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MSGI

05/28/07 8:57 AM

#73434 RE: jackshot #73433

jackshot, It looks to me like SMTX is paying about 17% on their debt. If they can refi close to 10%, it would add an additional 13 cents per year to earnings. That pretty much goes along with the new earnings projections that someone on the Yahoo board posted. They said that earnings projections have been increased from 39 cents per year to 52 cents. With earnings of 52 cents, a PE of 15 = a share price of $7.80 and a PE of 20 = a share price of $10.40.