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Politics : High Tolerance Plasticity

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To: Think4Yourself who wrote (3311)4/13/2001 4:03:39 PM
From: jim_p   of 23153
 
John,

Not an easy question. I would lean towards taking the stock for two reasons, first the stock ha been very stable and is now priced a tad over the $10.00 exchange price and second PEX is selling at 3.8 times last years cash flow and is buying SMOP at an incredible 1.5 times last years cash flow.

The downside in PEX is that it has not been very liquid, but that be somewhat resolved by the merger.

The upside is that the best time to sell the stock will be at the end of August when NG prices are ramping back up and there is speculation about NG shortages and hurricanes.

Jim
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