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Technology Stocks : WCOM -- Ignore unavailable to you. Want to Upgrade?

To: FNS who wrote (11258)	7/12/2002 12:44:20 AM
From: Oeconomicus	Read Replies (1) \| Respond to of 11568

FNS, it was I who mentioned Covad. They're back out of BK, restructured and essentially debt free ($50 million vs. $1.4 billion before BK), and shareholders only had to give up 15% of the company to the debtholders (according to COVD's SEC filings). That may be too good of an outcome to hope for if WCOM does go BK, even a prepackaged one like COVD's, but it is far from certain that BK is inevitable, much less that BK would necessarily wipe out the current shareholders. JMO, Bob

To: FNS who wrote (11258)	7/12/2002 1:06:23 AM
From: tejek	Read Replies (2) \| Respond to of 11568

If WCOME files for BK, wouldn't shareholders still hold their stock in the company, all be it that the stock could diminish to .01??? I recall someone mentioned COVD which I believe is in BK, but still trading around a buck! What Bushman said about COVD is correct but I must caution you that COVD's the exception in BK, not the rule. So,if WCOME does go BK and shareholders still hold whatever stock they have, then isn't possible that the company eventually turn around??? Its possible but I think it will be a tough road. In any case, until the true financials of WCOM are known, any speculation on this issue would be just that. And if BK, I would assume that Mr. Ebbers would lose his perks; i.e., 1M for life, plane, etc. I would be really surprised if a BK judge went along with Ebbers benefits. Regardless, I do hope that Ebbers and Sullivan be given appropriate legal justice...behind bars if current law can convict! I don't know if the current laws are strong enough to put them behind bars. That's why Congress is talking about passing a whole new set. However, an attorney would be better able to answer that question. ted