So...we just paid double the estimated price for part shares in an old hydro dam, eh? And where are Canwest and the CBC on this corrupt deal, other than no where?
But that price is significantly more than what stock analysts thought Teck might get, leading New Democratic Party energy critic John Horgan to wonder if the publicly-owned company was bailing out a big B.C. Liberal Party donor.
"That's where they met," said B.C. Hydro spokesperson Susan Danard while explaining the price was reached after weeks of negotiations. "For us, we feel it's a good value to our ratepayers."
"We obviously arrived at a price both parties are happy with, that we think is fair," said Greg Waller, the Vice-President Investor Relations and Strategic Analysis for Teck. "We think it's a very good transaction for the people of B.C.," he said, adding the company did well too. "It's a good transaction for us."
But John Hughes at Desjardins Securities was quoted [2] in early May saying Teck might get $500 million for a stake in Waneta.
And Tony Robson at BMO Research had the value even lower, at about $425 million.
As a BMO research note on the sale put it, "B.C. Hydro's price for the asset is well above BMO Research's C$425M valuation of the available excess power." BMO is using a 10 per cent nominal discount rate [3], the research note said, "which may well be higher than [the rate] used by utilities in valuing assets, hence resulting in a higher transaction price."
http://thetyee.ca/News/2009/06/26/BCHydroDamDeal/ [4]
Links:
[1] http://www.bchydro.com/news/articles/press_releases/2009/bchydro_plans_to_purchase_one_third_interest_in_waneta_dam.html
[2] http://www.mineweb.com/mineweb/view/mineweb/en/page67?oid=82986&sn=Detail
[3] http://en.wikipedia.org/wiki/Discounted_cash_flow
[4] http://thetyee.ca/News/2009/06/26/BCHydroDamDeal/
[5] http://rabble.ca/print/babble/western-provinces/bc-residents-get-taken-close-half-billion-bc-hydro-deal#comment-1035532
[6] http://rabble.ca/print/babble/western-provinces/bc-residents-get-taken-close-half-billion-bc-hydro-deal#comment-1035613
[7] http://rabble.ca/print/babble/western-provinces/bc-residents-get-taken-close-half-billion-bc-hydro-deal#comment-1036766
[8] http://rabble.ca/user
[9] http://rabble.ca/user/register
6 years in and no one even cares about our own legislative building being raided....LOL
Yes
Unless the sheeple are actually pulled from the collective trough no one cares about anything.
In my issue....I liken it to an aggressively strong puppy being pulled from its mothers teet...POP!!
As they call me at 2 in the morning to say their son or daughter were in jail for pot possession...and could I please help with what I had said in that last political speech.
Just look at how few have even responded here....
Yep.....just little ol me
Who you consider a kook....LOL
I think campbell could shoot just james and get away with it .....yes.....if global handled the media as per usual.
Thanks for the info as some of us do pay attention.
Yes, I see your point! :0
As I also note today, not one person has mentioned the fact here that it has been announced that the Harper government's actual deficit is 150 billion dollars, not 50 billion.
I didn't know that but it wasn't hard to guess as the Conservatives have made it pretty clear which leg they stand on and it isn't the right one if you know what I mean. As it is clear to see as Feds use tax incentives to help their buddies out as certain major coporations not only don't pay their share of taxes there are loads of incentives tax payers pay to help them all out along with land developers as over loading cities takes its tole on pollution.