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Strategies & Market Trends : The Epic American Credit and Bond Bubble Laboratory -- Ignore unavailable to you. Want to Upgrade?

To: ild who wrote (73921)	11/9/2006 12:21:11 PM
From: kris b	Respond to of 110194

What can stop companies from doing more stock buybacks using borrowed money? Credit rating downgrade? Burst of credit bubble and credit contraction.

To: ild who wrote (73921)	11/9/2006 4:21:43 PM
From: Perspective	Read Replies (3) \| Respond to of 110194

I just can't believe they can issue a statement like that. We're going to leverage ourselves and use it to jam the stock price higher. Oh, by the way, our compensation is tied to the stock price. I guess if the debt market is giving away money, it makes some sense. But seems like somebody ought to be stepping up for the interests of LONG-TERM stakeholders here. It provides a transitory boost to stock price, of interest only to short-term time horizons, and leaves a long-term negative impact. BC