According to this report from Forbes it appears that VeraSun Energy (VSE) managed to lock in a significant amount of corn contracts at near the peak of the recent corn run up. In the mean time, ethanol prices have fallen in lock step with falling corn prices.

So VeraSun got upside down between their feedstock costs and the prices it could get for the end product. Analysts are now forecasting a 44¢ per share loss for the 3rd quarter.

I have considered the VSE management to be pretty sharp in controlling its costs to maintain profitability in difficult conditions. The ethanol crush spread has stayed positive throughout the recent commodity gyrations as long as the feed stock and ethanol were purchased and sold in the same time frame.

It appears company management screwed this one up royally. Now they are trying to sell 20 million shares into the market to raise some capital. It may take the company some time to recover from this one. My mistake for owning a small position in VSE.

LEH IS OVER

the new trading symbol is LEHMQ.PK

http://otcbb.com/asp/dailylist_detail.asp?d=09/17/2008&mkt_ctg=ALL

UPDATE: SEC Tightens Short-Sale Rules With Firm Close-Out


(adds detail in third, fifth paragraphs; updates with background on prior SEC actions starting in eighth paragraph)

By Judith Burns

Of DOW JONES NEWSWIRES

WASHINGTON -(Dow Jones)- The Securities and Exchange Commission announced measures Wednesday to curb abusive "naked short sales" by imposing a firm close- out requirement on short sellers and their brokers.

Short sellers and brokers must deliver securities borrowed for short sales on the trade settlement date, three days after the transaction, or face penalties if they do not, the SEC said.

The tighter delivery requirement was adopted by the SEC as an interim final rule, an unusual step for federal regulators, and will take effect for all public-company securities starting at 12:01 a.m. EDT Thursday.

Additionally, the SEC finalized two other changes it previously proposed. One eliminates an exception from the close-out requirements for options market makers, making them subject to the same rules as everyone else. Regulators said that change will take effect five days after it is published in the Federal Register.

The SEC also approved a new anti-fraud rule targeted to short sellers who lie about their ability to deliver borrowed securities, which the SEC said takes effect immediately.

Short sellers aim to profit from declining stock prices by borrowing shares to sell and replacing them later at a lower price. So-called "naked" short sellers do not borrow shares before engaging in short sales and may never do so, a practice that can have punishing effects on a stock's price.

SEC Chairman Christopher Cox said in a statement that the changes "make it crystal clear that the SEC has zero tolerance for abusive naked short selling."

The changes are the latest in a series of actions the SEC has taken to attack short-selling abuses. The agency adopted a package of reforms known as Regulation SHO in 2004 to tighten delivery requirements for short-sale trades. Among other things, the rule requires delivery failures in hard-to-borrow " threshold" securities to be closed out within 13 days. Option market makers were excluded from the stricter delivery requirements, however.

Option market makers balked at a 2007 SEC proposal to eliminate the exception, but the SEC reissued it in July after its economists found that many failures to deliver borrowed stocks were due to the option-market maker exception.

Although option market makers have warned that market liquidity could suffer if they are subject to stricter stock delivery requirements, SEC commissioners appear to have put those concerns aside and opted to treat option market makers like other market participants.

The new anti-fraud rule, proposed in March, expressly targets fraudulent short sales. Since the SEC already has broad anti-fraud powers, "whether they actually needed to do a rule is debatable," said Larry Bergmann, a special counsel at the law firm of Willkie, Farr & Gallagher LLP, in Washington, D.C., and former senior associate director in the SEC division that oversees trading and markets.

-By Judith Burns, Dow Jones Newswires, 202-862-6692; Judith.Burns@dowjones.com

- 70%

This is amazing !!!!

Atlas Pipeline Holdings (AHD) is an unusual company. The company does not directly own any hard assets or have any operations of any significance. Instead, the company holds ownership interests in Atlas Pipeline Partners (APL). Atlas Pipeline Partners is one of the largest natural gas transporters and processors in the United States. Atlas Pipeline Holdings owns 100% of the general partner of Atlas Pipeline Partners and 5.4 million limited partner units of Atlas Pipeline Partners.

The company’s ownership of Atlas Pipeline Partners' general partner entitles Atlas Pipeline Holdings to incentive distributions, via its ownership of incentive distribution rights (IDRs), which allow Atlas Pipeline Holdings to collect a flexible percent of distributions from Atlas Pipeline Partners depending on the rate that Atlas Pipeline Partners increases its distribution to unit holders.

