May 26, 2013 Comments

FirstService Preferred is removed from the list because the company has redeemed them. Investors in the preferred shares received cash and or common shares. FirstService common shares remain on the list above. The common shares are a far different investment than the preferred shares were. I very much like the management at FirstService and it may do well long term. But the valuation did not look attractive as of our last update. Things may look better going forward as they will no longer face the expense of the preferred share dividend and I believe their balance sheet has been strengthened. However they did send some cash out of the company and the common share count has increased. It will take some time for all of this to work through the value ratios. We will start to reflect it with our next update on the company.

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