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To: Terry Maloney who wrote (206935)	11/27/2002 8:02:59 AM
From: Earlie	Respond to of 436258

Terry: I agree with KT's view that the generic U.S. debt bomb can be dragged out, but at the margin, companies and individuals are falling like flies every day (check out both personal and corporate bankruptcy stats). So, from my perspective, there are plenty of rich targets where the debt is becoming unmanageable because the profits are plunging. If one finds companies where the above-noted scene is well established, and their share price resides in the stratosphere, it is just a matter of time before the emerging debt servicing problems crush the stock price. Also working in the bear's favour in these situations is the fact that even when a company survives a bankruptcy prodedure, its common shareholders do not. Inevitably the debtholders dilute the old shareholders out of the picture or even worse, they end up with all the "new stock". Best, Earlie