Atlas Pipeline Holdings currently is entitled to 50% of all total distributions above $0.60 per quarter per Atlas Pipeline Partners' unit. If Atlas Pipeline Partners wants to pay out an additional $10 million to the company's unit holders, it would also have to pay $10 million to Atlas Pipeline Holdings. What this means is that Atlas Pipeline Holdings' distribution increases are levered to distribution increases at Atlas Pipeline Partners, with the leverage being substantial over the long haul.

Because of Atlas Pipeline Holdings' ownership of Atlas Pipeline Partners' incentive distribution rights, along with its holdings of 5.4 million Atlas Pipeline Partners units, a $0.10 per unit increase in Atlas Pipeline Partners' distribution would provide enough additional cash flow to Atlas Pipeline Holdings for Atlas Pipeline Holdings to increase its distribution per unit by $0.16. This occurs as a result of Atlas Pipeline Holdings' lower unit count compared to Atlas Pipeline Partners and Atlas Pipeline Holdings' ownership of Atlas Pipeline Partners' units. Since Atlas Pipeline Partners' current distribution is so much higher than Atlas Pipeline Holdings', this provides Atlas Pipeline Holdings with a growth rate substantially higher than that of Atlas Pipeline Partners.

Several days ago, Atlas Pipeline Partners announced a significant increase in its distribution guidance due to a restructuring of Atlas Pipeline Partners' hedge book. Atlas Pipeline Partners had previously suggested that it would distribute $1.95 during the second half of 2008 with a coverage ratio of 1.2. Now Atlas Pipeline Partners is guiding for $2.10 for the second half of 2008, allowing the coverage ratio to increase to 1.3.

The following table shows where Atlas Pipeline Partners' and Atlas Pipeline Holdings’ distributions should be for the second half of 2008:






Current Distribution


Annual Rate Based on Second Half Guidance


Growth Over Current Distribution

Atlas Pipeline Partners


3.76


4.20


11.7%

Atlas Pipeline Holdings


1.72


2.42


40.7%

The above table does not take into account the growth in Atlas Pipeline Partner’s coverage ratio. Atlas Pipeline Partners cannot increase its distribution without paying equal amounts of cash to Atlas Pipeline Holdings. Any excess distributable cash flow at Atlas Pipeline Partners that is not being distributed should be considered to be half owned by Atlas Pipeline Holdings. If Atlas Pipeline Partners ran with a 1.0 coverage ratio, Atlas Pipeline Partners and Atlas Pipeline Holdings would have the distributions shown in the following table. The numbers are per unit.




Based on Current DCF


Based on Annual DCF Based on Second Half 2008 Guidance

Atlas Pipeline Partners


4.14


4.83

Atlas Pipeline Holdings


2.32


3.43

Tuesday’s news that Atlas Pipeline Partners is issuing 5 million additional units to finance the hedge book restructuring should be viewed as a great thing for Atlas Pipeline Holdings. These additional units will increase the cash flow to Atlas Pipeline Holdings via their incentive distribution rights and they will further increase Atlas Pipeline Holdings' leverage to Atlas Pipeline Partners going forward. These 5 million additional units should increase Atlas Pipeline Holdings' cash flow and distribution by a further 10% once the issuance is completed.

As if this was not exciting enough, Atlas Pipeline Partners is the pipeline operator with the largest exposure to the Marcellus shale, something I am very bullish on. Atlas Pipeline Partners can probably sustain at least a 5% annual growth rate for years, with substantial upside possible, depending on how fast the Marcellus is developed. I expect to see Atlas Pipeline Partners sustain a growth rate of at least 7% for several years, which is still well below Atlas Pipeline Partners' past growth rate.

Additional upside at Atlas Pipeline Partners and Atlas Pipeline Holdings may be seen in the future through further commodity price appreciation and/or additional acquisitions at Atlas Pipeline Partners. Because of the recent commodity price appreciation and modification to Atlas Pipeline Partners' hedge book, Atlas Pipeline Holdings' DCF has likely increased by nearly 50%. As growth at Atlas Pipeline Partners continues, I expect growth in Atlas Pipeline Holdings' DCF to continue to be close to 20% annually without any additional benefit from commodity prices or acquisitions at Atlas Pipeline Partners.

