No. of Recommendations: 3
I am thinking that XKO is a pretty decent choice. 7.75%.

Well, 7.75% is the coupon rate. At the current price of $10.99, the effective rate is 7.05%

However, I herd there was an option for them to buy back at $10.00. I believe it was this summer, sometime.

They've actually been callable at $10 plus accrued interest for a while - since 12/27/2006.

It is hard to find much information on this investment.

Have you tried ? The XKO page on quantumonline has a link to the original prospectus

Does anyone know if there was an option to buy back at 10? Did they not do the buy back?

The security can be called at 10. It has not been, so far. Given the fact that Lehman Brothers (the Third Party that issued the Trust Preferred) is going through BK, there are probably some additional criteria that would be taken into consideration prior to any decision to call the security. Whether the BK makes a call more or less likely is not totally clear.

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