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To: The Verve who wrote (105262)9/20/2001 10:05:29 PM
From: Maurice Winn  Respond to of 152472
 
Verve, Jon's pithy proverbs are contagious.

Mq



To: The Verve who wrote (105262)9/20/2001 10:09:29 PM
From: cfoe  Respond to of 152472
 
It's amazing how anyone who can afford 135 million shares would ever consider buying anything on margin.



First, Bass got the stock years ago, when Disney was in the dumps. He and other investors (maybe including his brother) were instrumental in getting Eisner in as CEO.

Second, margin interest rates are low - for someone like him likely under prime. If you think you can make double digits on your investments, it pays to borrow on margin at the lower rates.

Third, who expected a market drop like this - who expected the demolishing of the WTC?



To: The Verve who wrote (105262)9/20/2001 10:21:04 PM
From: Ibexx  Read Replies (2) | Respond to of 152472
 
Re. S. Bass's margin calls

It's not a matter of affordability; rather, it has to do with leveraging your (hopefully) profits.

Ibexx