The bottom line is that Atlas Pipeline Partners' most recent announcement should be viewed in extremely positive light. Atlas Pipeline Holdings and its parent company Atlas America (ATLS), which I have talked about here, should both benefit immensely. The Atlas companies are without a doubt some of the best-run companies in their industry and I believe that this week’s news only reaffirms my bullishness for each of them.

http://seekingalpha.com/article/95424-atlas-pipeline-partners-hedged-income-strategy

I have had Atlas Pipeline Partners (APL) as a component of my Income Portfolio since the first of the year (2008) and the dividends have been outstanding, paying 93¢ (Q4,2007), 94¢ and 96¢ so far this year. On the recent earnings release the company is projecting $2.00 to $2.20 for the next 2 quarters and $4.25 to $4.50 for 2009. The share price is down significantly from around $43 to start the year, but I believe the market has this one wrong and the income growth should continue.

While listening to the earnings conference call last week for APL the comment was made that the sister company, Atlas Energy Resources LLC (ATN) would announce this week, so I decided to listen in. To put it bluntly, I am impressed! ATN is a natural gas producer that seems to be firmly set on a growth path. It is now the largest producer in the growing Marcellus Shale and is working to at least double production there in the near future. It also has new production coming on line in Tennessee and a stable production base in Michigan.

For the second quarter Atlas Energy had the following financial increases over Q2 2007: Revenues up 70%, EBITA up 179% and distributable cash flow up 180%. The declared distribution of 61¢ is 43% higher that the 1st quarter. It has 80% of its production hedged against falling natural gas prices through 2009, so falling NG prices will not hurt cash flow. Share price of ATN has not fallen as much as APL but are well below recent highs.

APL and ATN have positive synergistic effects on each other. APL has pipelines to gather and process gas from ATN as well as other companies. ATN uses APL in its partnered projects and collects fees for APL from its partners. I see Atlas Pipeline as primarily an income play with some growth and Atlas Energy as strong growth throwing off nice income. I am adding ATN to my site’s Special Opportunities Portfolio at this time.

Going to a possible 16.5% yield if distribution increases are implemented as estimated by management. If NG prices increase as they usually do in the fall, this thing should pan out to be worth while. The market is throwing out the babies with the bath water.

TOTAL DESTRUCTION !!!

-50%

HOLY COW

Newbies ?

They can't even buy GBDX shares...

What're you talking about...?

Housing construction plunges in August to lowest level in 17 years, showing depth of crisis

Goldman Sachs cuts its 2009 forecast for oil prices to $123/barrel from $148/barrel, and says prices could fall as low as $75/barrel if there's a global recession

Goldman Sachs cuts its 2009 forecast for oil prices to $123/barrel from $148/barrel, and says prices could fall as low as $75/barrel if there's a global recession.


If we go at 75$/Barrel.

I will sell the farm and buy CLR, GMXR, GDP, PXP, KWK, SFY

The New York Post reports the Fed is calling several banks, including JPMorgan (JPM), HSBC (HBC) and Wells Fargo (WFC), to gauge their interest in a possible Washington Mutual (WM) buyout should WaMu ultimately fail

The New York Post reports the Fed is calling several banks, including JPMorgan (JPM), HSBC (HBC) and Wells Fargo (WFC), to gauge their interest in a possible Washington Mutual (WM) buyout should WaMu ultimately fail

Goldman Sachs cuts its 2009 forecast for oil prices to $123/barrel from $148/barrel, and says prices could fall as low as $75/barrel if there's a global recession.

Lehman's bankruptcy, AIG's (AIG) bailout and Merrill's (MER) sale could be the start of a new stage in the credit crisis marked by takeovers and forced sellers. To avoid losing market confidence, "it will be the weak offering themselves to the strong."

Lehman's bankruptcy, AIG's (AIG) bailout and Merrill's (MER) sale could be the start of a new stage in the credit crisis marked by takeovers and forced sellers. To avoid losing market confidence, "it will be the weak offering themselves to the strong."

Investment bank Morgan Stanley (NYSE:MS - News) is weighing whether it should remain independent or merge with a bank, given the recent turbulence in the company's share price, broadcaster CNBC reported on Wednesday.


Morgan Stanley officials were not in merger talks as of late Tuesday, CNBC said, citing unnamed people close to the matter.

"But senior people at Morgan concede that further zig-zags in the company's stock price could and possibly will force the company to change course and seek a merger partner, probably a well capitalized bank," CNBC reported on its Website.

Super ! I love you brother !

