SFValue

Kind of last minute but before I try to book it elsewhere was wondering if anybody has (or knows of) an opening for a room for BRK weekend. best regards,

"This is a terrific transaction for all involved: Enhanced choice for consumers, coupled with increased value for both AT&T and DirecTV shareholders—a natural," said investment managers Todd Combs and Ted Weschler of Berkshire Hathaway. Berkshire has been a top shareholder of DirecTV. Where is this quoted from? http://www.cnbc.com/id/101683629

"This is a terrific transaction for all involved: Enhanced choice for consumers, coupled with increased value for both AT&T and DirecTV shareholders—a natural," said investment managers Todd Combs and Ted Weschler of Berkshire Hathaway. Berkshire has been a top shareholder of DirecTV.

I did actually. Plus if you read VIC, you can see a few interesting ideas being posted there lately. All ideas that only the smallest hedge funds can touch. And that have a much better risk/return then almost any 1bn$+ market cap out there. Which is what it is all about with valueinvesting in the end right? Finding the most asymetrical risk return scenarios where you dont have to be some kind of predicting genius to make a decent return. I think I read a buffett quote a while back where he wished he was a small time investor again. Because the opportunities out there in the small cap space are so abundant. Especially when the market is depressed. So why handicap yourself by looking at really large investors? Unless they invest in something really small. Personally I like to look at concentrated hedgefunds and smaller hedgefunds with really good track records. And see what their highest conviction ideas are. If they invest in a smaller company then they normally do, then it probably means that is a really good idea. Why else would they devote time to it if they can only invest a small amount. They would only do that if they believe there is significant amount of upside with a managable amount of risk. woudl you list some of the funds you like to track?

can the artifacts be sold as is? so far the answer is no.... if management is the problem that could be solved with activism, i suppose.

Interesting to contrast (as of now) market's reaction to FFH vs AIG release compared to investors comments on the same.

filed today http://www.sec.gov/Archives/edgar/data/898382/000117152014000098/eps5480.htm

I wonder if GYRO will get sued at all -- because there really was some confusion. I think for someone like you who already had a position shorting is perfect -- because your not really shorting the stock -- you're just selling the stock you own at a nice price. Agree that it was a complicated confusing case. The 25% special dividend language (in FINRA manual) doesn't specify super clearly when the dividend is measured against stock price - when announced or when paid. To be clear, I am short. Sold my long immediately, sold that much again short on day 1 (all I could borrow), and sold about 4x more today when I could get the borrow. The new GYRO when delivered will cover the short. I will sell more if I can borrow more because I think it will sell off when new GYRO is delivered. I figure new GYRO will have 45 million in real estate, 17 million in cash, .8 million other assets against 7.5 million liabilities for equity of 55.3 million over 9.7 million new shares or $5.70. The real estate is not super marketable or they would have sold it already. It won't be particularly undervalued because it was just written up. I don't see how this settles in at book value or greater. $4 target price seems reasonable. Here's the weird thing... and why even after talking to the CEO I am a tiny bit confused. If 12/27 was the ex-date -- the stock didn't move down that day. Additionally, DTC didn't have anything regarding the ex-date -- according to corp actions at TD ameritrade. Happy to have participated -- but I'm 5% confused still. Yeah me too - still the tingle that maybe my short blows up in my face and NASDAQ makes them change ex date or something. I am pretty sure that day premarket was in the 5s

it's another ESL mystery, no doubt bullish. The sarcasm is strong in this one -- but seriously though, I can't recall this happening before. really it doesn't matter. he is a disaster. the company is a disaster. his motivations here are not to create value. what are his motivations? a HFM by definition is a profit driven person. could he be just wrong ala ackman/JCP/Ross? I don't know. it's his plaything. he certainly has no concept of outside shareholders. obviously the WEB's playbook "investor/CEO" does not fit at all, but that was known. plaything is too harsh. we know he will be fine either way.

it's another ESL mystery, no doubt bullish. The sarcasm is strong in this one -- but seriously though, I can't recall this happening before. really it doesn't matter. he is a disaster. the company is a disaster. his motivations here are not to create value. what are his motivations? a HFM by definition is a profit driven person. could he be just wrong ala ackman/JCP/Ross?

