Friday, December 7, 2007

More analysis, comment and speculation (some facts, too)

Here's WSJ Deal Journal's comment on the company's solvency opinion.

The stock jumped nearly 8% to close at $32, its highest price in six months, as Wall Street skeptics finally seemed to acknowledge that the deal was likely to close this year after all, and at the announced $34 price.
But Newsday reports: "Tribune's bonds are trading at distressed levels, and prices on derivatives linked to the bonds imply a more than 80 percent chance the company will default during the next five years."

Judging by the increased number of hits to this blog recently, folks are thirsty for as much info on the Zell Deal they can get. Info is important to the not-quite-yet employee-owners as the Deal moves ever-closer to completion. Staffers are worried about how the buyout will impact their jobs. Most do have a lets-wait-and-see attitude, which does not mean they don't have very real concerns about how the monstrous debt of this media giant will hit their pockets.

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