Accentuating the caveat emptor perspective with critical commentary on financial disclosure. I adopt a skeptical persona and look for chinks in the teflon coating of financial disclosure. My job is to identify financial warts. Perhaps a Black Swan. Disclosure: I do not hold positions in stocks mentioned for three trading days before or after blog post.
Monday, October 20, 2008
Haliburton Blows Off Convertibles
Haliburton (HAL) under cover of a very good operating quarter announced they have redeemed a convertible debt issue for cash. Costly but probably worth it if you consider they have avoided dilution in the future. What they have not explained is how they will conduct business with radically lower cash balances, very reduced Capex in the past quarter and a noticeable increase in accounts payable.