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Strategies & Market Trends : Heinz Blasnik- Views You Can Use -- Ignore unavailable to you. Want to Upgrade?


To: mishedlo who wrote (307)4/20/2003 12:40:28 PM
From: benwood  Respond to of 4914
 
The Costco phone cards for MCI are now just 3.0 cents/minute. Funny how the company with the most trouble can keep lowering rates ;-)



To: mishedlo who wrote (307)4/20/2003 10:11:19 PM
From: EL KABONG!!!  Respond to of 4914
 
misheldo,

By allowing bankrupt companies to stay in business it just puts pressure on the others. Now WCOM has debt taht is wiped clean and a competitive advantage over other carriers if I am not mistaken because of it.

Agreed...

If F goes bankrupt but stays in business, how much competitive advantage will they have (pricing power - no debt to pay back) over GM. Under this scenario a bankrupt F might be the death bell for GM. The problem being there is too much worldwide capacity for auto production.

Also, agreed...

As for right now... What would a "bailout" of F constitute anyway? Doesnt a bailout occur when a company is floating just abpve BK with stock nearly worthless?

Ummm, not entirely in agreement... A bailout would occur if and when it was politically expedient to do so. Not to confuse politics and economics, a bailout is far more a political statement than it is an economic statement, though the effects of the statement would likely be felt throughout the economy...

KJC