Message Font: Serif | Sans-Serif
No. of Recommendations: 1
Actually, I am owning some unsecured debt of calpine. I am planning to take a tax loss ( by writing off) my entire unsecured bonds. Calpine has one of the complicated capital structures. Its myrid first and second liens, project financing leaves very little for the unsecured debt holders. The problem is significantly compounded by the hedge funds holding the secured bonds. They will not be going for realistic, just solution. They will force the company to sell the assets to pay them. In this high priced natural gas market the calpine plants will be severaly under-valued. Also the fact that so many calpine plants will be in market also not going to help. I am waiting for the unsecured bonds to quote around 10 cents on the $, then I will gamble $1000 on that. Personally I still believe the unsecured debtors may not receive anything.
Print the post  


When Life Gives You Lemons
We all have had hardships and made poor decisions. The important thing is how we respond and grow. Read the story of a Fool who started from nothing, and looks to gain everything.
Contact Us
Contact Customer Service and other Fool departments here.
Work for Fools?
Winner of the Washingtonian great places to work, and Glassdoor #1 Company to Work For 2015! Have access to all of TMF's online and email products for FREE, and be paid for your contributions to TMF! Click the link and start your Fool career.