Friday, October 31, 2014

From Walter Energy Inc Earnings Q3 2014 Earnings Call $WLT

From the Q3 conference call this week:

Q: Timna Beth Tanners: I just wanted to ask two questions. One is just a clarification on something you said earlier. I just wanted to make sure I heard you right, that you're still looking for ways to cut SG&A and that you're still considering possible debt for equity swaps. Is that - was that what I heard?

A: William Harvey: Yes.

A: Walter J. Scheller: Well, we're always looking at ways to cut SG&A, and we're not going to stop at $70 million. We're going to continue to squeeze every penny out of that that we can squeeze out of it. And on the equity swaps I'll let...?

A: William Harvey: Yes. Yeah. No, you're right on both counts.
They have such a big interest burden:
"Prospectively, given our recent financing activities, our annual interest expense is expected to be roughly $310 million, of which $265 million is cash."

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