Ken,
I have been reading your postings about the indirect effects of leverage to NXTL through reduced sales. I think these effects are exactly that,i.e., at best secondary. The key event here is access to credit. A month ago, the market was shut down, that is, NXTL and many other players, could not get access to credit at almost any price. This could potentially lead to chapter 11, if it persisted. the reopening of the debt market was celebrated (and continues to do so).
I also do not buy your Armagedon scenario. Most people advocating this, miss the fact that this country as a whole is a "safety heaven" and a "flight to quality" play, in the global picture. It is an economy that continues to be driven by competition and huge amounts of innovation (high tech, telecoms -wireless!, drugs etc.) and investment. So, don't worry and waste your money sorting NXTL and the market as a whole.
Tavros |
