Keeping the long-term decline, SGGH share price lost another 1.54% from its value yesterday and closed at $0.64. That value is still more than twice the bottom for this year that was hit last week, but the volume was 1.95 million shares traded, or more than 15 times the average for the stock. SGGH stock chart doesn’t look optimistic, and it seems that the market did not appreciate the tax refunds that the company has received.
The event from yesterday that coincided with the notable selling pressure was the first SEC filing by the company since the end of July, when Signature Group filed the confirmation by the bankruptcy court of the reorganization plan for the former provider of financial services Fremont General Corporation, which is now a wholly-owned subsidiary of the company.
The latest available financial results of SGGH are for the third quarter of 2007, but as it seems the financial condition has not made any substantial progress and the company is still making losses. According to the SEC filing from yesterday, the company has received a tax refund in connection with the carryback of its net operating loss for 2008 for the years ended December 2003, 2004 and 2005. The received amount is $24.4 million.
A previous filing that has been positively reflected in SGGH share price, even though only for a couple of days, was also made at the end of July. Then, along with the emerging from the bankruptcy proceeding, the company received $11.7 million in proceeds remaining from the liquidation plan.