This is amazing. As I wrote the other evening, it is as if we are reading financial science fiction.

If the Federal Reserve Bank of New York plans to write an $85 billion check to AIG (AIG), then Treasury market participants should duck for cover. They will likely raise the money by selling Treasury debt from the System Open Market Account. I have no idea how they would do that, but it would be the largest such sale of securities since the dawn of human history.

Why does the Federal Reserve not control 100 percent of the company? Capitalism punishes bad risk. These jokers took bad risk in spades, so they should be wiped out. The common shareholders should be left with nothing. If this was a good deal for the taxpayers, this would have been a private transaction. The very fact that the Fed is involved speaks loudly to us that no private company believes that this is a prudent loan.

Preferred shareholders? If the deal calls for making them whole, I ask why. There does not seem to be any reason to bail them out.

Bondholders? They should be forced to take a haircut. This is not FNMA (FNM) or Freddie Mac (FRE) issuing debt for 40 years with a wink from the Treasury Secretary and the implied backing of the Government. This was a completely private enterprise. AIG debt could have been purchased earlier today for cents on the dollar. To reward the holders of that debt truly creates a windfall profit.

The Federal Reserve is careening down a very slippery slope. The risks of that joyride are understandable and worthwhile if they exact a financial pound of flesh from those at AIG who so bungled their mission. On the surface, that does not appear to be the case here.

Update: The term of the loan is 24 months. The interest rate is three month Libor plus 850 basis points. The loan is collateralized by all the assets of AIG and its subsidiaries.

The taxpayers now own 79.9 percent of a gigantic insurance company.

This is amazing. As I wrote the other evening, it is as if we are reading financial science fiction.

If the Federal Reserve Bank of New York plans to write an $85 billion check to AIG (AIG), then Treasury market participants should duck for cover. They will likely raise the money by selling Treasury debt from the System Open Market Account. I have no idea how they would do that, but it would be the largest such sale of securities since the dawn of human history.

Why does the Federal Reserve not control 100 percent of the company? Capitalism punishes bad risk. These jokers took bad risk in spades, so they should be wiped out. The common shareholders should be left with nothing. If this was a good deal for the taxpayers, this would have been a private transaction. The very fact that the Fed is involved speaks loudly to us that no private company believes that this is a prudent loan.

Preferred shareholders? If the deal calls for making them whole, I ask why. There does not seem to be any reason to bail them out.

Bondholders? They should be forced to take a haircut. This is not FNMA (FNM) or Freddie Mac (FRE) issuing debt for 40 years with a wink from the Treasury Secretary and the implied backing of the Government. This was a completely private enterprise. AIG debt could have been purchased earlier today for cents on the dollar. To reward the holders of that debt truly creates a windfall profit.

The Federal Reserve is careening down a very slippery slope. The risks of that joyride are understandable and worthwhile if they exact a financial pound of flesh from those at AIG who so bungled their mission. On the surface, that does not appear to be the case here.

Update: The term of the loan is 24 months. The interest rate is three month Libor plus 850 basis points. The loan is collateralized by all the assets of AIG and its subsidiaries.

The taxpayers now own 79.9 percent of a gigantic insurance company.

Expiration Date: 2010-09-15
Creation Date: 2006-09-15
Last Update Date: 2008-09-16

Small U.S. oil and gas exploration companies, whose shares have been beaten down lately, may be ripe takeover targets, Barron's reported in its Sept. 1 edition.

Companies with access to booming U.S. shale fields, among the most promising sources of energy, especially have takeover potential, the business weekly said.

Shares of Plains Exploration (PXP.N: Quote, Profile, Research, Stock Buzz), Quicksilver Resources (KWK.N: Quote, Profile, Research, Stock Buzz), Range Resources (RRC.N: Quote, Profile, Research, Stock Buzz) and St. Mary Land & Exploration (SM.N: Quote, Profile, Research, Stock Buzz) are down by a third or more from their highs and do not fully reflect the value of their shale assets, Barron's said.

Akuo Energy:

La plus grande toiture solaire d'Europe en service

http://www.akuoenergy.com/#


Le groupe Français Akuo Energy spécialisé dans les énergies renouvelables vient de mettre en service la plus grande centrale photovoltaïque intégrée en toiture d'Europe.

Après sept mois de travaux Akuo Solar filiale dédiée au solaire du groupe Akuo Energy vient d'achever la construction de sa centrale photovoltaïque de Laudun dans le Gard (France).

