Sunday, November 29, 2015
Hanging out in Madrid: the broker-sales-pitch-slide-deck from hell
The best story though is Ciudad Real Airport - a true financial disaster south of Madrid - an international airport that never took an international flight and for which there was no obvious use.
A while back the BBC reported the airport sold at auction for 10,000 Euro - less than 0.001% of the construction cost.
And maybe that was true.
But I am in possession of a pitch deck for the airport from the days brokers thought they might recover some of the costs. It is perhaps the funniest artefact I know of the bubble.
So here is your "Strategic Airport Opportunity".
It is an "Unprecedented Opportunity to Secure Aviation Asset for US in Europe".
After all it has a power station, fire station and fuel depot and is larger than any US base in Europe.
There was "tacit government approval for a US presence" which made you wonder why a two-bit broker was selling this fine asset.
And the location was truly strategic:
It appears to be a two hour flight from lots of important places.
Just to make this seem real Transoceanic Abort Landings has an acronym: TAL.
And just to gee-up interest we are told of other interest.
The US military was reportedly interested.
Lehman Brothers was going to buy it for $2.8 billion. Now the price is halved.
And the Arabic Royal Family will likely buy it if the US does not show interest.
It seems that Spanish Airports are like regional Chinese apartment buildings - where capital goes to die.
Thursday, November 26, 2015
Valeant affiliates still setting up and operating bogus pharmacies
Short sellers have been making false, unsubstantiated claims about Valeant for months in an attempt to drive down our stock price, and today’s allegations also contain significant inaccuracies. Valeant has already disclosed that 7.2% of our sales this year through the third quarter went through specialty pharmaceutical channels, and that has not changed. As we have said, in October we decided it was appropriate to sever our relationship with Philidor after allegations about their business practices came to light. The entities mentioned today appear to have been formed on or prior to 8/18/2015, based on public records. Furthermore, our board of directors has appointed an ad hoc committee to review allegations related to Valeant’s business relationship with Philidor and related mattersThere is no denial the entities were set up either by Valeant or Valeant associates.
They can't and don't deny that because it is the truth.
But they deny that they are still setting up or running these pharmacies. I could have fun with that assertion - lists of transactions if they want.
However one will do. A chess named pharmacy from that list (ELO Pharmacy) registered in Illinois on 28 October - after the Philidor expose.
Here is a screen shot.
It is in chess 50 moves without pawn-move or capture until we declare a draw.
My claims are neither false nor unsubstantiated.
And you dear Valeant management have a problem.
On fifty moves without pawn-move or capture: we just reset the clock.
Philidor 2.0: Valeant and Stephen King play Chess with a lot of pharmacies
U.S. IMS data will cover less than 30% of Valeant’s business and, for that portion of Valeant’s business IMS covers, the IMS data will not properly collect sales through a numbers of channels (e.g., specialty pharmacy, physician dispensed sales, corporate accounts, and alternative fulfillment).
We know pharmacies outside the Philidor web: the proxy captive pharmacies extend beyond Philidor.
But the scale of Philidor problems is not widely understood and has not been disclosed to the market. I doubt Mr Ackman would have adopted his Martingale strategy had he fully understood.
So lets start.
All these pharmacies were registered in Delaware. Many are named after chess terms (as are many previously disclosed Philidor entities) but we are also noting a distinct Stephen King theme.
|Entity||State||Entity ID||Registered Agent||Notes|
|Fifty Moves, LLC||DE||5640758||Corporation Service Company||Chess term: Fifty Move Rule|
|ELO Pharmacy, LLC||DE||5762328||Corporation Trust Company||Chess term: ELO ranking system|
|C-K Pharmacies, LLC||DE||5762330||Corporation Trust Company||Chess term: The Caro-Kahn defence|
|Tarrasch Pharmacy Holdings, LLC||DE||5762881||Corporation Trust Company||Chess term: Tarrasch was a great player|
|NC3 Pharmacy, LLC||DE||5770687||Corporation Service Company||Chess term: The rarely used Dunst Opening|
|Lasker Pharmacies, LLC||DE||5770702||Corporation Service Company||Chess term: After the great player and theorist Emmanuel Lasker.|
