EBITDA is not Cash Flow

Never trust or invest with anyone who attends Davos.

[EBITDA is not Cash Flow @Fan02Cow]

@AlbertBridgeCap Private Equity doesn't pay the implicit tax of being public:

No 10-Q, 8-K requirements
No Conflict Minerals Attestation
No Say-on-Pay votes
No ISS/Glass-Lewis lackey opining on ESG disclosures
No Sarbanes Oxley
No PR firm to respond to annual "top paid CEO's" story

[EBITDA is not Cash Flow @Fan02Cow]

@HenryForLA @moseskagan If costs rise by more than the LARSO allows for rent increases, what do you suggest a landlord does?

[EBITDA is not Cash Flow @Fan02Cow]

@robbiehendricks @11W When did you examine him, Doctor?

[EBITDA is not Cash Flow @Fan02Cow]

@jetfairuk @flightradar24 Don't you have some ambulance to chase?

[EBITDA is not Cash Flow @Fan02Cow]

@newsreader1314 The "hands off" management style worked pretty well for 20+ years, though. Didn't market a DBS like Danaher, but the results were better.

[EBITDA is not Cash Flow @Fan02Cow]

@arpitrage No bike lanes either, then?

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@arpitrage @Itsjoeco "I'd be fine banning...and mandating..."

Color me shocked.

[EBITDA is not Cash Flow @Fan02Cow]

@robbiehendricks @moseskagan @gak_pdx A year ago if they are smart.

Or tomorrow.

[EBITDA is not Cash Flow @Fan02Cow]

@jess_ann_pin @KajFjorthur @MostlyMonkey Lotta words to say "oops, got this one wrong"

[EBITDA is not Cash Flow @Fan02Cow]

@austin_rief @MaxNPalmer Pitbullish signal.

[EBITDA is not Cash Flow @Fan02Cow]

@bobbyfijan @ADeermount Castro was smart. Mao was smart. Stalin was smart.

Evil values, evil ideas, evil actions. But definitely smart.

[EBITDA is not Cash Flow @Fan02Cow]

@MeasureTwiceMNY The benefit of all that conservatism is that it keeps assets in the portfolio. Which makes more money for the AUM business model.

Even as a fiduciary, the financial incentives to hoard assets are hard to ignore.

[EBITDA is not Cash Flow @Fan02Cow]

@moseskagan Leaving *is* fighting. The other side won't be reasoned out of their anti-capitalist positions. They will only change policies if they lose the money funding their ambitions.

[EBITDA is not Cash Flow @Fan02Cow]

@robbiehendricks @RobertMSterling About 18 months ago.

[EBITDA is not Cash Flow @Fan02Cow]

@johnarnold I think all public charities -- private foundations, DAFs, whatever -- should be required to distribute 10% of assets each year.

Having foundations that last forever and have inevitable mission drift over time isn't good.

[EBITDA is not Cash Flow @Fan02Cow]

@besttrousers @gbenga_ajilore @JosephPolitano @IrvingSwisher The ending of DEI across the country.

Ending mandates & subsidies (virtue signals rather than $$) leads to fewer non-economic purchases. Same reason EV sales went down after subsidies ended.

[EBITDA is not Cash Flow @Fan02Cow]

@Noahpinion When do you think they will win without subsidies and mandates?

[EBITDA is not Cash Flow @Fan02Cow]

@HarryStebbings @DavidGeorge83 Staying private avoids the implicit public company taxes:

10-Q, 8-K's
Conflict Minerals Attestation
CD&A and Say-on-Pay
ISS/Glass-Lewis lackey opining on ESG disclosures
Sarbanes Oxley
PR firm to respond to annual "top paid CEO's" story

[EBITDA is not Cash Flow @Fan02Cow]

@owenslindsay1 @DellAnnaLuca Progressive income tax rates.

[EBITDA is not Cash Flow @Fan02Cow]

@profplum99 gets it. His latest essay (blog post? substack? I never know what to call them) should be required reading for anyone more interested in solutions rather than just arguing.

https://t.co/bb5DkA5uNW

[EBITDA is not Cash Flow @Fan02Cow]

@dilanesper Although I agree, it doesn't even hit the Top 50 humiliating things that have happened to Levine.