Parsad

IBM showing some interest in parts of RIMM's business? Cheers! http://www.bloomberg.com/news/2012-08-09/rim-said-to-draw-interest-from-ibm-over-enterprise-services-unit.html

U.S. government expects five major banks to provide resolution plans, on top of "living wills", to resolve any future financial crisis they may face, as they will not receive any support from the government. Some comments on BAC as well. http://finance.yahoo.com/news/exclusive-u-banks-told-plans-040356130.html;_ylt=AkUCDNGj5dI_BfTIlTABeMuiuYdG;_ylu=X3oDMTQzZTBkNzMxBG1pdANGaW5hbmNlIEZQIEp1bWJvdHJvbiBMaXRlBHBrZwM0OTEyNmVlYi0zNTBhLTNmMDQtYTQyMC0yYjc2ODAwNjk3MDcEcG9zAzEEc2VjA2p1bWJvdHJvbgR2ZXIDYjQ2NzI5OTAtZTJhMC0xMWUxLWJmOTUtOWFjMzExYThmNTU5;_ylg=X3oDMTFpNzk0NjhtBGludGwDdXMEbGFuZwNlbi11cwRwc3RhaWQDBHBzdGNhdANob21lBHB0A3NlY3Rpb25z;_ylv=3 For those investors avoiding U.S. financials, they are making a terrible mistake. These banks will be some of the best capitalized and prepared banks in the world in the last 30 years. Cheers!

LOL! I agree. But at the same time, it is somewhat easier to have everyone reply to one spreadsheet or message, rather than call them all up individually. Cheers!

If the stock is below tangible book, then buybacks make sense. If the stock starts to get closer to book, and most certainly if it is higher, then dividends would be the better choice. Cheers!

Correct! If you live high on the hog and get golden parachute pensions, then how the heck do you know what real folk are actually experiencing. Congress is the worst oversight committee you could think of to monitor any profit-making enterprise, let alone a break-even and hope we don't go broke enterprise like the USPS. And CONeal, I agree with you regarding Wednesday's instead of Saturdays. Either day works, but better yet, maybe cut out two days. God knows how much is now directly done online, by email, mobile phone or online banking. Alot of services the USPS offers no longer need six days a week service. They could afford it if they paid their employees $12 an hour like the banks, but they pay them double that, if not triple for senior employees...plus pension. Cheers!

More losses, and possibly a cash crunch without congressional approval. Time to sell the USPS? They should probably cut out Saturday mail delivery altogether, and wage reductions across the board would also be prudent. Cheers! http://www.cnbc.com/id/48590931

Interesting, but not particularly functional. None of those things would be useful for what I use spreadsheets for...putting together budgets, accounting statements, etc. The data in the video actually looks cluttered and not particuarly useful the way it was laid out. Cheers!

Ok, calling all boardmembers here! Especially those in and around British Columbia. As many of you know, one of the non-profits we support is "The Crohn's & Colitis Foundation of Canada". This year in Toronto, we raised $13,000 for the CCFC...thanks to all of those who donated and attended! Alison Obrecht, Chapter Development Coordinator For British Columbia, is spear-heading and coordinating the first ever fundraising gala in BC. The Toronto Gala raised over $1M in 2011! I've been asked to act as an honorary representative for the CCFC and help coordinate the BC event with her and raise funds. The Gala is set for November 22, 2012 at the Vancouver Marriott Pinnacle. Corner Market Capital has bought a table, and I encourage our boardmembers, especially those who live in and around BC, to try and attend. Individual tickets are $200 and tables are $2,000-2,500, with sponsorship all the way up to $15,000. They are also interested in any donations, including prizes for the auction. Everyone my age or older will also be happy to hear that Vancouver's own 54-40 is playing the Gala...one of Canada's best bands that disappeared too soon! Details for the Gala are below: http://www.kintera.org/site/c.4nJIJXPrEbKSE/b.7990773/k.DA83/2012_Vancouver_ICE_Gala__Home.htm I also thought that the event may be a good gathering place for local investors that I don't always get to meet up with. There are eight seats available on our table, for those that would like to join Alnesh and I, and discuss investing while eating great food and listening to good music. Those tickets are available like the regular tickets at our cost of $200 each. If you are interested in buying tickets on our table, or contributing in other ways, please contact me at cornermarketcapital@gmail.com. Cheers and thank you for your support! AllThatGlitters2012InviteNov.pdf

Greek default was $100B...who will take the hits in the restatements if you have counterparty liability of $1T? You have $20T+ in credit derivatives trading, no one knows exactly what the counterparty risk is and on what. Even $1T may not be the worst case scenario. Cheers!

