Scottish Re Group Ltd Perp Pfd (SKRUF)

[CordElam]

hey i own this one - been working on it, if you strip out the Orkney Re II assets and liabilities (assets < liabilities) which are non recourse there is significant positive book equity - and orkney re ii just won a big suit from JP morgan that resulted in a 70 million cash injection which pumps up the credit scottish gets for reinsuring to them - paid in april - only way out for scottish common equity holders (cerberus/massmutual) with preferred shareholder suit hanging over holding company is sale of main insurance sub - which should easily yield enough to potentially pay off preferreds at $25 preference - 3.3 million shares outstanding x 25 = 82.5 million - its covered on a rough estimate at 2x but working on it...do some work...interested in what others think but seems like a great risk/reward in here with provisional winding up filed in bermuda that triggers the potential of the $25 preference payout...if they could have sold the holding company they would have in their last process but the preferred suit - which got standing in New york to continue - won't go away - and by winding it up it triggers the $25 but at least the common guys get a way out...it's been a long time...