ABX News

[ABXbooger]

What does this mean?

ABX Holdings and substantial shareholder Red Mountain released this press release today:

ABX Holdings and Red Mountain Sign Confidentiality and Standstill Agreement.

Thursday February 7, 4:15 pm ET
WILMINGTON, Ohio--(BUSINESS WIRE)--ABX Holdings, Inc. (NASDAQ:ABXA - News) said today that it has entered into a confidentiality and standstill agreement with Red Mountain Capital Partners LLC, a California investment firm that owns 6.8% of the common shares of ABX Holdings.
The agreement is contained in Red Mountain’s Form 13-D filing today with the Securities and Exchange Commission. In the filing, Red Mountain states that through related entities it is the beneficial owner of 4.3 million of the 62.7 million common shares outstanding of ABX Holdings.
Under the agreement, ABX Holdings has agreed to provide Red Mountain with certain non-public information about ABX Holdings on a confidential basis. Red Mountain has agreed that it will protect the confidentiality of that information, and that while the agreement remains in effect it will not without board approval (a) acquire in excess of 14.9% of the issued and outstanding Common Stock, (b) solicit proxies with respect to any voting securities of ABX Holdings, (c) seek the nomination of any person to the board of directors of ABX Holdings, (d) submit a proposal for any extraordinary transaction involving ABX Holdings, or (e) otherwise seek to control or influence the management, board of directors or policies of ABX Holdings.
Joe Hete, president and Chief Executive Officer of ABX Holdings, said that “Red Mountain shares our goal of enhancing value for shareholders of ABX Holdings, and has long expressed interest in advising us about operations, strategic direction, capital structure and corporate governance matters that may further our shared objective. This agreement provides a means for them to do so on a fully informed basis. We look forward to wide ranging and open discussions with the principals of Red Mountain.”
The agreement will remain in effect through December 31, 2008, unless terminated earlier by either party.

 

[hvydriver]

He may be trying to lower his cost basis, Booger.

 

[fodc8]

Red Mountain is using their stockholder status to force Hete to give up his master plan. In return they have agreed to do nothing with their shares of ABX Holdings.

 

[Jurassic Jet]

It means that Red Mountain was starting to get impatient with Hete. They were probably getting ready to stir up a sh!tstorm.

I personally think Hete has something big up his sleeve and he needs them to remain calm and quiet until it is implemented. This will basically tide them over and allow him to show them the master plan and how it will increase shareholder value far above their desired buyout by Astar.

 

[abxaviator]

Red Mountain is using their stockholder status to force Hete to give up his master plan. In return they have agreed to do nothing with their shares of ABX Holdings.

Not quite nothing, notably, they have agreed not to INCREASE their stake in ABXA to a bit more than double what it is now, without Board approval.

I have long given up on guessing where all this is leading.

BTW, congrats to the ASTAR crews!

 

[AV8OR]

Thanks ABXAVIATOR......let me say it first.....

If/when yall need to picket for your contract, you can bet your sweet %$#&, I and others will be there to walk your line.

Good luck!!

 

[TWA]

This is nothing more than another song and dance to cover their a$$es with the SEC. The limiting of shares purchased has to to with insider trading laws, since the do have access to confidential information. It is also a big hint that there is something huge on the horizon, suggesting the would be interested in buying large volumes of stock after reviewing the information.

Jurassic pretty much sums the rest of it up though, in my opinion.

 

[shooter]

It means that Red Mountain was starting to get impatient with Hete. They were probably getting ready to stir up a sh!tstorm.

I personally think Hete has something big up his sleeve and he needs them to remain calm and quiet until it is implemented. This will basically tide them over and allow him to show them the master plan and how it will increase shareholder value far above their desired buyout by Astar.

master plans! DHL fleet reductions! FedEx news reporter rumors! I need 1 more year Hete/DHL. Just 1 more year and I don't care what kind of plans you guys try to blow out.

Oh the guys at the track would get a kick out of this. I never thought I would have to hedge my job!

 

[Fly Astar Jets]

.... It is also a big hint that there is something huge on the horizon, suggesting the would be interested in buying large volumes of stock after reviewing the information.

Jurassic pretty much sums the rest of it up though, in my opinion.

I agree.

I've said it here before and I'll say it again. Hete is a SOB. But he's a smart SOB. He has done well by you folks in positioning ABXA for growth which translates into security. And he's doing it without having to rely on the largess of DHL. Gotta give credit where credit is due.

FAJ

 

[nitefr8dog]

master plans! DHL fleet reductions! FedEx news reporter rumors! I need 1 more year Hete/DHL. Just 1 more year and I don't care what kind of plans you guys try to blow out.

Oh the guys at the track would get a kick out of this. I never thought I would have to hedge my job!

"never thought I would have to hedge my job" and you work in aviation right?