Call me naive but the quote I've copied below from the end of the article you posted looks like a positive for HC to me. Specifically, would it not make some sense for Hanover to buy out Enron's 47.5% stake at perhaps a fire sale price in Hanover Measurement Services:
>>However, the news did not seem to calm investors, and Jim Wicklund, an analyst at Banc of America Securities, for one was puzzled.
``I don't know if investors didn't read the comment or don't care about the response. It makes no sense to me,'' he said of the stock's move.
``When you say 'off-balance-sheet financing,' everybody assumes that instead of it being the kind that General Electric (NYSE:GE - news) has, that it's the kind that Enron has,'' Wicklund continued.
He added that Hanover's partnership has been fully disclosed with no members of company management participating.
Hanover also said that Enron, despite owning shares in the company for six years, never exercised a management role.
It also noted the bankrupt energy trader's only business relationship with the company was a 47.5 percent ownership stake in Hanover Measurement Services, which provides gas measurement services. |
