SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Technology Stocks : Amazon.com, Inc. (AMZN) -- Ignore unavailable to you. Want to Upgrade?

To: Alomex who wrote (146827)9/4/2002 12:51:53 PM
From: Oeconomicus  Read Replies (1) | Respond to of 164684
 
...or convert the obligations to permanent debt with only payment on the interest due (large corporations issue this type of instruments).

Al, if you mean some kind of perpetual debt obligation, I doubt anyone could do that these days (it may have been tried in the past, but I can't find any). IBM, Boeing and some baby bells have done 50-yr deals and Norfolk Southern has a 100-yr deal outstanding. From AMZN, though? No way. Better stick to preferred (or common) with no mandatory redemption. They need to get rid of anything that matures, and if they can push out or eliminate cash interest/dividends, even better.

Bob



To: Alomex who wrote (146827)9/4/2002 9:35:20 PM
From: Glenn D. Rudolph  Respond to of 164684
 
"Glen, it is not hard to structure a deal in a way that there are lots to be gained, although at the expense of the shareholders."

You have a point.


HomeMailHotSubjectMarksPeopleMarksKeepersSettings
Terms Of UseContact UsCopyright/IP PolicyPrivacy PolicyAbout UsFAQAdvertise on SI
© 2025 Knight Sac Media.  Data provided by Twelve Data, Alpha Vantage, and CityFALCON News