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

To: Madharry who wrote (31379)	7/4/2008 11:05:59 AM
From: Paul Senior	Read Replies (2) \| Respond to of 78495

Madharry, what are some of these companies that have such preferred yields, and do they have reasonable call provisions for investors? Would seem to me that if yields on preferreds are much higher than debt (bond) interest, that companies would want to call in or buy in their preferreds, and issue bonds instead. Especially as bond interest is a deductible item, whereas preferred payments are made with aftertax money. So there's the risk of the preferred being called away that has to be considered, I presume (?).