Sounds like the board and SB are expecting some sort of financial difficulties from now to 6 to 8 months from now. Just what I got from those announcements/buttering us up.
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@bt it's extremely expensive: base rate +7.1% or SOFR+8.1%. Consider base rates are around 3.7% actually.... On top, they must pay 2% royalty on gross revenue (not profit, revenue). For 5B$ it's 100M$ per year. Which ks on top of debt reinbursement.....
@c1 You assume they have morals.
They are where they are precisely because they are amoral.
@c1 80 years old, try 119 years old! They drove it into the ground because of greed and lack of education on how to run a business. It is pathetic. All of the yes men and women thinking they are the cat’s meow. Poor leadership in the US AND CANADA.
I wonder if the board feel the weight of what they have done to a 80 years old iconic company. Xerox is no ordinary brand to many whose lives have been changed by the way they perform their administrative task and most importantly, the depth in its history. If this company is destroyed in their hands, can they rest in peace for the years to come?
@bt I think it’s 7%? But there is also a mention of 8%-it’s all public info. If it’s 7% for arguments sake - that is what 30 million a year in interest? https://investors.xerox.com/static-files/e9d85db5-1d81-417f-8b36-45820c77b43c
Anyone know the interest rate on the new loan? Funny they didn’t mention it…
@ae Its ALL going to end.......
The company still needs to be 1/2 the current size for economic reasons. 6-8 months is also very optimistic with any of the new products and growth usually taking 24-36 months to just hit net even before turning a profit.
The financial stuff is also humorist; we are now left to the worse of the worse banks (like using pay day loan shops and loan sharks at the local bar) thinking that we as a company can take that money and quickly use it to turn around and maybe cover other debts then turn around and find another loan at better terms even though we haven't improved our credit rating.
You know what they say in a calamity…
We can’t save everyone, so we may as well save ourselves….🔥
That’s the amount of time they need to lawyer up and finish their golden parachutes. 🪂
@OP need specifics - please elaborate
What was the communication?
@OP What do they say will end the financial difficulties in 6 to 8 months? Xerox/Lexmark synergies? Reinvention? Good Thoughts and Hope? The new Global Print Go-to-Market Structure? A reduction in headwinds? New Product Development? Robotics? AI? IOT?