In fact, all HFT firms are essentially in 100% cash at the end of each trading day. They aren't going to cause any six sigma event, let alone a three sigma event, given that they close out their positions very quickly. People forget that the cascading of the Flash Crash occurred due to a lack of liquidity (i.e. HFT disappearing) rather than due to the additional liquidity that HFT thankfully provides Volume is drying up everyday right now and I sure don't want to see what spreads would look like if HFT were to disappear. Be careful what you wish for. I believe HFT has aided most investors, including value investors, on a net basis. Again, you're both equating the trigger with the event. What I'm saying is that something more significant than the flash crash could create counterparty risk that is significantly greater (virtually dwarfing) the triggering event. Think of it in terms of the match to the stick of the dynamite...you can easily blow out the match, but what if the fuse is lit and you can't contain the ensuing explosion. Cheers!

This volatility is not the value investors best friend, this volatility is the type that could derail markets for months of not years and only end in disaster. I seriously doubt that - please prove it. If it did, though, it would provide tremendous opportunity to those who have a 4-6 year outlook as opposed to what is typical of most market participants. A once in a lifetime opportunity, in fact, for value investors out there - if something was to happen on the order of what you suggest. As Mr. Buffett has opined: "Only buy something that you'd be perfectly happy to hold if the market shut down for 10 years." You're viewing it in too simplified a manner. You are correct that volatility is our friend, but at the same there are trillions of derivatives contracts being written that have counterparty liability for financial institutions insuring against that very same volatility. If you have a six-sigma event occur in the markets...be it equities, commodities, currencies, etc...some counterparty will be held liable for the ensuing risk. If you have a number of institutions that become liable for significant sums, you could see another event like Lehman's or Bear Stearns. The world cannot afford another calamity like that at the moment. Cheers!

Scary...very scary actually! Thanks. Cheers!

Article on how economy continues to slowly recover, with banking loan standards easing...a good thing for the economy. Cheers! http://www.bloomberg.com/news/2012-08-06/fed-says-banks-ease-standards-on-business-consumer-loans.html

Very cool! I'm constantly surprised by mankind just keeps innovating. Cheers!

Well, we got our money out, so we were riding the option of something coming through over the weekend. They've diluted it so much with the convertible preferreds, that $4 looks like the price it will trade at, as book was at $16, they had about $4.50 in losses, and then the convertibles refilled coffers back up near book, but diluted the share count by 300%. So, the markets were probably correct at pricing it at $4 on Friday. We'll see if we walk away with any profits tomorrow. Cheers!

Small. It will be discussed in the 3rd quarter letter...and exactly what will be said will depend ultimately on the outcome! ;D Cheers!

We did. Bought a shitload of out of the money call options. Up almost 200%! Should have bought a little more. We've already sold a third to cover our cost and are holding the rest. I'm hoping they get financing or an equity partner, rather than a buyout. Cheers!

The Fairfax Financial 2013 AGM is set for Thursday April 11th at Roy Thomson Hall. Naturally, our Fairfax Financial Shareholder's Dinner will be held the night before. Cheers! http://www.fairfax.ca/news/events-and-webcasts/default.aspx

It's nice to see exactly how big a business National Beef is. Take a look at LUK's revenues with Beef in there. Gives new meaning to "Where's the Beef?" Cheers!

