TAXI Is Overvaluing New York, Chicago And Boston Medallion-Related Assets By $138 Million

At the overvalued total, TAXI claims a loan to value (LTV) of 79% in their 10k annual report for 2015, just published on March 7, 2016.

However, TAXI’s total portfolio is way beyond underwater.

An honest press release to stockholders would disclose this problem today, March 9, 2016.

I detail the values below for Medallion Financial (parent only) I can’t find breakdown by city for TAXI’s Medallion Bank subsidiary which holds over $350 million in medallion-related assets.

 
Balance sheet mark to market valuation
Valuation used by TAXI (1)
Actual market price at best (2) (3)
Valuation using actual market prices at best
Mark to market over valuation
 
 
 
 
 
 
New York
$213,356,000
$754,000
$400,000
$113,186,207
$100,169,793
Chicago
$39,406,000
$239,000
$95,500
$15,745,912
$23,660,088
Boston
$26,436,000
$389,000
$180,000
$12,232,596
$14,203,404
Total New York, Chicago and Boston
$279,198,000
 
 
$141,164,715
$138,033,285
Other
$32,235,000
 
 
$32,235,000
$32,235,000
 
 
 
 
 
 
Total medallion loans held by parent only
$311,433,000
 
 
$173,399,715
$170,268,285
 
 
 
 
 
 
Total medallion loans held by Medallion Bank
$356,430,000
 
 
Unknown
Unknown
 
 
 
 
 
 
Total medallion loans held by TAXI
$667,863,000
 
 
Unknown
Unknown

1. For New York, TAXI’s 10k states: …”individual (owner-driver) medallions sold for approximately $715,000 and corporate medallions sold for approximately $793,000 as of December 31, 2015…” I use the $754,000 average.

http://yahoo.brand.edgar-online.com/DisplayFiling.aspx?TabIndex=2&dcn=0001193125-16-495428&nav=1&src=Yahoo

2. As retrieved on March 6, 2016: New York Medallion #8E38, an independent unrestricted medallion, has been on the market since February 8, 2016 for $400,000 with no takers.

http://nycitycab.com/business/taximedallionlist.aspx

3. As retrieved on March 8, 2016: a Boston medallion has been on the market since January 24, 2016 at $180,000 with no takers.

http://www.driverzoo.com/LicenseandMedallionDetail

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