Joe - interesting post from another thread - your take?
by: mortgageguy44
Long-Term Sentiment: Buy 12/17/03 11:42 am
Msg: 300878 of 300879
Electricity prices are up.
Bond prices and preferred stock prices have risen a little bit.
Management has not been axed.
The shareholder committee was formed.
It appears that power plants that have been sold recently are closing at a little higher price per megawatt hour of capacity.
Management has not made any negative announcements regarding common shares being wiped out.
Mirant appears to be on track for the schedule POR date of April 30, 2004.
In the MOR's, the recurring operating expenses seem to track the June 30, 2003 projection for expenses.
Mirant received court approval to hire McKinsey and Company. Mc Kinsey and company after several months of preliminary analysis, indicated that they feel Mirant can save $90 million to $160 million in operating expenses. They are in a 5 to 6 month process of making specific recommmendations to achieve these savings.
Leases are being cancelled or renegotiated, lay offs have ocurred, power contracts are being negotiated. The savings from these renegoatied contracts could be $60 million to $100 million by my inexact estimates.
Everything is looking much better than on July 16. There is still so much more that needs to be done for shareholders to come out in an exceptable position, but major strides have been made.
