Hecla has cash flow problems which they should when silver drops from 20 bucks an ounce to about 8 bucks an ounce. But this isn't a bank that is leveraged, but a miner with great properties, established management, and selling something that has been in shortage for the past 20 years.
Instead of issuing more shares throughout the commodity boom they borrowed money because quite possibly they could pay it back.
PAAS and SSRI may have better properties but they haven't mined to the extent Hecla has and I believe that while Hecla resolves these issues, most miners are going to face start up costs, delays, and loans while Hecla keep turning out the ounces.
And yes it is unnerving once again to buy miners and see their price drop 40% in two days but ultimately one has to take the big picture in consideration as well as they are still operational.
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