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Non-Tech : The Enron Scandal - Unmoderated -- Ignore unavailable to you. Want to Upgrade?

To: jcky who wrote (199)	1/15/2002 5:14:18 PM
From: Original Mad Dog	Read Replies (1) \| Respond to of 3602

Hi jcky, good to be back...... How is the government going to be bailing out those who lost from Enron? I suppose some unemployment compensation..... maybe the PBGC will have to kick in some dough to cover part of the defined benefit pension if there was one...... but beyond that, what would the government be bailing out? Seems to me the biggest losers are the owners of the equity that became wallpaper and the banks that lent Enron money.

To: jcky who wrote (199)	1/15/2002 5:41:26 PM
From: Original Mad Dog	Respond to of 3602

This one is making the email rounds..... Enronism Financiers have heard more than once the old joke explaining the differences between capitalism, communism and many other" isms" : - Capitalism - You have two cows. You sell one and buy a bull. Your herd multiplies, and the economy grows. You sell them and retire on the income. - Communism - You have two cows. Your neighbors help take care of them and you all share the milk. The latest version of the joke doing the rounds on Wall Street adds an "Enronism" to the list: "You have two cows. You sell three of them to your publicly listed company, using letters of credit opened by your brother-in-law at the bank, then execute a debt/equity swap with an associated general offer so you get all four cows back, with a tax exemption for five cows. The milk rights of the six cows are transferred via an intermediary to a Cayman Island company secretly owned by the majority shareholder who sells the rights to all seven cows back to your listed company. The annual report says the company owns eight cows, with an option on one more."