D'une puissance de 1,4 MWc (Mega Watt crête) cette centrale couvre les 52 000 m2 de toiture des entrepôts du groupe FM Logistic.

Cette unité de production est constituée de 10 240 modules photovoltaïques au silicium amorphe (couche mince) assurant l'étanchéité de la toiture et complètement intégrées au bâtiment.

Le site d'exploitation produira jusqu'à 1,7 GWh d'électricité par an et représente la consommation domestique d'une ville d'environ 690 foyers.

" Nous nous réjouissons de la finalisation de cette unité de production la plus vaste d'Europe à ce jour, et nous travaillons à la mise en place de nombreux projets similaires en France et en Italie confie Romain Forest directeur Général d'Akuo Solar "

A propos D'Akuo Energy

Akuo Energy est un groupe international spécialisé dans le développement, le financement et l exploitation de centrales de production d'électricité à partir de ressources renouvelables. Ses opérations se situent en Europe, Amérique du sud et du Nord ainsi qu'en inde. Le groupe développe des projets dans différentes filières du renouvelable.

Energie solaire, au sol et sur toiture

Parcs éoliens (Turquie, Pologne, USA, Inde)

Centrales Hydroélectriques

Usines de production d'éthanol

Unités de production d'énergies à partir de la biomasse

Usines de production de granulés de bois

Contacts : Akuo Energy

91 Av. des Champs Elysées

75008 Paris

France

33 (0)1 47 66 09 90

www.akuoenergy.com

Relations Investisseurs :

Stéphane Boudon

boudon@akuoenergy.com

33 (0)1 47 66 09 90

Relations Presse

Eric Scotto

contact@akuoenergy.com

33 (0)1 47 66 09 90

http://www.capital.fr/actualite/Default.asp?source=PR&numero=143152&Cat=SOF&numpage=1&action=v

MS is the next to explode...

PUTS, PUTS, PUTS...

I sold the last of Goodrich Petroleum (GDP) Wednesday - what timing. I did not even realize earnings were out post close - they were ok (hedging techniques bit them) but Thursday morning an analyst came out and said GDP should be 83% higher. Gee thanks - you could of not told the world that anytime in the past month? :)

* A Jefferies & Co. analyst on Thursday estimated that shares of oil and natural gas company Goodrich Petroleum Corp. are worth about 83 percent more than their current value, despite the company's recently reported quarterly loss.
* Goodrich shares, which hit a high of $86.18 on July 2, closed Wednesday at $45.95.
* Jefferies & Co. Analyst Gary Nuschler Jr. rates the stock "Buy" with a price target of $84, citing Goodrich's report of encouraging results from two of the company's vertical Haynesville wells in East Texas.

I said the stock was dead to me until it closed back over $52... of course within 24 hours its back up over $52. Ah, markets....

We did not have a large enough position where this would of had a material impact but ... it's still ironic. I still think this whole complex is a hostage to oil which aside from flipping a coin heads or tail each morning I have no idea on the direction so I'm not adding back - just commenting. That's one thing about transparency - you're going to see some "ironic" trades along with some good ones.

* Independent oil and gas explorer Goodrich Petroleum Corp (GDP) posted an eight-fold increase in its second-quarter net loss as it was hurt by charges on derivatives trading.
* The company reported a net loss applicable to common stock of $39.0 million, or $1.21 a share, compared with a net loss of $4.8 million, or 19 cents a share, a year earlier.
* The Houston-based company said the latest second-quarter results include losses of $48.9 million on derivatives not designated as hedges, which include non-cash, unrealized losses of $46.9 million.
* Revenue more than doubled to $65.2 million, as production rose 64 percent to 6.1 billion cubic feet equivalent. Average sale price of oil doubled to $121.51 per barrel and the average sale price of natural gas rose 38 percent to $10.18 per thousand cubic feet.

It is sort of funny to see - I guess many people in the natural gas industry never assumed natural gas prices could spike as high as they did, because just about every company in the space I caught an earnings report on, reported massive hedging losses. Of course that does not change the base business but it appears you need to be a good commodities trader as well as run your operations to make money quarter to quarter in the natural gas space. ;)

The company is estimated to generate revenues of $220Mn this year with EPS of $0.09. Next year’s estimates are revenues of $312Mn and EPS of $0.73, which in my opinion is highly optimistic as the company has never generated any profits of note in the recent past. The company therefore trades at 13x this year’s revenues and 100x next year’s EPS! By contrast, Exxon Mobil (XOM), arguably the best run integrated oil and gas company, trades for 1x revenues and 9x EPS.

