Otelco - Income Deposit Securities (MM) (OTT) News

OTTV and AVIR for this week. Bullish. Retracements work both ways. Heads up on AVIR. Target 5.00 now .55 Just being manipulated, like OTTV.

Reading what happened, they just turned the debt portion of the IDS into equity and cancelled the equity portion.

Effectively they have turned the hybrid debt/equity shares into straight equity.

It seems like the value of the shares depend on the companies ability to pay back all of its debt.

The company increased cash by $5 Million in last quarter.

According to what has been provided, 75% of cash coming in will be used to pay the debt.

For simplification purposes, will say that $4 Million each quarter will be used to reduce the liability.

Given that their is 2 Quarters in 2013, 4 in both 2014 and 2015 and another last one before the debt is due ... and assuming that they bring $4 Million in each quarter .... They will reduce the debt to 133.4 - 44 = $93.4 Million

So, we are still looking at a bleak picture, and given that the company will not have the ability to finance new growth ... things don't look that good.

Yeah i like these plays.. ziop finally moved as well, this should have a lot more upside.

Nice! I missed the first spike up but managed to pick some up on the dip @ 2.50...

This could become a nice runner from here.imo

OTT bk emergence

why is this up? http://articles.chicagotribune.com/2013-03-25/business/sns-rt-us-otelco-bankruptcybre92o03z-20130324_1_senior-lenders-bankruptcy-plan-time-warner-cable

BK!

Might drop a bit when it get the "Q" next week imo.

Or..... Double again for no reason LOL.

I do get it there filing ch11 yet she flyn up 50%

Nice 30% gain and climbing:

http://www.sec.gov/Archives/edgar/data/1288359/000118811213000222/d30146-8k.htm

OTT CHART just a matter of time

Is OTT about to file for bankrupcy?The drop in stock price is scary.

COULD START MOVING UP RIGHT NOW.THEY GOT TO BE WORKING ON NEW CONTRACTS.

It seems like this board is pretty dormat, I'm new to OTT and curious to know if there's anyone out there that has any decent input on this company. I was initially drawn to OTT because of the dividend and the cnbc article that was recently published and would like to invest more depending on the next quarter results. Any information that could be offered would be appreciated. Thanks.

LOOKS TO REBOUND FROM LAST WEEK ,BACK OVER $3.OO THIS WEEK .GET IN NOW AND ENJOY THE RIDE UP

Nice flag formation, just waiting for reversal.

looks like it has bottomed out,selling has slowed down drastically. look for upward movement

way oversold ready to bounce back up again this week.

Bouncing off the 50 dma, 2.48:
So predictable those algorithyms.
One last pump from deep pockets then i move on to the next thief.
thief? Sorry, bad typo the efficient management

See, the shares of OTT are a hybrid of equity and debt.

The company has exercised its right to suspend the interest payment on the debt portion that holders of OTT hold.

In actuality they can not pay the interest portion up to 4 times in total and 2 times consecutively.

The company also has a large debt to GE that is due in 2013 (October, I believe).

Here is something from the annual report:

"We Have a Significant Amount of Debt Maturing in October 2013.
We currently have outstanding $162.0 million of debt under our senior credit facility that matures in October
2013. We will be in default under the senior credit facility if we are unable to refinance this debt at or prior to its
maturity. There can be no assurance that market conditions will allow us to refinance this debt at or prior to its
maturity on terms that are acceptable to us, or at all. Any such refinancing may contain covenants that could limit
in a significant manner our ability to pay interest on our senior subordinated notes and dividends on our common
stock."

Do you think someone will lend them more money when they have been eviscerated?

If you look at the chart, it is pretty obvious that someone pumped this stock up to unload.

I am not a short, I did buy the shares at $2.20 and sold above $3

The technicals lined up and I took the trade, fundamentally though, this stock is toast.

Institutions always pull this stuff to unload positions.

Interest payments have been suspended.

explain please...

Back in to close the gap they created this morning.
Small amount though.

Agree with all the negatives there.
Looks like deep pockets moving this pos.
They created a gap pm this morning, i didn't like that.
Personnaly i sold everything this morning.

Just trying to see why the stock rose.

There is a number of negatives here.

Something doesn't smell that great here.

Like I said before:
- Large contract terminated
- Common dividend eliminated (for now)
and
- Interest (on the debt that shareholders own) has been suspended.

These things make the company not a very good buy on a fundamental basis, but like I said before, the stock looks (or looked) good on a technical basis.

OTT.UN? Volume is anemic there:

No shorting for shure

http://www.quotemedia.com/results.php?qm_page=51204&qm_symbol=OTT.UN:CA

Nevermind, the short interest is also 0 on the TSX side.

Anyways, it should be interesting to see how this plays out.

Can anyone get the short data for OTT.UN (this trades on the TSX)

The american short interest is essentially nothing.

