Oh my, that was fast!

Did anyone follow the demise of OSG? Went from easily making it into next year, much longer with some smart liquidation, to bankrupt in a month. Have to love accounting shenanigans. I was burned in '07 trusting financial statements. Five years later it happens again. I guess I’m going to have to add a new discount category. Board member resigns and the remaining crooks claim they have no idea why he has a problem. Wow! …Feeling small and foolish, but hopefully won’t become trigger shy with the distressed and highly levered.

i think it was very obvious that this company was in trouble. you didn’t get burned by financial statements. the fact you thought they would “easily make it into next year” is problably some bias like overconfidence.

do a search on here on OSG, i think myself a many other posters wrote about the obvious stuff we saw.

yep…moral of the story…don’t go into industries like this that are dominated by insiders who have specialized knowledge unless you have a specific edge here…

Thanks for the response. Yes, very obvious the company was in trouble. That is why it caught my attention. Didn’t touch it earlier in the year. You plan to lose most of these, but if you lose three and make five times or more on your money with one of them you win. The company was not late on any payments(except that little issue of four years of taxes), claimed to have sufficient cash for many months of operations, and appeared to have possibilities for raising cash(Jones Act operation). I invested after the board member resignation(yes, big warning sign, the rule of thumb is to run for the hills, but guessed incorrectly his issue was a going concern and not an issue with the last FOUR years of reporting. He certainly is no hero. Did he just now have an epiphany? Much clearer in hindsight of course. And I do take it as lesson learned. Just need to figure out how to discount such an event.) and right before the company announced that the last four years of statements cannot not be relied upon. The stock immediately falls 80%. I’m thinking bad financial statements might of had something to do with my loss, no? Four years of crap pretty much kills any chance of negotiating with lenders, partners, etc. Certainly, expected to lose, but thought I would get at least a few months of entertainment out of it while the company fought tooth and nail to avoid protection. OSG was already dead. Criminal act or complete incompetence? Anyway, water under the bridge. On to the next one.

That’s what she said?