost to rate payers. They have to abide by the respective utility commissions that cap the amount of these expenditures.

As much as anti nuclear sentiment was expressed by questioners, Jim mentioned that Duke's nuclear plants reduces carbon emissions. Also that the company is reducing it by using technologies to better use fossil fuels.

As usual his message to all shareholders, environmentalists and government regulators has been: his duty is to lead the effort for balance, reliability, affordability to provide clean electric power for their customers.]]> Sat, 04 May 2013 07:09:01 -0400
My main takeaways are from his presentation completely documented accurately as above. The company successfully completed the recent merger with Progress capping off a series of 5 mergers over the years to make Duke the largest utility company. The efficiency of these mergers have reduced the number of employees of these merged companies by 40%. Share holder returns have been good with a long history of consistently paying a dividend that has increased over the years.

His emphasis in being the largest utility was the main responsibility to provide electric power safely. It must be reliable, sustainable and cost effective.

Duke's efforts have been successful to attract new businesses to the region - Google was mentioned. Another goal fulfillment has been the retiring of old plants, reducing environmental impact and increasing efficiency. Over the past year the company has doubled its renewable capacity.

During the question and answer period that usually are dominated by environmentalists with the what seem to be a repeat of the same old questions I heard last year - Jim did an outstanding job in response. The company being a regulated utility in most of its territories and can't arbitrarily implement environmental improvements at a cost to rate payers. They have to abide by the respective utility commissions that cap the amount of these expenditures.

As much as anti nuclear sentiment was expressed by questioners, Jim mentioned that Duke's nuclear plants reduces carbon emissions. Also that the company is reducing it by using technologies to better use fossil fuels.

As usual his message to all shareholders, environmentalists and government regulators has been: his duty is to lead the effort for balance, reliability, affordability to provide clean electric power for their customers.]]> http://seekingalpha.com/article/1398231/comments?source=feed#comment-18400951 18400951
To decrease my worry I've been charting it several ways. Best trend is the 200-day average at a current $10.25 which seems unsinkable. The current price has just bounced back above the 20-day average which hardly touched it at $12.11 on the recent profit taking. I have enough cash to double up but still need to keep some portfolio balance where there is no dividend to speak of.

If they would increase the dividend - I would be a BAC millionaire holder, maybe not this year but more certainly in 5 years.]]> Fri, 03 May 2013 10:03:44 -0400
To decrease my worry I've been charting it several ways. Best trend is the 200-day average at a current $10.25 which seems unsinkable. The current price has just bounced back above the 20-day average which hardly touched it at $12.11 on the recent profit taking. I have enough cash to double up but still need to keep some portfolio balance where there is no dividend to speak of.

If they would increase the dividend - I would be a BAC millionaire holder, maybe not this year but more certainly in 5 years.]]> http://seekingalpha.com/article/1393391/comments?source=feed#comment-18364181 18364181 Thu, 02 May 2013 13:28:46 -0400 http://seekingalpha.com/article/1393351/comments?source=feed#comment-18363471 18363471
Sell EXC for WSC - The following chart tells the tail, LOL.

http://yhoo.it/105dqXY]]> Thu, 02 May 2013 13:10:38 -0400
Sell EXC for WSC - The following chart tells the tail, LOL.

