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Brown Cafe UPS Forum
UPS Union Issues
UPS to increase debt by $10 billion
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<blockquote data-quote="tieguy" data-source="post: 289457" data-attributes="member: 1912"><p><span style="color: blue">Meanwhile the oil prices have been in constant turmoil well prior. Concerns about the economy well prior to these dates. Interests rates, inflation concern about a slow christmas peak season well prior. Yet the stock stayed up in the 71 through 73 range through all that. then the stock takes a huge drop thus my comment that long term investors were possibly starting to read through and absorb the huge cost behind this contract and dumping the stock. That 6.1 billion dollar hit is going to scare people away from this stock as we go along. I imagine we will be getting tempered earnings expectations soon due to the slowing economy. Some analysts will then try to read between the lines and throw the labor contract in there as a reason. This company is gambling that that 6.1 billion will be well spent in the long run. They have lost their top credit rating and they are now getting ready to absorb 10 billion dollars worth of debt. All of these are reasons the stock took a huge drop not the other factors which were present before.</span></p></blockquote><p></p>
[QUOTE="tieguy, post: 289457, member: 1912"] [COLOR=blue]Meanwhile the oil prices have been in constant turmoil well prior. Concerns about the economy well prior to these dates. Interests rates, inflation concern about a slow christmas peak season well prior. Yet the stock stayed up in the 71 through 73 range through all that. then the stock takes a huge drop thus my comment that long term investors were possibly starting to read through and absorb the huge cost behind this contract and dumping the stock. That 6.1 billion dollar hit is going to scare people away from this stock as we go along. I imagine we will be getting tempered earnings expectations soon due to the slowing economy. Some analysts will then try to read between the lines and throw the labor contract in there as a reason. This company is gambling that that 6.1 billion will be well spent in the long run. They have lost their top credit rating and they are now getting ready to absorb 10 billion dollars worth of debt. All of these are reasons the stock took a huge drop not the other factors which were present before.[/COLOR] [/QUOTE]
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UPS to increase debt by $10 billion
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