They are just panicking and getting out. The magic sub dollar price is looming and people are worried they are going to lose.
Many ppl's bought in above 1.2 as bet and now are getting out today, not wanting to hold in the new year.
CNP have some cash to find, it will be interesting to see if they can keep their company and still keep it viable.
The only reason CNP are having the problems is because the banks are refusing to role over the credit facility. RAM's came back eventually and it had no options but holding the hat out. RAM's is also pure subprime mortgage as Centro has nice safe high paying retailers rentals and leases. With 99% occupancy you cannot ask for a better situation.
The Citi, Merryl Lynch etc. analysts announcement today didnt do the market any favours today least Centro SP.
Lets see what next week holds as I am down 20% at the moment and I still think I got a bargain. The hedgers may be back next week buying.
You dont make a truckload of cash without taking the risk, this is still considered a medium risk by most.
Not a bad deal if you ask me :-)
CNP Price at posting:
0.0¢ Sentiment: Buy Disclosure: Held
