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

To: Michael Burry who wrote (6187)	3/4/1999 5:19:00 PM
From: Bob Rudd	Read Replies (1) \| Respond to of 78470

Mike: If everybody thought buying NH was a good idea, it wouldn't be available at this price....we're a real small crowd. The concern, of course, is that there's some big ugly chunk of bad news that's pushing this down that we don't know about...yet. If there is such a thing, it would be company specific since the relative underperformance of NH verses comparables is substantial. I did an overlay tacking the prices together 3 months ago. Over a 3 month period DEERE would have outperformed by 50%, AGCO by 26%, and Case by 33% [Dividends, if any, not considered] . This doesn't look random and I think we need to figure out why it's occurring. Be well, Bob

To: Michael Burry who wrote (6187)	3/5/1999 5:14:00 AM
From: Madharry	Read Replies (1) \| Respond to of 78470

Mike, Jim et al: My reservations about the NH would be that the company seems to be around a 50% agricultural finance company, and I have seen little discussion on this thread regarding this aspect of the company. How adequate are the reserves for losses relative to the exposure in various countries? The company apparently securitizes some of their receivables. Is it with or without recourse? If with recourse, how much is out there? What are the current delinquencies in the portfolio and what is the trend? How much of the portfolio represents long term financing and what is the geographical make-up of the portfolio? How does the company hedge? How do they account for repossessions of equipment? If any of you have adressed these issues already please comment.