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Subject:  Re: Sears Date:  12/27/2011  1:39 PM
Author:  hockeypop Number:  8762 of 25496


It's a calculated risk, but at roughly 11.5% at least you know the original interest rate (6.875%) seems unlikely to be called back for a lower rate in the next 4 years and 10 months. The bigger concern is not being able to pay back the principal, BUT if they do that for the 2017's the rest will be killed as well, and that likely would be a poor choice.

Interesting, they dropped 21 cents yesterday BEFORE the announcement, and nothing today. Think we get info first??????

I'm happy that they're closing Kmart stores. Two good investors with high stakes in them. We'll see. This is an interesting way to invest in a "Falling Knife."

BTW, the 2018's seem to be back to the 11.5% area.

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