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Strategies & Market Trends : Paint The Table -- Ignore unavailable to you. Want to Upgrade?

To: Jorj X Mckie who wrote (13539)	2/7/2002 1:59:31 PM
From: John Pitera	Respond to of 23786

Yes they do but, no price is too low until you hit zero... SSB just downgrades AES to a 3 today at 10:16 am SSB has DYN, CPN, MIR as 3's which is neutral to less than neutral. and Argentina just can not keep itself out of the news -g- ------------ OPINION Downgrading AES Rating to 3H from 2H on Emerging Market Risks and Uncertainty We are reducing our rating on AES to 3H (Neutral, High Risk) from 2H (Outperform, High Risk) as we see mounting concerns and uncertainty over the value and earnings stream from several AES businesses in emerging markets, primarily in South America. We are also concerned over AES's merchant exposure in light of declining commodity prices, and declining returns on capital. Finally, we do not see significant catalysts in the near term that would justify an outperform rating at this time, and lift considerable uncertainties. Our rating action follows earnings results on Feb. 5 and the first day of an Investor Conference in Florida on Feb. 6. At the meetings, we had hoped to clarify some issues related to investments in South America that would ease our concerns over the potential for impairment to earnings and asset values. However, this was not the case and we believe the economic and political situation in South America could decline further before stabilizing. AES derives close to 25-30% of earnings from the region. The area of concern currently is Argentina. As a result of the devaluation of the Argentine peso and non-performance under existing contracts, the viability of AES's businesses in the country are at risk.......