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Strategies & Market Trends : Floorless Preferred Stock/Debenture -- Ignore unavailable to you. Want to Upgrade?

To: Larry Brubaker who wrote (706)	7/12/1999 8:20:00 AM
From: Zeev Hed	Respond to of 1438

Larry, HEC had a repricing feature in their floorless and that allowed us on the thread to pick the local bottom just under $1.5, yet, the stock is still lingering despite doubling of oil prices. Repricing, while advantageous to the bandits does not lead to a full death spiral, since after the repricing (often) the conversion rate is fixed. But in some other cases, the repricing simply lowers the ceiling and the floorless feature is left in, these are the ones you worry about. Got to read all the ugly details. Zeev