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

To: Daniel Chisholm who wrote (6083)	2/22/1999 1:06:00 PM
From: Freedom Fighter	Respond to of 78507

Japan gearing up the printing press? Recent press reports have indicated that Japan may be more willing than it has been recently to monetize its huge bad debt overhang, devalue the Yen, and try to export its way out its mess. Fiscal policy has failed. (big surprise?) If so, you can expect at least some of that flood of easy money to reach the U.S. credit and stock markets. The U.S. for its part seems willing to run however big a current account and trade deficit is necessary to keep inflation low and our bubble up while trying to bail out the rest of the world. This is at best a short term solution for a world whose global trade imbalances grow daily. This is more of the same from central bankers and other financial heads who are more interested in the short term than the long term financial health of our country. For more on how the U.S. got into this mess: members.aol.com Wayne Crimi

To: Daniel Chisholm who wrote (6083)	2/22/1999 4:10:00 PM
From: Bob Rudd	Respond to of 78507

LWN: Dan, I did a similar crunch...and agree with your snapshot for liquidation [though it's hard to rally nail down true value of assets given appreciation, depreciation, & how they would sell the assets], but don't think liquidation is going to happen, just selective sell off or takeover by srv or stewart I found this post on Yahoo provided a nice thumbnail analysis messages.yahoo.com@m2.yahoo.com

To: Daniel Chisholm who wrote (6083)	2/22/1999 4:40:00 PM
From: James Clarke	Read Replies (2) \| Respond to of 78507

re: LWN I like your way of looking at it as a first cut. About $750 million of assets is goodwill. You ain't going to get much for goodwill in a firesale. And if they overpaid for their acquisitions, which they did, this is where it would show up. X-out this, and your margin of safety is quite thin indeed. I'm not saying it is or is not a bargain at $2. But we've got to go a lot farther than this. JJC

To: Daniel Chisholm who wrote (6083)	2/22/1999 5:58:00 PM
From: jeffbas	Read Replies (1) \| Respond to of 78507

Nice post. I share the others views. Based on your numbers I would consider it quite possible that the assets you referred to are not worth 67% of the carrying value (2242/3331). I think the comments about there being few economies of scale in the funeral home industry are on the money. In fact I would say that there might be negative economies of scale. If your local mom-and-pop funeral home gave a nice, personal, sympathetic touch to your grandmother's funeral, you are more likely to go there for your mother than if it is run by someone to whom it is just a job and not their own business. In my opinion, rolling up the monument business made a bit more sense. What was the name of that company, which we have mentioned on this thread?