Chemtura Corp (fka CHMT)

[Madclown]

Thanks for the kind thoughts. It is best to keep some powder dry, just in case the price comes in closer than you thought it might.

I thought we were really on to something when the bonds got into the $70's. Now that we are in the $90 range it just doesn't leave much wiggle room for the folks buying those securities, so someone with money likes what they see. The yield spread between Chemtura's 2016 bond and a comparable maturity Treasury (risk free) is shrinking with each passing day/week. Right now the spread is about 580 basis points. The folks who are buying those securities, at this point, probably aren't chasing yield as much as they are principal appreciation, but at some point, that starts getting real thin and yield is the only remaining component for return on capital.