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Technology Stocks : IRID - Iridium World Communications IPO Announced! -- Ignore unavailable to you. Want to Upgrade?

To: Anthony@Pacific who wrote (2308)	8/11/1999 10:06:00 AM
From: CMon	Read Replies (2) \| Respond to of 2693

Wrong. Don't get me wrong, Anthony, I'm a short here. But get your facts straight. In a liquidation, value is distributed by strict priority. Iridium is not in a liquidation. In a reorganization or restructuring it's done through negotiation, in or out of the courtroom, between the various classes of creditors and equity holders. Before you disagree, go look up the definition of "step" as it applies to such a process. Yes, the step is often severe. But value is often given up by senior claims to junior securities, which may include the equity, in order to get a deal done. That may happen here. I'm certain of two things at least: 1) In this reorganization stockholders will get crushed. and 2) with regard to the analysis of restructurings, you're an amateur.