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Strategies & Market Trends : Value Investing -- Ignore unavailable to you. Want to Upgrade?

To: jhelmers who wrote (27623)	8/6/2007 5:49:19 PM
From: Grommit	Read Replies (1) \| Respond to of 78817

ACAS -- here is a report on ACAS earnings. It is dated tomorrow so maybe it got out early. It was on yahoo but nothing is on the company website. biz.yahoo.com finance.yahoo.com American Capital 2Q Earnings Rise Wednesday August 1, 9:54 am ET American Capital Strategies 2nd-Quarter Earnings Rise on Portfolio Appreciation BETHESDA, Md. (AP) -- American Capital Strategies Ltd., an alternative asset management company, said late Tuesday its second-quarter earnings nearly tripled from the year-ago quarter due to a jump in unrealized appreciation of its portfolio. Second-quarter earnings rose to $788 million, or $1.42 per share, from $290 million, or 97 cents per share during the same period a year ago. During the second quarter, American Capital Strategies recorded an unrealized gain from its portfolio investments of $549 million. About $493 million of the appreciation came from the deconsolidation of its European capital management company. Removing the portfolio appreciation from the second quarter and the year-ago quarter, American Capital Strategies' earnings per share from operating income rose to 91 cents per share, up from 81 cents per share during the second quarter of 2006. Analysts polled by Thomson Financial, on average, forecast earnings of 78 cents per share for the second quarter. Analysts do not always include unrealized gains from portfolio appreciation. Net operating income rose 40 percent to $153 million from $109 million due to growth in interest, dividends and fee income. Shares of American Capital Strategies fell $1.13, or 3 percent, to $39.63.

To: jhelmers who wrote (27623)	8/6/2007 8:20:51 PM
From: E_K_S	Read Replies (1) \| Respond to of 78817

Hi Jhelmers - That was one of the better overviews I have read regarding RAS. They have a very complicated set of assets that are difficult to understand and value. It sounds like you are familiar with this industry. Are many of the special entity REIT's of this size as complicated as RAS? Can you recommend any other REITs that now provide a value proposition with the resent sell off? I am particularly interested in companies that are not exposed with these toxic special entity tranches? EKS

To: jhelmers who wrote (27623)	8/6/2007 9:33:18 PM
From: a128	Read Replies (1) \| Respond to of 78817

LUM reaffirmed their dividend ONE WEEK AGO and said they had plenty of liquidity. Today, LUM announced today that, since August 3, 2007, the mortgage industry, and the financing methods that the mortgage industry relies upon, have deteriorated significantly and in an unprecedented fashion. Effectively, the secondary market for mortgage loans and mortgage-backed securities has seized-up. As a result, Luminent is simultaneously experiencing a significant increase in margin calls on its highest quality assets and a decrease on the financing advance rates provided by its lenders. In a Board of Directors meeting today, Luminent's Board unanimously voted to take the following actions: -- The Board of Directors suspended payment of Luminent's second quarter cash dividend of 32 cents per share on Luminent's common stock. -- The Board of Directors extended the maturity of the outstanding commercial paper issued by Luminent Star Funding Trust I, a special purpose subsidiary of Luminent, by 110 days. -- The Board of Directors cancelled Luminent's second quarter 2007 earnings release conference call, scheduled for Thursday, August 9, 2007, at 10:00 a.m. PDT, to discuss its second quarter of 2007 results of operations. -- The Board of Directors delayed the filing of Luminent's quarterly report on form 10-Q for the second quarter of 2007. Luminent's second quarter of 2007 unaudited condensed financial information is attached to this press release. Luminent's independent registered public accounting firm has not completed a review of the financial information for the three and six months ended June 30, 2007. -- The Board of Directors authorized Luminent's senior management to inform the New York Stock Exchange of these unfolding events and, as a result, trading was halted in Luminent's common stock. The Board of Directors currently is considering the full range of strategic alternatives to enhance Luminent's liquidity and preserve shareholder value during this period of market volatility. ------- In other words, they are going belly-up just like AHM.

To: jhelmers who wrote (27623)	8/6/2007 11:52:56 PM
From: Area51	Respond to of 78817

To: jhelmers who wrote (27623)	8/7/2007 12:43:54 AM
From: Area51	Read Replies (1) \| Respond to of 78817

So were they lying in the earnings release when they stated they had less than $1B in repurchase agreements as of 6/30/07? Neither do the total assets and liabilities jive with the latest earnings release. I know it sounds impossible but perhaps the mortgage securitization business will survive this little crisis?: Fannie Mae Asks Regulator to Ease Portfolio Limits bloomberg.com How do you know it is pure trouble and not just 99% trouble. Have you done a chemical analysis?