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Technology Stocks : Lucent Technologies (LU) -- Ignore unavailable to you. Want to Upgrade?

To: Anonymous who wrote (17736)	2/23/2001 9:26:57 AM
From: telecomguy	Read Replies (3) \| Respond to of 21876

ACCORDING TO THIS STORY, MORGAN WILL MAKE $2.6 BILLION IN FEES FOR THE AGERE SPIN-OFF!!!!!!! AM I SEEING THINGS OR IS THIS A TYPO ERROR? HOW CAN A INVESTMENT BANKER MAKE THAT MUCH MONEY FOR SPINNIN OFF A UNIT OF LU? THIS IS HIGHWAY ROBBERY...............TOTAL NONSENSE THAT THESE WALL ST. PAPER SHUFFLING MIDDLEMEN SHOULD MAKE THIS MUCH PROFIT -- SIMPLY OBSCENE. WHO ARE THE LOSERS? LU SHAREHOLDERS OF COURSE. "Under different circumstances, the Agere IPO would be worth considering. The $6.5 billion offering, however, is structured to transfer Lucent’s debt problems onto Agere’s new stockholders. Morgan Stanley Dean Witter, the architect of a bailout in which Agere would assume $2.5 billion in debt, stands to make out handsomely from the Agere IPO. As the offering is now structured, Morgan Stanley will take in some $2.6 billion, based on an offering price of $17.50 per share, from the sale of 147.6 million Agere shares and use those proceeds to buy back Lucent debt. Morgan Stanley surely gets a mountain of fees for orchestrating the restructuring; Lucent conveniently whacks off $5.1 billion in debt; and Agere’s new stockholders are left with the stub of a highly leveraged company with problems of its own. "