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Gold/Mining/Energy : Enron - Natural Gas Industry -- Ignore unavailable to you. Want to Upgrade?

To: Jon Khymn who wrote (727)	11/27/2001 12:38:22 PM
From: Bob Rudd	Respond to of 1433

Haven't studied it, but at first glance, it looks overpriced. I beleive the preferred pretty much gets lumped with equity in BK priorities...and thin trading could make getting out with your hide in tact difficult if adverse news hits. At current quote, 17.65, with dividend per yahoo 1.56 this pays 8.84% while today I saw Enron 03 bonds offered to yield over 40% and they would almost certainly have a higher claim than the preferred. There's probably some special aspect to the preferred [like maybe preferred holders get free gas and broadband for a year for all their relatives ;) ] that I'm not seeing, cause on the surface, it makes no sense.