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To: Big Dog who wrote (81386)	12/12/2000 5:45:55 AM
From: PhantomGremlin	Respond to of 95453

Maybe KEG will get to $15 and maybe not. I'm surprised at how quickly people forget about the "old" KEG. This company may be good for a quick trade, but I certainly don't hold it in high regard. A little recent history. This stock is basically a "rollup". Because of this the debt got way out of whack nearly 2 years ago. The stock fell to just over $3. Guess what. A bunch of debt was converted to equity at the very bottom. Shares outstanding jumped from 18 million to 82 million. Some VERY LUCKY debt holders now own stock that has nearly tripled in price. And it's all long term cap gains at this point. I have no idea who owns all this cheap stock. But if it was me, I would be selling into strength. Furthermore the now large number of shares outstanding makes it all that much harder to grow EPS. Too much of a denominator. So don't compare EPS to the previous peak. And even after all the debt to equity conversion, the ratio is STILL about 1.4. I learned this the hard way. I bought in at about $7 a few years ago and rode the stock down below $4. And that's when, at the absolute bottom, debt got converted to equity. Fortunately I managed to more than break even as the stock went back up. I sold the last of it at about $10 earlier this year. Still, I would NEVER want to have that management team working for me again. In my opinion they betrayed the common stock shareholders. Anyone want to tell us in detail why they think this turkey can soar?