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Strategies & Market Trends : Mr. Pink's Picks: selected event-driven value investments -- Ignore unavailable to you. Want to Upgrade?

To: limit who wrote (5361)	12/31/1998 6:31:00 PM
From: Ron Harvey	Read Replies (2) \| Respond to of 18998

As I write this I note the heading above the reply window: "selected event-driven value investments." Here's a confection then for those with a taste for the exotic, if a debenture listed in the NYSE's section on foreign bonds can be considered exotic. The company is named Consorcio G Grupo Dina, S.A., but not for long. While nominally a Mexican company, only 23% of its revenues come from Mexico. The company's operating income is generated by its U.S. bus-manufacturing unit, Motor Coach Industries Intl. In fact, about half the buses and motor coaches made in the U.S. are produced by growing Motor Coach. So CG Dina is in the process of refinancing debt, delisting from the Mexican bolsa, and becoming a U.S. company, which could well lift its 8% of 2004 bonds (Schwab's symbol: DIN.F) from the current price of about 52 to where they were earlier this year, the 80's. Meanwhile, the bonds pay a snappy 15%+ and, as the Forbes article from two weeks ago explained, "They sell at bankruptcy levels, although the company is a long way from Chapter 11." (I own a bunch at 41 and some more at 51.) Even if they rise another 20 or 30 points from here, I'm inclined to hold on for the interest.