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To: Wallace Rivers who wrote (54487)	11/11/1999 4:15:00 PM
From: Gary Burton	Read Replies (1) \| Respond to of 95453

re MDR---Well, I'm sure on a hot streak! ---I wrestled with the thought of buying more, to go to a full position near the close but after reading the asbestos paragraph I said to myself 'who needs it' and decided to pass, dead cat bounce or not tomorrow. I do see that MDR's gross cash and cash equiv's only dropped 12MM over the 6 months (down to $225MM) and that this, combined with longer term Investments, would be $55 MM more than total financial balance sheet debt-- but the mere fact that they chose to highlight the open ended asbestos problems strongly implies much more trouble in this area. So, I kept the partial position I bought at 18.25 and will sit the rest out for the time being.---need top get a handle on how much of the cash/cash equiv is in BW Corporate's hands vs how much in MDR Corporate's pockets. How much is MDR Corporate's equity in BW subsidiary--vs remainder of MDR---At some point, on a worst case basis, what if BW filed Chap 11 eg like Texaco did to get around problem etc etc and how would that impact MDR-ex BW entity? Don't have the faintest idea at the moment at least. Presume SSB/Merrill will be thinking the same thing. With the stock closing at it's low, it looks like it may still be too early to try and catch the falling knife. Ouch that hurts