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To: donald sew who wrote (55807)	10/19/1998 1:08:00 PM
From: ViperChick Secret Agent 006.9	Read Replies (1) \| Respond to of 58727

To: +waldo (21868 ) From: +Stephen O Saturday, Oct 17 1998 5:13PM ET Reply # of 21944 Does anyone know when this disclaimer started appearing on Prudentials statements and is such a message appearing on other companies statements? "The majority of the Company's derivative transactions are short-term in duration, with approximately $67.1 Billion of notional or contract amounts maturing within one year of which approximately $64 Billion mature within three months." ".....which may impair the counterparties' ability to satisfy their obligations to the company" "...may require the Company to pledge client securities as collateral in support of various secured financing sources such as bank loans, securities loaned and..." "..these activities may expose the Company to off-balance sheet risk in the event a client is unable to fullfill its contractual obligations." From Prudential Securities Consolidated Statement. If you read the SEC disclosure information for just about all of the Banks, Brokers, Insurance cos. etc. you will see that they are all over leveraged in the Derivative markets and are cross invested with each other, therefore no one has any idea of how severe the problem is. This is very scary stuff. Rate cuts of 200 BPS in the near future? Next Previous

To: donald sew who wrote (55807)	10/19/1998 1:46:00 PM
From: Barbara Barry	Read Replies (1) \| Respond to of 58727

don, See my post to lisa and here's an interesting link from the today's charts thread: Rob Kipp (1090 ) From: Tommaso Monday, Oct 19 1998 10:53AM ET Reply # of 1096 Meantime, here are some interesting charts: cairns.net.au