|B&W Pharmacies, LLC||DE||5770706||Corporation Service Company||Black and White: the usual colours of chess pieces.|
|NC3 Pharmacy Holdings, LLC||DE||5770708||Corporation Service Company||Another Dunst Opening reference|
|Knight & Knight Pharmacies, LLC||DE||5770718||Corporation Service Company||Chess Knights I presume.|
|First Rank Pharmacies, LLC||DE||5770741||Corporation Service Company||Another entity is called "Back Rank: another chess term.|
|Forsta, LLC||DE||5774549||A Registered Agent, Inc.||Entity by same name sought wholesale pharmacy registration in AZ with Gary Tanner (Owner) and Jacob Power (Pharmacist-in-Charge), both ex-Philidor/VRX|
|Charmberlain Pharmacy, LLC||DE||5775980||Corporation Service Company||Named for a favourite Stephen King location...|
|Mears Pharmacy, LLC||DE||5775991||Corporation Service Company||Named for a repeated Stephen King character...|
|Marsten House Pharmacy, LLC||DE||5775997||Corporation Service Company||Named for a key location in Salem's Lot. Notably a symbol of evil.|
|Torrance Pharmacy, LLC||DE||5776000||Corporation Service Company||Named for key characters in The Shining.|
|Overlook Pharmacy, LLC||DE||5776004||Corporation Service Company||The Hotel in The Shining.|
|Topiary Pharmacy, LLC||DE||5776008||Corporation Service Company||Topiary animals in The Shining.|
|Hallorann Pharmacy, LLC||DE||5776022||Corporation Service Company||Named for the chef at the Overlook Hotel in The Shining.|
|Decker Pharmacy, LLC||DE||5776025||Corporation Service Company||Possibly named for another Stephen King character...|
|Twinner's Pharmacy, LLC||DE||5776026||Corporation Service Company||Named for Stephen King's repeated doppleganger meme.|
|Parkus Pharmacy, LLC||DE||5776027||Corporation Service Company||A Stephen King character in The Talisman.|
|Halleck's Pharmacy, LLC||DE||5776029||Corporation Service Company||Named for another major Stephen King Character.|
|Flagg Pharmacy, LLC||DE||5776032||Corporation Service Company||Randall Flagg is a major Stephen King Character|
|Derry Pharmacy, LLC||DE||5776033||Derry is a repeated location in Stephen King novels.|
|Pennywise Pharmacy, LLC||DE||5776037||Corporation Service Company||Pennywise the Clown is a recurring Stephen King character.|
|Plymouth Pharmacy, LLC||DE||5776038||Corporation Service Company||The iconic Stephen King car in The Shining and others was a Plymouth.|
|Hanscom Pharmacy, LLC||DE||5776039||Corporation Service Company||From Ben Hanscom, a Stephen King character|
|Trips Pharmacy, LLC||DE||5776042||Corporation Service Company||From Captain Trips, a virus that exterminates most the human population in The Stand, a Stephen King novel.|
|Delain Pharmacy, LLC||DE||5776044||Corporation Service Company||From Delain, a mythical Stephen King domain.|
|Creed Pharmacy, LLC||DE||5776045||Corporation Service Company||From Louis Creed, the main character in a Stephen King novel.|
|Odetta Pharmacy, LLC||DE||5776046||Corporation Service Company||From Odetta Holmes, a recurring Stephen King character|
|Hemingford Pharmacy, LLC||DE||5776047||Corporation Service Company||From Hemingford Home, a Stephen King location.|
|Ludlow Pharmacy, LLC||DE||5776048||Corporation Service Company||From Ludlow Maine, a Stephen King location.|
|Crandall Pharmacy, LLC||DE||5776050||Corporation Service Company||From Jud Crandall, a Stephen King character.|
|Sheldon Pharmacy, LLC||DE||5776053||Corporation Service Company||From Paul Sheldon, a major Stephen King character.|
|Freemantle Pharmacy, LLC||DE||5776054||Corporation Service Company||From Abagail Freemantle, a major Stephen King character.|
|Revlowe Pharmacy, LLC||DE||5776055||Corporation Service Company||Presumably from the Reverend Lowe in the Cycle of the Werewolf.|
|French Landing Pharmacy, LLC||DE||5776058||Corporation Service Company||The location in Black House, a Stephen King novel.|
|Wilkes Pharmacy, LLC||DE||5776059||Corporation Service Company||From Annie Wilkes, a Stephen King character.|
|Henreid Pharmacy, LLC||DE||5776060||Corporation Service Company||Possibly from Lloyd Henreid, a minor Stephen King character.|
|Beaumont Pharmacy, LLC||DE||5776062||Corporation Service Company||From Thaddeus Beaumont, another Stephen King character.|
|Sawyer's Pharmacy, LLC||DE||5776064||Corporation Service Company||From Jack Sawyer, another Stephen King character.|
|DH Stark Pharmacy, LLC||DE||5776065||Corporation Service Company||Possibly short for Dark Half from the novel of the same title. George Stark is the major character.|
|Shardik Pharmacy, LLC||DE||5776066||Corporation Service Company||Shardik is one of the twelve guardians of the Beams that hold up the Dark Tower (again a Stephen King reference).|
