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Politics : Idea Of The Day

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To: organicgerry who wrote (41858)12/2/2001 9:56:00 PM
From: greenspirit  Read Replies (1) of 50167
 
Five main reasons...

1. Break up value of company is around 20-40 billion.
2. Banks who are owed lots of money have a strong motivation to restructure their debt.
3. Dynergy seems as if they manipulated events in their favor and crashed the companies stock. The SEC may not allow their partial buy-out of property to stand because of it. Stockholders will undoubtedly submit a class action law suit against them. So, it's not in Dynergy's interest for them to fold.
4. ENE was one of the main contributors to the Bush campaign. They may have some political influence to save their company.
5. Looks like shorts have driven the stock down rapidly in recent days. Momentum looks like it has run out of gas.

If the company is saved, the stock should be worth about 2.50. If they go from .25cents to 2.50 in the next 2 years. That's one heck of a profit margin....

Warning....Definitely not a core holding. Or one for the feint of heart...

JMVHO
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