TO: Massey Ferguson LTD
FROM: Desired Stock A Shareholders
DATE: September 28, 2010
SUBJECT: Evaluation of Massey Ferguson LTD
RELEVANT INFORMATION TO GET SHAREHOLDERS
Massey-Ferguson controlled 17% of the tractor, 14% of combines, and 13% of industrial machinery product sales in the world. In spite of dominance in market, Massey had an salary loss of 240 million in 1980 and a net gain loss of 256. 7 , 000, 000 in 1978. Throughout their attempt at expansion during the seventies, Massey had a D/E ratio of 214%. These were primarily from short term, meaning just read was current debts that had to be paid inside the current working cycle. Canal attempt to gazebind losses simply slowed the approaching deterioration of shareholder benefit. By lates 1970s, shareholders dropped $2. 38 per discuss due to loss on continuing and stopped operations. Poor decisions simply by management in the areas of debt structure, industry penetration, industry positioning and an failure to match production with sales in Third World countries helped attribute to loss in shareholders' benefit. Another component of their mismanagement was many debt covenants entered which prohibited Massey from issuing any new preferred inventory to pay off short term debts and invest in capital projects.
Argus Organization owned a controlling involvement in Massey-Ferguson together 50% charge of the Plank of Company directors. The refusal of Devis to take a block of shares, and many statements unveiled by Conrad Black proven a no confidence in Massey, as well contributing to the devaluing of stock. Via 1976 to 1980, Massey lost 69% of their market value.
Tips for Massey-Ferguson
We expect that the business should continue but with a restructuring of management. Investors need to vote for a takeover of Massey-Ferguson. Argus not simply holds sixteen. 5% of outstanding stocks but 33% of Table of Governors seats in Massey. The last two of the three years Massey has suffered net income failures close to 500 million. More than a three and a...