Hi greenlaw4-7,
What a difference a day makes. I'm just reading your post and staring in disbelief:
Re: Shorts and media have had a lot to do w/ the errosion of ENE stock
Perhaps you are a disgruntled long? The fact of the matter is that the thing that sunk ENE wasn't the short sellers or the media. It was the opacity of ENE's bookkeeping that every sane observer is now dreading, because it is a continual "next shoe to drop" syndrome of deception, chicanery and fraud.
Re: Once deal is secured, even for 1.0 share ....ENE will surely head back to 7-9 area faster then amny care to consider!
ENE is toast. It'll be in receivership within a couple of weeks. Assets are either pledged to creditors, or have already been up for sale for a while with no action. PGE is going to Northwest Natural Gas, and that deal is still "on", but the regulators in Oregon are scrambling to see what the impact of a bankruptcy court judge might be. The Indian plant keeps attracting cheaper offers, the British operation suffers from a lack of "fit" with Shell or any other likely suitor, so will probably have to be further parted out. The pipelined go to the banks, unless DYN's continued purchase of Northern Natural Gas Preferred gives them some leverage with G-S, Morgan and Chase.
In short, this hot-rod is headed for the chop shop. The equity holder is lost. Except for any possible eventual recovery in courts, with, I imagine, a preference for the 401(k) holders who have become Ken Lay's biggest victims.
The natural gas market spoke today. After an extremely volatile session, NG settled at about $2.31. Way down on the day. The EnergyNewsLive view is that the market was moved to an extent by a bearish AGA number but that the main move was due to the collapse of EnronOnline. A very cursory view of the spot and forward market would indicate that it is indeed good news for the energy consumer that a superfluous and supercilious middleman like ENE has been wiped out. Score one for the producers, like Apache, and the end users. Looked at in a cold, calculating and conniving fashion, ENE never added anything to the market except pointless cost.
-R. |
