Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Gold/Mining/Energy : Strictly: Drilling and oil-field services -- Ignore unavailable to you. Want to Upgrade?

To: Big Dog who wrote (38365)	2/26/1999 9:21:00 AM
From: Gary Burton	Respond to of 95453

Big--Dividends on Pfd come after interest and are not legal obligations to pay. They can be carried forward if FLC wishes to, although the 'accrued' unpaid divs still rank ahead of common in liq.FLC could instead issue conv debs or staight debt with warrants attached as a sweetener. It's mainly a matter of what is the effective after tax cost to FLC after figuring in any dilution, relative to the alternative of selling non-core assets at a discount in today's mkt...the last $400 is the toughest as they say, particularly with the stock depressed. But these guys are fairly creative and seem to have credibility with bankers ets. So, I don't think common shdrs will be dissapointed in the end.Once they have the money in place, the squeeze will essentially be over as long as no delays/overruns in constr crop up.