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Technology Stocks : Ampex Corporation (AEXCA) -- Ignore unavailable to you. Want to Upgrade?

To: PaddyD who wrote (3170)	8/5/1998 7:54:00 PM
From: killybegs	Read Replies (1) \| Respond to of 17679

A principal that my hero Mike Milken advocated and built a nice franchise on is that companies adjust their capital structures based on the dynamics of the market place. Maybe the 14 million raised last week is going to be put to work buying back common stock. When one can borrow at 12%(tax favored financing) in the debt markets and buy in your equity which is being priced at a 20% earnings yield based on last years 30 cents and 25% earnings based on this years potential, you do it. With the new preferreds in place, the restrictions to buying in their common is lifted(based on a cursory read of the 8K)(they would have to declare and pay the quarterly dividends).