Don't forget that if Cliffs does issue stock to finance a buyout of KWG at the present time, they've already gotten the company for half price by waiting. Issuing shares at $85 is a lot less painful than it would have been to issue almost double the number of shares (at $45) back in early July, when everything blew up.

Of course, you can also look at their historical SP and wonder if they'll wait a while longer until their own SP gets above $110 to make their move.