ACE sells part of Aeroplan, Jazz stakes

[Brick Head]

[quote="rudder"]

"We believe ACE will use the cash to repurchase its own shares to distribute value to shareholders," Mr. Chamoun said. "Ultimately, ACE may repurchase the 25-per-cent interest in Air Canada that it doesn't own currently as a tax-avoidance strategy, which would yield a final outcome where ACE would consist solely of Air Canada."[/i]

[quote]

Well that belief in the market will definitely lift AC stock won't it. Time will tell if that strategy is actually employed............or the resulting lift in share price is just used to make more money as they exit.

We be finding out soon.

Cerberus does have a track record of holding onto companies they think can make money long term. It is what separates them from a "traditional" Hedge fund. I just didn't expect they would hang onto an airline?

We will see.