Friday, May 22, 2009

McClatchy shares inch closer to $1 benchmark, closing at 90 cents a share

McClatchy (MNI) shares gained 11 percent Friday, closing at 90 cents a share. Investors continue to like McClatchy's debt exchange plan.

UPDATE: In comments, a reader says no one is buying MNI other than shorts covering.


Anonymous said...

You say that in jest I hope. No investor is liking an offer of 20 cents on the dollar. There isn't anyone buying this stock outside of the shorts covering.

They're in technical default for crying out loud.

Anonymous said...

Just curious, but if it was the shorts covering, then the shorts % that was reported a week or so ago would have significantly dropped correct?

How can we determine if this is the case?


Anonymous said...

There are no investors in MNI. There are only gamblers remaining.

Of course shareholders like it. If this debt exchange works it improves the odds of the shares being worth something.

However, remember that even if McClatchy had $0.00 debt and no interest payments, they still would have lost $11 million last quarter.

My guess is that the debt owners may reject this offer. It is a lousy offer and they would get more in bankruptcy.

Anonymous said...


Short interest is required by the SEC to be reported monthly (if I remember correctly) but the numbers are released on a bi-monthly basis via the NASDAQ for public consumption.

If you wish to know before that time you need to talk to someone that has the ability to see beyond the first tier (total view of all transactions) or know someone who has access to the floor.

Institutions who make their shares available for shorting are listed and well known by brokerages that keep a pool for their members so it is easy enough to find out when they are covering.

The Markets have come a long way, but they still have very far to go in leveling the playing field for non professionals.