Just Sold Tribune

By Joe Ponzio on December 20, 2007 | 11 comments

At $33.67, there is almost no upside and big potential downside if the deal falls apart last second. Just wanted to let you know that I sold TRB. Remember Buffett's rule: Don't lose money. There is very little risk left, but the few pennies on the upside do not justify the many dollars on the downside.

Just thought you'd like to know my thoughts.

Written by Joe Ponzio on December 20, 2007

Joe Ponzio is the managing partner of the Ponzio Investors Funds and owner of Ponzio Capital Inc, a registered investment advisory and deep value portfolio management firm. The author of F Wall Street (the book and the website), his articles have appeared in hundreds of financial media, including Financial Planning Magazine, CNBC.com, Yahoo! Finance, and Reuters. He has appeared numerous times nationally on both radio and television, and has presented at universities and seminars across the United States.

Read more articles like this online at www.fwallstreet.com.
To learn more about Joe's portfolio management services, visit www.ponziocapital.com.

Also Filed Under "Workouts, Arbitrage, & Hedges"

The Discussion

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J
Dec 20th, 2007

Agree. I sold my position and am now researching and waiting for new opportunities.

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(MikeR)
Dec 20th, 2007
71 comments

Joe,

Thank you very much for pointing out the TRB arbitrage play.

Thank you sir, may I have another?

LOL

Mike

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CD
Dec 20th, 2007

Thank You Joe. Good learning experience for real deal. It worked out at final. But, in terms of chance what probability and how you were assigning for the deal to go through when you published your last post? If you could explain your raitonale , it would be helpful to go through.

Thanks,
Happy Holdiays,
CD.

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bug
Dec 20th, 2007

Surprisingly, I sold TRB at $34. I wonder who was dumb enough to buy my limit order at $34... and how is that person going to make any money out of it.

The reason for selling - my broker would charge me $20 for mandatory tendering of shares. Selling it in the open market costs just $9.99. Just trying to lower my transaction costs.

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Mark
Dec 21st, 2007
17 comments

Hi Joe,

Love the site and is very helpful and learning tons. Just wondering with CD on how you find these abritrage deals and what info lend you to beloeve they will happen. I have found the most current info on steetinsider.com.
How do you know or find supporting research that a M&A deal will go through? The only usual headline I find before the stock changes is company XYZ hires a an analyst to help "discover" how to increase shareholder value. How to you research more into a deal? What do you look for.

Thanx again for the great site!!!!
mark

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Peter Nguyen
Dec 21st, 2007
6 comments

I can't sell TRB anymore? How come...

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kfh227
Dec 21st, 2007
27 comments

I wanted to let you in on a new quote I learned and one that is a new favorite.

"Don't try to pick up coins in front of the bulldozer"

You applied this concept.

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Andy
Dec 23rd, 2007
6 comments

Deal closed that is why you can't sell your position Peter.

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Jeff
Dec 25th, 2007

I sold out about $33.50 on mine.

Even though I owned before you wrote it up- excellent write up before on TRB Joe.

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Peter Nguyen
Dec 26th, 2007
6 comments

I see they sold it for me @ $34.

By the way Joe, how do you evaluate management? What are the concepts & steps do you go through to determine management's competency?

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Joe Ponzio
Jan 8th, 2008

Joe on twitter
Ponzio Capital

I think everything was handled here except Peter's last question: Management. I'll get a post on that soon. Thanks all!

( REPLY | PERMALINK )

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