Replies to post #1849 on WorldSpace Inc fka WRSPQ

[NY73]

Another fact we should not forget.....Malone is in the driver's seat because he owns the most debt, having purchased it from the original creditors. We don't know how much he paid these creditors. That is a very significant number because it quantifies his investment and risk (plus the small amt of operating capital he has pumped in to date). So, let's say he paid $0.50 on the dollar for the debt....he would have a significant risk. But, if he paid less than .10 on the dollar, not so much. Why is this critical? Because, the lower his risk, the less likely he will continue negotiating with a view towards a restructure, and the more likely he will just let the thing go to Chapter 7, where he'll still get most of the assets (licenses!). If his risk is higher, he will not want to let it liquidate, because then he will potentially have overpaid for the assets. Just sayin'......my thinking on this.....but who knows!