total debts > market cap, page-6

Dated April 27, 2012

lets recap...

http://www.smh.com.au/business/renowned-shortseller-bets-against-fortescue-20120426-1xo0r.html


PROMINENT hedge fund manager and short-seller Jim Chanos has singled out Fortescue Metals as a ''value trap'' stock, telling a New York conference that shares in billionaire Andrew Forrest's company will fall ''materially''.

In a presentation this month to Grant's Spring Conference, a private investment forum, Mr Chanos, the boss of Kynikos Associates, told investors he feared iron ore miner Fortescue has ''a somewhat promotional management team''.

He singled out the company as the global example of a ''value trap'' in the ''iron ore rush'', adding that he is betting against the company.

''In our hedge fund, we are long BHP vs Fortescue and others,'' Mr Chanos said, according to an account of his presentation in Grant's Interest Rate Observer, the publication of the conference organisers.



Read more: http://www.smh.com.au/business/renowned-shortseller-bets-against-fortescue-20120426-1xo0r.html#ixzz25YyoVkUy