But perhaps there is something on the Canadian side?

But what is the cause of the run?

Dividend has been cut.

Interest payments have been suspended.

Contract with Time Warner cancelled.

I hate to say it, but this stinks.

I bought some at $2.20 (mainly because it broke the 20 Day EMA)

And was hoping for it to meet the 50-Day SMA (which is at 2.67)

Technically the move is excellent as it has crushed the SMA ....

But fundamentally I don't like it.

Full Disclosure: I sold at $3.05

Nice run so far..hoping for more today

Sounds like my story with FONR

Yep, played it.. Sold too soon. Remarkable run for sure

Otelco to Release 2012 Third Quarter Results

Oct 9, 2012 10:00:01 (ET)

ONEONTA, Ala., Oct 09, 2012 (BUSINESS WIRE) -- Otelco Inc. (OTT, Trade ), a wireline telecommunication services provider in Alabama, Maine, Massachusetts, Missouri, New Hampshire, Vermont and West Virginia, today announced that it will release its 2012 third quarter financial and operational results after the close of trading on Tuesday, November 6, 2012. The Company will hold a conference call to discuss third quarter results on Wednesday, November 7, 2012, at 10:30 a.m. (Eastern Time). To listen to the call, participants should dial 719-325-2495 approximately 10 minutes prior to the start of the call. A telephonic replay will be available from 12:30 p.m. (Eastern Time) on November 7, 2012 through November 18, 2012 by dialing (719) 457-0820 and entering Confirmation Code 8646648.

The live broadcast of Otelco's quarterly conference call will be available online at www.OtelcoInc.com or www.earnings.com on November 7, 2012, beginning at 10:30 a.m. (Eastern Time). The online replay will be available at approximately 12:30 p.m. (Eastern Time) and continue for 30 days.

ABOUT OTELCO

Otelco Inc. provides wireline telecommunications services in Alabama, Maine, Massachusetts, Missouri, New Hampshire, Vermont and West Virginia. The Company's services include local and long distance telephone, network access, transport, digital high-speed data lines and dial-up internet access, cable television and other telephone related services. With approximately 100,000 voice and data access lines, which are collectively referred to as access line equivalents, Otelco is among the top 25 largest local exchange carriers in the United States based on number of access lines. Otelco operates eleven incumbent telephone companies serving rural markets, or rural local exchange carriers. It also provides competitive retail and wholesale communications services through several subsidiaries. For more information, visit the Company's website at www.OtelcoInc.com .

SOURCE: Otelco Inc.

Otelco Inc.
Chief Financial Officer
Curtis Garner, 205-625-3571
Curtis@otelcotel.com

http://stockcharts.com/h-sc/ui?s=ott

when OTT will turn direction off industry avg !!! This will be very interesting imo :))))

From downgrade article 10aug 2012 untill now the PPS had a beating from +$7 to lower $2....tick tock tick tock

............The gross profit margin for OTELCO INC is rather high; currently it is at 56.90%. Regardless of OTT's high profit margin, it has managed to decrease from the same period last year. Despite the mixed results of the gross profit margin, OTT's net profit margin of -518.00% significantly underperformed when compared to the industry average................

http://www.thestreet.com/story/11660074/1/otelco-inc-income-deposit-secs-units-cons-stock-downgraded-ott.html?puc=yahoo&cm_ven=YAHOO

GLTYA

I'm curious how this one will move this week...well I have a direction in mind ! :)))

Crazy move.. radar'd for tomorrow

OTT got some at 1.68. A nice pincherplay is forming here and it looks she ready to go up next week.

nice move!, monday will be good $2.45 hope!

Nice move today, this can confirm the uptrend race

what do you think about OTT target!!??

ohh wait EPS!!!! nice !!!!

so you earnings is above 1000% ??

NOOOOOOOOOOO Cuban - the .18 was the eps - a totally different discussion.

52-Week Range





Key Statistics


Market Cap

56.98M


Shares Outstanding

13.22M


EPS

-9.54


Dividend (Yield)

$0.98 (22.6%)


Float

13.15M


Inst. Own

20%



Valuation Ratios


Price / Earnings

18.00


Price / Sales

0.56


Price / Book

0.00


Price / Cash Flow

2.40



Financial Strength


Quick Ratio

2.50


Current Ratio

2.80


LT Debt/Equity

0.00

Chart look AWESOME. GREAT, AMAZING!!!

http://stockcharts.com/c-sc/sc?s=OTT&p=D&b=5&g=0&i=t15104108323&r=1345735097758

13 millions O/S means BUY+STRONG HOLD!!!!

BOOM 2.00!!! and rising!!, this just started today!! more green days coming!!

Nice support @ 1.90!!

30 days lower, i think is time to bounce??

you mean $1.8