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    Rich Hill

    Research Analyst at Morgan Stanley

    Rich Hill's questions to CBL & ASSOCIATES PROPERTIES (CBL) leadership

    Rich Hill's questions to CBL & ASSOCIATES PROPERTIES (CBL) leadership • Q4 2019

    Question

    Rich Hill from Morgan Stanley asked for an update on capital allocation strategy, particularly concerning the balance sheet, including options like refinancing, loan modifications, and senior unsecured note buybacks.

    Answer

    CEO Stephen Lebovitz emphasized that improving the balance sheet is a top priority, guided by the new Capital Allocation Committee. He stated the immediate focus is on secured debt maturing in 2020 and 2021, highlighting the recent payoff of two loans with 25% debt yields. He also noted that suspending the dividend was a difficult but necessary decision to preserve cash for redevelopments and revenue stabilization.

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    Rich Hill's questions to CBL & ASSOCIATES PROPERTIES (CBL) leadership • Q4 2019

    Question

    Rich Hill asked for an update on the company's capital allocation strategy, specifically concerning balance sheet options like refinancing, loan modifications, and potential debt buybacks.

    Answer

    CEO Stephen Lebovitz stated that improving the balance sheet is a top priority, with the immediate focus on addressing secured debt maturities in 2020 and 2021. He highlighted the recent payoff of two loans with high debt yields to increase the unencumbered asset pool and emphasized that suspending dividends was a difficult but necessary decision to preserve cash for redevelopments and leasing.

    Ask Fintool Equity Research AI