Henry Blodget's fears about the company's cash flow
may be sounder than first thought. The company is raising over $200 million by mortgaging its share of the brand new Eighth Avenue headquarters. That seems to indicate that they're anticipating a cash flow problem next year.
Or you could read it the other way.
If a bank will offer you a mortgage today, not only must the building be likely to hold its value at well over the sum offered; but also you must have demonstrated that your future cash flow is so strong that there is no foreseeable likelihood of your not meeting the payments.
Could the NYT be getting cash in hand in order to buy up a bargain or two in the coming year?
Maybe Rupert Murdoch will buy them.
Dare to dream!!
The article is really helpful and quite informative. To learn more you can also visit Mortgage Reference.