UnThreaded | Threaded | Whole Thread (8) | Ignore Thread Prev | Next
Author: Hohum777 Big gold star, 5000 posts Old School Fool Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: of 1695  
Subject: Re: Oct 2012 musing Date: 10/25/2012 1:11 AM
Post New | Post Reply | Reply Later | Create Poll . Report this Post | Recommend it!
Recommendations: 2
The near collapse of OSG hurt a little. My bigger lament is that I missed out on this idea as a
short candidate as opposed to a long idea. In hindsight, there were a few clues that I overlooked
because this was a "tanker biggie". A couple of clues- the fact that something as important
as financing kept on being dragged on and on. Also, me just assuming the gap (the supposed $100M)
could be covered by the unencumbered vessels. My takeaway- Dig harder into a beaten-down idea,
especially one that came close to being a "too difficult" idea in a sector I enjoy tearing into.

Collateral damage to DHT, with a fair amount of charter tie-in to OSG. DHT slashing their
dividend from 24c => 2c in Q3 also didn't help. Funny how company mgmt claimed no payments
till 2014, then till 2015, yet keep making payments to stay within loan covenants. They claim
OSG have been paying them on time, but if OSG declare Ch 11, things go downhill very quickly.
OTOH, that might be an opportunity for another tanker manager e.g. FRO might agree to
commercially manage some, or all, of DHT's vessels.

Trimmed ORI and NNA.
Post New | Post Reply | Reply Later | Create Poll . Report this Post | Recommend it!
Print the post  
UnThreaded | Threaded | Whole Thread (8) | Ignore Thread Prev | Next

Announcements

Pencils of Promise - Back to School Drive
"Pencils of Promise works with communities across the globe to build schools and create programs that provide education opportunities for children."
Managing Your Wealth
Our own TMFHockeypop from Rule Your Retirement fame on the TV show Managing Your Wealth.
When Life Gives You Lemons
We all have had hardships and made poor decisions. The important thing is how we respond and grow. Read the story of a Fool who started from nothing, and looks to gain everything.
What was Your Dumbest Investment?
Share it with us -- and learn from others' stories of flubs.
Community Home
Speak Your Mind, Start Your Blog, Rate Your Stocks

Community Team Fools - who are those TMF's?
Contact Us
Contact Customer Service and other Fool departments here.
Work for Fools?
Winner of the Washingtonian great places to work, and "#1 Media Company to Work For" (BusinessInsider 2011)! Have access to all of TMF's online and email products for FREE, and be paid for your contributions to TMF! Click the link and start your Fool career.
Advertisement