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To: Aggie who wrote (42056)	4/12/1999 8:14:00 AM
From: marc chatman	Read Replies (1) \| Respond to of 95453

Aggie, <<What kind of improvement did you have in mind over the current junk bond financing interest rate, which I am guessing is in the region of +/- 10%?>> I believe FLC's S&P corporate credit rating is BB-, while RIG's is an A-, which makes it investment grade. I don't know what DO's is, but I would guess it is at about the same level as RIG. I don't know off-hand what the difference means in terms of rates, but it has to be substantial. I also don't know what credit rating would be assigned to a merged company. I'm just making another assumption that it would be higher than BB- (I could be wrong). <<And don't you think that by the time a suitor has a better balance sheet, FLC will also (although perhaps not as good as someone like DO)?>> Depends which suitor, I suppose. The two which you mention already have better balance sheets. OT Do you miss Jakarta? One of these days I have to get back there to visit some of my friends.