A bit late, but here are a few documents and links: http://www.cornerofberkshireandfairfax.ca/forum/general-discussion/chanticleer-holdings/30/ http://www.cornerofberkshireandfairfax.ca/forum/general-discussion/congratulations-to-chanticleer!/ http://www.cornerofberkshireandfairfax.ca/forum/general-discussion/chanticleer-holdings-puts-hooters-deal-on-hold/ http://www.cornerofberkshireandfairfax.ca/forum/general-discussion/chanticleer-holdings-947/10/ http://content.stockpr.com/chanticleerholdings/media/2d1acd72ac82097139bfde1c64a7b908.pdf http://ir.stockpr.com/chanticleerholdings/all-sec-filings/content/0001144204-12-029150/0001144204-12-029150.pdf http://www.sec.gov/Archives/edgar/data/1106838/000114420412035741/v316601_424b4.htm http://www.chanticleerinvestmentpartners.com/files/2012/02/1-Introduction.pdf http://www.scribd.com/doc/95454214/Chanticleer-Advisors-The-Case-for-Small-amp-Micro-Cap-Value-Investing-April-2012-Final http://www.chanticleeradvisors.com/files/107293/the%20manual%20of%20ideas%20-%20chanticleer%20interview.pdf http://www.valueinvestingworld.com/2012/06/chanticleer-holdings-inc.html http://www.fundinguniverse.com/company-histories/hooters-of-america-inc-history/ http://www.bizjournals.com/charlotte/print-edition/2012/07/06/chanticleer-offering-key-to-hooters.html From what I understand, HOTR/HOTRU/Chanticleer is a bet on the international expansion of Hooters. It's also a bet on the Chanticleer team. By the way, would someone smarter than me be so kind as to explain the difference between HOTRU and HOTR? I understand that one Chanticleer Holdings Unit (HOTRU) gives you one stock and one warrant. This doesn't sound too bad to me. You get the option of buying more of an illiquid stock. The price of HOTRU and HOTR is about the same, so you get the warrant for almost nothing. Maybe because Chanticleer wanted to make sure that the offering was successful, or am I missing something? Hi Hellsten, I think you have it right for the most part. As for HOTRU and HOTR, I don't think they wanted them to trade at par, but they expect the markets to arbitrage the difference. Unfortunately, to this point, the markets aren't giving any difference in value to HOTRU...nominal at best. Cheers!

lol, I didn't read the entire thread. No worries! Cheers!

Hi Mpauls, I said quotes, not whole letters. Hi Racemize, Maybe. Email or call them, and see what they say. Cheers!

Parsad, may I ask how you find these great "hamburger stocks" (Steak 'n Shake & Frisch's Restaurants)? What can I say? I eat alot of hamburgers! But only to maintain my svelte and girlish figure! ;D Cheers!

No, Mohnish wouldn't mind at all. He's constantly telling people how he's a shameless clone of other's ideas. He's too humble to admit alot of his thoughts are fresh and new in many ways. But as I said, he won't mind quotes like that. I don't think he'd want an entire PDF or something, but a small quote wouldn't bother him at all. Cheers!

Hi Lance, a) Roy Thomson Hall was pretty full this year and I suspect it will be nearly the same again in 2013. They don't check for credentials or share ownership, but there is a registration where they will get your name, email, etc. b) The meeting starts about 9:30am and Prem runs through the whole corporate AGM stuff in about 5-10 minutes like Berkshire. He then introduces the executives, board of directors and does a presentation which usually lasts anywhere from 30 minutes to about 50 minutes. After that, there is a Q&A for about 1.5-2 hours. After the meeting, Prem and all of the executives and board are available for more meet/greet and Q&A in the reception/lobby area where they have a cocktail party...the whole thing ends around 1:30pm. Our dinner the night before is honestly fantastic! We have great attendees and great guests that Fairfax brings. I'm very proud of it, and very thankful for the support and the great fundraising we now do through it for the Crohn's & Colitis Foundation of Canada in memory of Prem's assistant, JoAnn Butler. NormR's pre-dinner get together is also growing. I believe there were about 15-20 people at it this year, and Francis Chou, Andy Barnard and Sam Chan made a brief appearance. We'll try and get his pre-dinner a little closer to the Fairmont Royal York next year. Fairfax has numerous booths of investee companies or non-profits they support at their AGM now. This year they gave away $25 gift cards to Fairfax-owned restaurants and $50 gift cards to "The Sporting Life". Hopefully Prem acquires a few more non-insurance companies this year, and they give out more gift cards. We were all very happy to spend money at those stores! Cheers!