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Non-Tech : Tyco International Limited (TYC) -- Ignore unavailable to you. Want to Upgrade?

To: Bob Rudd who wrote (2596)	1/24/2002 3:07:09 PM
From: GVTucker	Read Replies (1) \| Respond to of 3770

Bob, RE: Sunk costs don't count...the question is: Does the separation plan make sense and will the markets recognize it? That is indeed the only question that matters right now. I think that the answer is very much up in the air. While a strategic buyer might indeed come up and take one of the subs out, there are a number of negatives. Note, for example, that anyone who has a profit in TYC will incur a capital gains tax as a result of the spinoffs, even without selling stock. Also, the IPOs will probably result in dilution to current shareholders. The only thing that is certain is that Goldman Sachs will get their fee. edit: Note that right now the market is siding with the negative point of view. And while the market is wrong from time to time, it's right more often.