If you where a shareholder on Monday, Nov. 20th, then you where one of the current shareholders referred to in this analysis.

If you were holding onto your shares into YRCW's earnings report on Friday, Oct. 30th then you were trading on hope.

You were Monday's current shareholder.

You most likely own YRCW at a much higher price (over 6.00).

You had plenty of opportunity to cover your losses from 9/23 to 10/30.

That's right. If you're going long and the stock is going against you, you cover your losses.

It seems that a lot of people on this board are overly occupied with "the shorts", and the shorts covering their losses.

Trying to capture a short squeeze.

There's one person thats always posting "here shorty, here shorty". (he's a lot of help)

First of all, do you even know who the shorts are?

How 'bout the major holders for one, How 'bout Wells Fargo. They hedge their long position by going short.

How 'bout profesional traders that always take both sides of the trade.

That big sell-off on Monday, that was institutional money getting out.

They got out, while the novice investor stayed in.

Who's the novice investor?

The guy that keeps posting "here shorty".

And that's the current shareholder -- the novice.

Now, if someone wanted to get in here, at 1.00 or 1.25, that might be okay. You can get in now and start to build yourself a potition.

You're not a current shareholder, you're a new shareholder.

Remember, only the current shareholders got screwed. Current as of Monday, Nov. 2. The investors that were waiting and hoping for a short squeeze -- the "here shorty" guy.

Those shareholders will have to wait and hope for YRCW to move higher only to break even.

The irony here is that, according to the aforementioned article, and I quote, "The company needs current shareholders’ approval because it doesn’t have the authority to issue that many new shares..."

Without current shareholders approval the deal will not go through, if the deal does not go through, current shareholders lose all their stocks value through an inevitable bankruptcy.

If current sharholders approve the deal, they will have their shares diluted to only 5 percent ownership.

Still not the end of the world, and given the fact that the new owners would want to someday sell their shares at a much higher price, they have all the insentive to get this stock price higher. But it will take time.

However it would have been much easier to get out at 4, 5, or even 6 (even if you owned it from a higher price). Then if you really wanted to own this stock you could get in now at 1.00. Just realize it still can go lower from here.

I watched some of the trading on this board, and It's just foolish.

The fact that so many were waiting for a short squeeze is a joke. Especially in light of the fact that they seemed to have been squeezed on the long side themselves.

Current shareholders, left holding the bag. Again.

Learn how to trade or you'll go broke, and don't worry about the shorts, worry about youself.

If you were paying attention you would have gotten out before Friday, and you would not have been a current shareholder on Monday. You may have even taken a short position yourself. But that's not as important as just getting out.

Congrats' to those that knew better and got out before Friday. Good trade.

......

Article Posted on Mon, Nov. 02, 2009

YRC is seeking big concession by shareholders
By MARK DAVIS
Link: http://www.kansascity.com/105/story/1545...

“In the end, we view today’s announcement as an out-of-court restructuring and a positive for (the company’s) long-term viability, at the expense of current shareholders,” analyst Lee Klaskow wrote in a report for Longbow Research.