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Stockchase Opinions

Leslie LundquistHeating Oil PartnersHIF.UN.TODON'T BUYNov 17, 2004

Ran into problems with currency exposure and rising heating oil costs. Had to increase their debt.
$5.50

Stock price when the opinion was issued

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DON'T BUY
Doesn't believe it will stage any kind of comeback at this time. Have operational issues. Could be looking at bankruptcy. Because of the high cost of heating oil, working capital needed is very substantial. Not a fan of the management team and their ability to manage.
DON'T BUY
Stumbled. Sold their holdings when they saw over 100% payout ratio and the margin pressures they came under. They eventually cut their distribution. Not comfortable with management.
DON'T BUY
Not paying distributions. Have suffered from higher crude oil prices. Seasonality is endemic to this business.
DON'T BUY
They're in a liquidity crisis. Not certain of the financial viability of the trust. They need to be refinanced.
DON'T BUY
A US based trust that has experienced some difficulties. One problem has been the rising price of heating oil which has strained their ability to finance the receivables which created bank restraints. Has also been hurt by the strong Cdn$.
DON'T BUY
Had a pretty rough time in 2004. Partially due to seasonably warm weatherin the US NorthEast. Also being hit with the stronger Canadian$. Believes the Cdn$ will stay strong, so will be tough to see any distribution growth.
DON'T BUY
They don't have much leverage to the price. Lost more customers than they gained on acquisitions.
DON'T BUY
Have a high level of concern and have been trimming from their portfolio. High oil costs and operational issues have created problems. Foreign exchange has hit them hard.
DON'T BUY
Has had to suspend distributions. Not enough money to pay for the high oil prices, and will have to renegotiate with their banks. Feels that this will be more than temporary.
SELL
Had a myriad of problems, including currency, working capital needs, etc. Issues can't be easily or quickly fixed.
DON'T BUY
Cut their distributions due to a squeeze by high oil prices.
HOLD
Fairly priced. Hasn't made any acquisitions.