|TCM Pharmacy, LLC||DE||5776067||Corporation Service Company||We are fairly sure this is associated - but have not worked out the link.|
|Burlingame Pharmacy, LLC||DE||5776070||Corporation Service Company||Jessie Burlingame is a major Stephen King character.|
|Lauder & Cross Pharmacy, LLC||DE||5776071||Corporation Service Company||Try these names...|
|Claiborne Pharmacy, LLC||DE||5776072||Corporation Service Company||Dolores Claiborne is a Stephen King novel.|
|Edgecombe Pharmacy, LLC||DE||5776073||Corporation Service Company||From Paul Edgecombe, who used to run Death Row in a Stephen King novel.|
|Georgia Pines Pharmacy, LLC||DE||5776074||Corporation Service Company||Georgia Pines is a retirement home in Stephen King novels.|
|Garraty Pharmacy, LLC||DE||5776075||Corporation Service Company||From Ray Garraty, another Stephen King character.|
|Cold Mountain Pharmacy, LLC||DE||5776076||Corporation Service Company||The Cold Mountain Penitentiary is where Paul Edgecomb ran death row.|
|Coffey's Pharmacy, LLC||DE||5776078||Corporation Service Company||John Coffey is another Stephen King character.|
|Stillson Pharmacy, LLC||DE||5776079||Corporation Service Company||Steve Stillson is the President of the United States in a Stephen King novel.|
|Rainbird Pharmacy LLC||DE||5776080||Corporation Service Company||John Rainbird is a Vietnam Veteran in a Stephen King novel.|
|Longmont Pharmacy, LLC||DE||5776083||Corporation Service Company||Longmont VA is a location in the Stephen King novel, The Shop.|
|Dawes Pharmacy, LLC||DE||5776086||Corporation Service Company||Barton George Dawes is another Stephen King character.|
|Castle Rock Pharmacy, LLC||DE||5776088||Corporation Service Company||Castle Rock Maine is a location of paranormal activity. I guess like a Valeant pharmacy.|
|The Shop Pharmacy, LLC||DE||5776089||Corporation Service Company||The Shop is a secret Government Agency in Stephen King novels. I guess this is a secret Valeant agency.|
|Cambers Pharmacy, LLC||DE||5776096||Corporation Service Company||Joe Cambers, a Stephen King character runs an auto-repair shop in Castle Rock. Probably another paranormal shop.|
|McGee's Pharmacy, LLC||DE||5776099||Corporation Service Company||Charlie McGee, a Stephen King character, has pyrokinetic powers - perhaps they include ripping off insurance companies.|
|Juco Pharmacy, LLC||DE||5776103||Corporation Service Company||A nickname for Joe Cambers rabid family dog.|
|Roland's Pharmacy LLC||DE||5776108||Corporation Service Company||Roland Deschain, a major Stephen King character.|
|Tower Pharmacy, LLC||DE||5776110||Corporation Service Company||Possibly a reference to The Dark Tower, a Stephen King novel.|
|Hawkmarten Pharmacy, LLC||DE||5776111||Corporation Service Company||We think this is one of the many aliases of Joe Flagg. Suggestions accepted.|
|Carrietta Pharmacy, LLC||DE||5776115||Corporation Service Company||The full first name of Carrie, of the infamous Stephen King novel.|
|PBG RX Pharmacy, LLC||DE||5794828||Corporation Service Company||We have not found the reference here. The registration details make us think it is related.|
|Decker Pharmacies, LLC||DE||5794834||Corporation Service Company||Another reference to Decker.|
|French Landing Pharmacies, LLC||DE||5794836||Corporation Service Company||Another reference to French Landing.|
|NC3 Pharmacies, LLC||DE||5794839||Corporation Service Company||See the above chess reference.|
|C-K Pharmacy, LLC||DE||5794840||Corporation Service Company||See the above chess reference.|
|ELO Pharmacies, LLC||DE||5794842||Corporation Service Company||See the above chess reference.|
|Roland's Pharmacies, LLC||DE||5794844||Corporation Service Company||See the above reference to Roland Deschain.|
|Hemingford Pharmacies, LLC||DE||5794849||Corporation Service Company||See the above reference to Hemingford Home|
|Flagg Pharmacies, LLC||DE||5794852||Corporation Service Company||Joe Flagg again.|
|Overlook Pharmacies, LLC||DE||5794854||Corporation Service Company||The hotel in the Shining again. Do we see a recurring theme.|
|Fischer Pharmacy Holdings LLC||DE||5805160||Corporation Service Company||Surely a reference to Bobby Fisher, world Chess Champion|
We are just playing with one State here.
There are pharmacies in other states. And they are all we think related to Valeant.
But here is the gem. The registration of false pharmacies continued AFTER Philidor was exposed and after Valeant said that they would stop doing business with Philidor.
And the people on registration documents are also often on the pay roll of Valeant (not Philidor).
I hope the longs can explain that inconvenient fact away - because it is not obvious how you do that.
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