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Technology Stocks : WCOM -- Ignore unavailable to you. Want to Upgrade?

To: Oeconomicus who wrote (2220)	3/10/1998 3:05:00 PM
From: J.S.	Read Replies (1) \| Respond to of 11568

I disagree, Many arbitrageurs will want to buy to cover instead of tying up their profits. My guess is that there will be at least 3 months between the certainty of the deal being in the stock price and the time when the stock transfer is made. If WCOM is less than 41.50 (the top price for fixed conversion) there will be pressure to cover since a price above this reduces profits. This is why buying WCOM when it was in the the low thirties was a better deal than MCIC, IMO. Now things have evened out. You must remember that general market considerations may lower and sink all boats for us non-arbitrageurs. Upshot: Buying WCOM at this price is not a bad idea and works out whether or not the deal go through. This is why the price of WCOM has not reacted as much as that of MCIC today. Joe