Xerox is at a crossroads, and the results at the end of July will show which direction it will take.The current value of equity is under 400 million USD, even though sales exceed 7 billion USD.
The problem is the huge debt, currently exceeding seven times Ebitda, which the company incurred when taking over competitor Lexmark. I believe that Xerox still has some future ahead of them. Management is focused on reducing debt, quickly integrating Lexmark into Xerox's structures, and leveraging synergies (which should reach up to $300 million). Small portion of the debt that is trading at 30 percent of par should at least partially disappear thanks to the exercise of the warrant.
The results are at the end of July, but I have troubles believing they would go to CH11.