Citi’s $900M Whoopsie

Back in August of 2020, so roughly 3 years ago by my calculation, Citi, as Administrative Agent for a loan that was in the midst of restructuring for Revlon, accidentally wired a bunch of the participants $900M. Citi said it meant to pay several months of accrued interest on the loan that totaled ~$9M, but… Continue reading Citi’s $900M Whoopsie

New Normal: 2% AVERAGE Inflation

Ah, late Summer, when you start feeling sad that the warm and sunny carefree days are close to an end, the evenings spent on the back patio will soon require a fire and a sweater, and you turn your attention to Fall. But before you can truly start growing that seasonal beard in earnest, there's… Continue reading New Normal: 2% AVERAGE Inflation

Will United Airlines Go Bankrupt?

I'm going to do it: The worst sort of business is one that grows rapidly, requires significant capital to engender the growth, and then earns little or no money. Think airlines.- Warren Buffett ... if a far-sighted capitalist had been present at Kitty Hawk, he would have done his successors a huge favor by shooting Orville down.- Warren Buffett There,… Continue reading Will United Airlines Go Bankrupt?

Bankrupt: Pyxus International Inc Stock

In 2018 I thought the second lien notes of Pyxus International Inc represented a good reward to risk ratio. 2 years later and it turns out I was completely wrong as Pyxus International Inc stock went to 11 cents per share and the second lien notes were offered 2 cents on the dollar in a prepackaged Chapter 11 bankruptcy.