The stock has more than doubled from $30 to $75 in the last three months as excitement over the company’s ownership of land in the Haynesville Shale area has grown. The Haynesville Shale has got a lot of press of late as an area with substantial, albeit difficult to extract, gas reserves. Many naïve investors assume that the value of a company’s reserve position (i.e. the value of the estimated oil and gas under the land the company owns or leases) should translate into its market cap. What they neglect to take into account is that it takes a substantial amount of operational and capital expenditure to extract the reserves. With costs spiraling for exploration companies, the net value to equity investors may turn out to be next to nothing.

Capital expenditure for the company is running well above D&A, and its free cash flow is hugely negative. The company plans to spend $350Mn on capital expenditures this year. The company’s current run rate suggests it will generate cash from operations of about $80Mn, so it will take on a substantial amount of debt to fund the capital program. This will cause its interest expense to rise. So the combination of increasing D&A and interest expense will mute any earnings growth. It is also possible that the company will sell stock in a secondary offering as it periodically has done, diluting current equity holders.

The stock was near the current level back in the late 1980s before it proceeded to plummet to the low single digits in the late 1990s. It looks like investors may be in for a similar wild ride.

Fair value for GDP stock: $18 (generous 25x multiple on ’09 EPS estimate of $0.73; valuation approximately 3x ’09 revenues)

With natural gas prices lagging oil, it looks like the run is not over. The only thing that may hurt pricing will come from Europe, since they are ready to hike rates, possibly. Horizontal shale drilling has given the US a feasible method of obtaining energy, while still making a profit as natural gas demand is up along with pricing. There is plenty of excitement surrounding these shales as their reserves could be huge. This, in turn, could make smaller companies into much bigger ones overnight.

Goodrich Petroleum (GDP) looks good going forward with respect to growth. Since no one knows how high the price of natural gas will go, it is better to follow, than buck the trend. With stocks that have risen this much you need an exit plan - the most important aspect of any investment. Don't marry the stock, just date it, as for every up cycle there is a down cycle.

This company is centered out of Houston, Texas and has ample exposure to the Haynesville shale. The news with Petrohawk Energy (HK) that their horizontal well that is now producing a large amount of natural gas has given other companies in this area momentum. This is a pure exploration and production company. They are centered in the Cotton Valley Trend of Eastern Texas. At the end of last year they had 358 Bcfe of proven reserves. Of their current 305 wells in the Trend, over 99% of them were a success. They had 15% sequential growth for the first quarter of this year with respect to production. They estimated for 5%-9% for the second quarter. Their expectations are better margins going forward on higher prices and reduced costs.

The Cotton Valley Trend is seeing accelerated development of acreage by GDP. This is increasing reserves and production. Estimated production life for these areas are over twenty years, and they are very low risk holes. Management believes this area could sustain over 2000 probable and possible wells with proper spacing. To date, this area's wells are averaging 1800 Mcf per day, to give an idea of possible production. Production volume with respect to average net daily Mcfe was 550 in the third quarter of 2004. That number has increased to 58,000 in the first quarter of this year and this quarter it is estimated to be at 62,000. Proven reserves in 2004 were 101 Bcfe, as opposed to 358 Bcfe at the end of last year. Cotton Valley Trend gross acres have increased from 45,000 in 2004 to 187,000 at the end of last year. Cotton Valley Trend well count in 2004 was 14 while there were 267 at then end of 2007. Reserve replacement ratio in 2004 was 785% to 1150% in 2007.

When compared to their resource peer group, GDP seems to be somewhat undervalued. When we look at EV over daily production only HK and (KWK) are a better value. The same equation with respect to reserves shows a different story with it looking a little overvalued. KWK, (UPL), (RRC), (DPTR) are all better valued from this standpoint.

The main reasons to invest in this company are their natural gas potential, although oil is a factor with this company it is a much smaller percentage, and their specialty with respect to horizontal drilling. Their margins are improving. Share growth as probable and possible reserves are converted to proven. Inside ownership is 42%, so they have an interest in the company.

