Beleaguered REIT RAIT Trust (NYSE:RAS) has 3 high yield preferred outstanding and they had fallen into the $8/share area. Each of the 3 issues have jumped into the $11 area today as the board of directors declared quarterly dividends.
At one time we figured that RAIT might be a good turnaround story, but after a close review of their financials we don’t see any way for the company to remain solvent.
Common shares jumped to 39 cents from 23 cents today.
The odds we would be involved in this issue are exactly ZERO.