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Technology Stocks : Amazon.com, Inc. (AMZN) -- Ignore unavailable to you. Want to Upgrade?

To: H James Morris who wrote (76798)	9/7/1999 2:45:00 AM
From: Bilow	Read Replies (1) \| Respond to of 164684

Hi H James Morris; Those bond holders are not going to convert until they are forced to. The reason is that the bonds trade at a premium to the stock, due to the interest rates, (not to mention the priority in the event of a bankruptcy). The bond holders can be forced to convert at something around $234 pre split, which is $117 now. As the stock gets close to that price, the bond premium will decrease, and will drop to zero after the 20 days or whatever. When that happens, the bondholders will start to think about converting, and Bezos will (no doubt) force them to convert. If bondholders were converting early, it would show up in the latest 10Q as a reduction in long term debt from the amount originally sold. I didn't look, but it would really shock me if there was much early conversion. -- Carl