8-Sep-08 AUSTIN JOSIAH T
Director 6,000 Direct Purchase at $42.46 per share. $254,760

4-Sep-08 AUSTIN JOSIAH T
Director 400 Indirect Purchase at $43.49 per share. $17,396

29-Jul-08 AUSTIN JOSIAH T
Director 44,200 Direct Purchase at $43.46 per share. $1,920,932

24-Jul-08 AUSTIN JOSIAH T
Director 100,000 Direct Purchase at $46.22 per share. $4,622,000

http://finance.yahoo.com/q/it?s=GDP

The boss is loading the boat....


10-Sep-08 HAMM HAROLD
Officer 50,000 Indirect Purchase at $35.05 - $36.6 per share. $1,791,0002

9-Sep-08 HAMM HAROLD
Officer 50,000 Indirect Purchase at $35.32 - $37.69 per share. $1,825,0002

http://finance.yahoo.com/q/it?s=CLR

http://www.netcastdaily.com/broadcast/fsn2008-0913-1.mp3

KOG is nice too

Nice find !

That is what Almaz is waiting since december 2007.

They expect news before the 1st of October from Alrosa.

Contact Information

Wyncrest Group, Inc. (The)
9654 West 131st Street
Suite 215
Palos Park, IL 60464

Estimated Market Cap: 29,635,913 as of Sep 12, 2008
Outstanding Shares: 296,359,130 as of Sep 5, 2008
Authorized Shares: 500,000,000 as of Mar 4, 2008
Number of Share Holders of Record: 546 as of Sep 5, 2008
Float: 19,358,299 as of Sep 5, 2008

DOOM AND GLOOM

http://www.thestreet.com/_yahoo/video/mutualfundrpt/10437124.html?cm_ven=YAHOOV&cm_cat=FREE&cm_ite=NA#10437124

A shotgun marriage?

I sense a shotgun wedding sponsored at gunpoint by the Fed.

Without this buyout announcement Merrill Lynch (MER) would have gotten absolutely crushed Monday. That is absolutely certain. The closing price of Merrill Lynch was $17.05 on Friday. Mother Merrill's market cap was roughly $26 billion.

Thus... Bank of America (BAC) agreed to pay $44 billion for a company that would have been worth $18 billion on Monday's open, assuming a $5 markdown on Monday to $12. Why?

No one had any cash to buy Merrill other than BAC - so what's the rush?

Various swap-o-rama tables are now in full swing with everyone trying to figure out who is holding what and who the counter parties are, and just what anything is worth, if indeed anything is worth anything at all.

A shotgun marriage?

I sense a shotgun wedding sponsored at gunpoint by the Fed.

Without this buyout announcement Merrill Lynch (MER) would have gotten absolutely crushed Monday. That is absolutely certain. The closing price of Merrill Lynch was $17.05 on Friday. Mother Merrill's market cap was roughly $26 billion.

Thus... Bank of America (BAC) agreed to pay $44 billion for a company that would have been worth $18 billion on Monday's open, assuming a $5 markdown on Monday to $12. Why?

No one had any cash to buy Merrill other than BAC - so what's the rush?

Various swap-o-rama tables are now in full swing with everyone trying to figure out who is holding what and who the counter parties are, and just what anything is worth, if indeed anything is worth anything at all.

Things of value (oil, gold, silver) are down and the valueless dollar is up. It won't last for long.

Absolutely true.

Will hurt a lot of people who don't get what's going on.....

I have had more than a few people ask me via email why Bank of America (BAC) is buying Merrill (MER). After all, Merrill is badly broken, and BofA could almost certainly pick up whatever pieces are worth picking up for even less in the very near future. Arguably, it could get the pieces significantly less just by waiting for market close tomorrow. To that point, it would surprise me zero if tomorrow BofA's shares fall further and faster than Merrill's.

My guesses are two-fold:

* First, Merrill's CEO John Thain is a pragmatist. I'm guessing that, unlike, Dick Fuld at Lehman, he has been shopping his well-known firm early and at attractive prices, and he has obtained some strong interest, likely overseas or in Canada. Knowing this, BofA CEO Ken Lewis felt he had to move sooner rather than later.
* Second, BofA's Lewis has a demonstrated fondness for swinging in and buying broken financial brands at the 11th hour. He did it with Countrywide Financial, and he is almost certainly feeling the same way about Merrill. He thinks they're both bargains. The trouble is, the jury is not just out, it's on a year-long fishing trip, with respect to deciding whether he is close to correct.

http://seekingalpha.com/article/95405-what-s-the-bofa-merrill-synergy