http://yhoo.it/105dqXY]]> http://seekingalpha.com/article/1390611/comments?source=feed#comment-18344921 18344921 Thu, 02 May 2013 06:08:49 -0400 http://seekingalpha.com/currents/post/985681?source=feed#comment-18306641 18306641 Wed, 01 May 2013 08:18:21 -0400 http://seekingalpha.com/article/1384381/comments?source=feed#comment-18303931 18303931 Wed, 01 May 2013 05:51:44 -0400 http://seekingalpha.com/article/1384381/comments?source=feed#comment-18303891 18303891 Wed, 01 May 2013 05:44:29 -0400 http://seekingalpha.com/article/1386081/comments?source=feed#comment-18303821 18303821
Utilities are being forced to install solar power at costs with no immediate benefit to customers nor stockholders. Never in my lifetime will solar power be competitive to provide a positive return nor lower utility bills for customers. In my future analysis of investments in electric utilities I'll be considering how much money is being waisted on solar power. I believe it should only be a showcase model to the environmentalists and enough to plakate regulatory commissions for the needed PR. ]]> Wed, 01 May 2013 05:32:52 -0400
Utilities are being forced to install solar power at costs with no immediate benefit to customers nor stockholders. Never in my lifetime will solar power be competitive to provide a positive return nor lower utility bills for customers. In my future analysis of investments in electric utilities I'll be considering how much money is being waisted on solar power. I believe it should only be a showcase model to the environmentalists and enough to plakate regulatory commissions for the needed PR. ]]> http://seekingalpha.com/article/1384381/comments?source=feed#comment-18274851 18274851
The double book scenario is a good possibility but still a long shot until the market can start disregarding the worry holding it back. The MBIA case is causing some concern right now. But here too the book value comes into play. How many MBIA bonds does BAC own? I believe its a significant position and it would be ridiculous to award people who now own the bonds because most for these settlements depend on when you owned them and when you sold them. My MBIA bond has appreciated better than prime stuff this year. And, they never missed a coupon payment.

If the MBIA people win their claim, would they be willing to sell back all the bonds to BAC? A bond yielding over 8% and not callable for another 10 years? ]]> Tue, 30 Apr 2013 12:38:17 -0400
The double book scenario is a good possibility but still a long shot until the market can start disregarding the worry holding it back. The MBIA case is causing some concern right now. But here too the book value comes into play. How many MBIA bonds does BAC own? I believe its a significant position and it would be ridiculous to award people who now own the bonds because most for these settlements depend on when you owned them and when you sold them. My MBIA bond has appreciated better than prime stuff this year. And, they never missed a coupon payment.

If the MBIA people win their claim, would they be willing to sell back all the bonds to BAC? A bond yielding over 8% and not callable for another 10 years? ]]> http://seekingalpha.com/currents/post/982431?source=feed#comment-18271391 18271391 Tue, 30 Apr 2013 11:25:33 -0400 http://seekingalpha.com/article/1383361/comments?source=feed#comment-18258721 18258721
I'm looking forward to seeing my fellow stockholders at next week's annual meeting here in Charlotte this Thursday.]]> Tue, 30 Apr 2013 05:45:41 -0400
I'm looking forward to seeing my fellow stockholders at next week's annual meeting here in Charlotte this Thursday.]]> http://seekingalpha.com/currents/post/977671?source=feed#comment-18228721 18228721
http://bit.ly/ZLBODF

Initially there are some complaints but shedding the mortgage servicing business will be getting rid of a legacy headache. ]]> Mon, 29 Apr 2013 12:35:55 -0400
http://bit.ly/ZLBODF

Initially there are some complaints but shedding the mortgage servicing business will be getting rid of a legacy headache. ]]> http://seekingalpha.com/article/1379951/comments?source=feed#comment-18214771 18214771 Mon, 29 Apr 2013 06:18:28 -0400 http://seekingalpha.com/currents/post/976391?source=feed#comment-18214651 18214651 Mon, 29 Apr 2013 06:08:16 -0400 http://seekingalpha.com/currents/post/975021?source=feed#comment-18139791 18139791 Fri, 26 Apr 2013 13:17:21 -0400 http://seekingalpha.com/article/1370071/comments?source=feed#comment-18072131 18072131
I know - you hate to be wrong.]]> Thu, 25 Apr 2013 08:55:35 -0400
I know - you hate to be wrong.]]> http://seekingalpha.com/currents/post/967031?source=feed#comment-18067981 18067981 Thu, 25 Apr 2013 06:38:04 -0400