I just covered my short around $7.25 - $7.35 . I started watching the situation when the stock dropped 12/30. 12/31 the stock traded around $13 -- I was wondering if the stock included the $10.89 dividend or not -- tried to call GYRO couldn't get in touch. I finally got in touch with the CEO on Jan 2 stock is trading with no more dividends attached -- shorted as much as I could through various brokers (which was not much). I hate shorting most things .... I never know what could happen to kick my butt. Theoretically 20+% left of downside. did you cover because of your aversion to shorting? I am having trouble conceiving a scenario where you get materially hurt short here, unless the understanding of DTC/ex-dates is wrong Yes -- I made appx 40% b/c of market confusion -- I consider myself lucky. Management has said the remaining stub is $5.70. That means from the point I covered I had about $1.50 left to make give or take -- time frame would be unclear as well . At some point people have to cover -- I assume large sellers are all out. And of course, what happens on the off chance I am wrong about the dividend -- or the CEO is confused about the mechanics at DTC. I know TDAmeritrade corporate actions team had no clue. I'm okay with missing out on the last 10-15% of the trade. thank you regarding time frame this situation should be clear one way or another by pay date (en of January) I was long the liquidation - sold what I was long on 12/31 and shorted all could borrow (which was a little more than I was long). So upon merger being consummated I will soon be long again (we get 5.58x new GYRO versus what were long old GYRO). I think it is still safe to be short for that reason. The numbers thrown out in 12/27 8k seem like an attempt to anchor on $6 or $5.70 for new market price where I think using old book value (I get $4.41) may be a better guide to where it will settle out. it all comes down to the 10.89 notes dividend (is it in or not), regardless of what you get as dividend from your previous long position or am I misunderstanding you? No - I think it is clear (in talking to company and my broker) that one needed to be a record holder on 12/31, thus own it as of close 12/27 to get the 10.89 dividend. But we will get the dividends (both of the non cash dividends) in the form of new GYRO. So shares out will go from 1.48 million before merger to 9.7 million post merger. The selling pressure then would be tremendous I presume. Ok..i was just pointing out that the issue is if you get the dividend or not (in case you are short, you owe it) is what matters.

I just covered my short around $7.25 - $7.35 . I started watching the situation when the stock dropped 12/30. 12/31 the stock traded around $13 -- I was wondering if the stock included the $10.89 dividend or not -- tried to call GYRO couldn't get in touch. I finally got in touch with the CEO on Jan 2 stock is trading with no more dividends attached -- shorted as much as I could through various brokers (which was not much). I hate shorting most things .... I never know what could happen to kick my butt. Theoretically 20+% left of downside. did you cover because of your aversion to shorting? I am having trouble conceiving a scenario where you get materially hurt short here, unless the understanding of DTC/ex-dates is wrong Yes -- I made appx 40% b/c of market confusion -- I consider myself lucky. Management has said the remaining stub is $5.70. That means from the point I covered I had about $1.50 left to make give or take -- time frame would be unclear as well . At some point people have to cover -- I assume large sellers are all out. And of course, what happens on the off chance I am wrong about the dividend -- or the CEO is confused about the mechanics at DTC. I know TDAmeritrade corporate actions team had no clue. I'm okay with missing out on the last 10-15% of the trade. thank you regarding time frame this situation should be clear one way or another by pay date (en of January) I was long the liquidation - sold what I was long on 12/31 and shorted all could borrow (which was a little more than I was long). So upon merger being consummated I will soon be long again (we get 5.58x new GYRO versus what were long old GYRO). I think it is still safe to be short for that reason. The numbers thrown out in 12/27 8k seem like an attempt to anchor on $6 or $5.70 for new market price where I think using old book value (I get $4.41) may be a better guide to where it will settle out. it all comes down to the 10.89 notes dividend (is it in or not), regardless of what you get as dividend from your previous long position or am I misunderstanding you?

I just covered my short around $7.25 - $7.35 . I started watching the situation when the stock dropped 12/30. 12/31 the stock traded around $13 -- I was wondering if the stock included the $10.89 dividend or not -- tried to call GYRO couldn't get in touch. I finally got in touch with the CEO on Jan 2 stock is trading with no more dividends attached -- shorted as much as I could through various brokers (which was not much). I hate shorting most things .... I never know what could happen to kick my butt. Theoretically 20+% left of downside. did you cover because of your aversion to shorting? I am having trouble conceiving a scenario where you get materially hurt short here, unless the understanding of DTC/ex-dates is wrong Yes -- I made appx 40% b/c of market confusion -- I consider myself lucky. Management has said the remaining stub is $5.70. That means from the point I covered I had about $1.50 left to make give or take -- time frame would be unclear as well . At some point people have to cover -- I assume large sellers are all out. And of course, what happens on the off chance I am wrong about the dividend -- or the CEO is confused about the mechanics at DTC. I know TDAmeritrade corporate actions team had no clue. I'm okay with missing out on the last 10-15% of the trade. thank you regarding time frame this situation should be clear one way or another by pay date (en of January)

I just covered my short around $7.25 - $7.35 . I started watching the situation when the stock dropped 12/30. 12/31 the stock traded around $13 -- I was wondering if the stock included the $10.89 dividend or not -- tried to call GYRO couldn't get in touch. I finally got in touch with the CEO on Jan 2 stock is trading with no more dividends attached -- shorted as much as I could through various brokers (which was not much). I hate shorting most things .... I never know what could happen to kick my butt. Theoretically 20+% left of downside. did you cover because of your aversion to shorting? I am having trouble conceiving a scenario where you get materially hurt short here, unless the understanding of DTC/ex-dates is wrong

I don't really get your analogy. You can walk away and go buy another house but there's only one Titanic. Value investors don't like to invest in assets that do not produce cash flow, but I think this bias is a mistake. Assets are assets whether they produce cash or not. In any event, I get your point that the required terms are too onerous. that's fine, but how do you value it? (circular reference to gold jaja)