tag:blogger.com,1999:blog-7294165939647321702.post4003500938087949842..comments2024-03-28T13:45:43.362-04:00Comments on <center><a href="http://www.barelkarsan.com">Barel Karsan - Value Investing</a></center>: Poor Conditions, Sterling PriceSaj Karsanhttp://www.blogger.com/profile/04493152766022812984noreply@blogger.comBlogger3125tag:blogger.com,1999:blog-7294165939647321702.post-29350759907540737482012-03-16T18:26:19.825-04:002012-03-16T18:26:19.825-04:00Hi Anon2,
No amount was specified on the call, ho...Hi Anon2,<br /><br />No amount was specified on the call, however, the company did say that bonding requirements were based on tangible book value rather than cash. It was also implied that there was enough excess cash to complete the remaining $7 million on the company's current buyback authorization.Saj Karsanhttps://www.blogger.com/profile/04493152766022812984noreply@blogger.comtag:blogger.com,1999:blog-7294165939647321702.post-16838145831365298202012-03-15T13:13:23.991-04:002012-03-15T13:13:23.991-04:00How much of the net cash position is actually &quo...How much of the net cash position is actually "free" in light of the significant bonding requirements typically required of construction companies? (The same issue applies to KSW.)Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-7294165939647321702.post-40191878559943441642012-03-15T11:46:25.379-04:002012-03-15T11:46:25.379-04:00I listened to the call and press release and could...I listened to the call and press release and couldn't have summed it up any better. I would add that the CFO mentioned these new bidding processes (sounds like a checklist type of bid process) really won't have an impact until late this year. Plus they are working through 5 unprofitable projects in 2012. As such, I think there are still a few quarters of pain left for Sterling. It sounds like they became victims of bidding for projects at an unprofitable level, something Buffett never does with insurance premiums.Anonymousnoreply@blogger.com