Q: Hello 5i Team: I am retired, and bought CVL for income and moderate growth potential. Am underwater and considering selling, but with the negative impact from low energy prices, a weak economy, and uncertainty of a new government in Alberta, the timing to sell is bad. I am willing to be patient if there are good reasons to expect better times, but am also prepared to take a loss and move on. In assessing future prospects, I'd appreciate your input on two questions.
One, do you feel CVL will be able to increase prices and improve margins on its product lines sourced from the US to recover the impact of a weaker Canadian dollar? Related to this, does the fact that CVL's agricultural customers sell their grains and other products in US dollars improve CVL's prospects of passing exchange through?
Two, apart from the diversification aspect, do you feel the addition of the Peterbilt line represents a good fit with the rest of CVL's business?
Thank you for your time in responding.
Ted
One, do you feel CVL will be able to increase prices and improve margins on its product lines sourced from the US to recover the impact of a weaker Canadian dollar? Related to this, does the fact that CVL's agricultural customers sell their grains and other products in US dollars improve CVL's prospects of passing exchange through?
Two, apart from the diversification aspect, do you feel the addition of the Peterbilt line represents a good fit with the rest of CVL's business?
Thank you for your time in responding.
Ted
