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What does "high yield position in 2002" refer to?

ah yes, i remember it well...

while there's no hard evidence that buffett was buying these particular bonds, he did wind up with some WTEL equity, which would seem to be pretty strong evidence that he'd bought those WCG 10%+ senior notes that were selling for 14ish before they hit the skids. it also wouldn't surprise me if he'd bought Q bonds as well; they were also cheap. there were probably others; i never looked at GX's debt.

remember, the great telecommunications glut spurred a truly gargantuan issuance of high-yield paper, of totally unprecedented proportion. in 2001-2002, many of these were going tits-up, and pretty much ALL this paper was priced as if EVERYBODY were going to, and then some.

it was a very large-sized opportunity.

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