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Strategies & Market Trends : Steve's Channelling Thread -- Ignore unavailable to you. Want to Upgrade?

To: Jorj X Mckie who wrote (6446)	10/18/2000 6:34:59 PM
From: Zeev Hed	Read Replies (2) \| Respond to of 30051

jorj. no negative connotations that I can see. Their BV is around $9 per share, they are raising something close to $3 Billion in stock (30 MM shares on top of the almost 900 MM they have outstanding), that is peanuts, and then they have a "zero coupon" (probably no interest or interest paid upon conversion) convertible debt, but GLW will have a fixed conversion rate probably at market or above market if the interest rate is serious. It is a very good step for current shareholders, and probably, they are doing it in anticipation of the financing windows closing early next year. If the stock goes above the conversion price, and the market gets ready to tank again, you may expect the short position to increase as the converts hedge their positions at a profit. If you are long GLW, I would look for an exit point in the next few months, maybe just above $100, since I think GLW will follow all the other generals to half their yearly highs or between $50 and $60 before this bear is over. Zeev Zeev irrevolute.iuma.com