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In the letter she wrote: "To the layman on the street it will look like we recognized funds flow of $800 mm [million] from merchant asset sales in 1999 by selling to a vehicle (Condor) that we capitalized with a promise of Enron stock in later years".
To the layman on the street, it will look like we recognized funds flow of $800 million from merchant asset sales in 1999 by selling to a vehicle (Condor) that we capitalized with a promise of Enron stock in later years.
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We do not think [the company] has sufficient leverage available to buy expensive merchant assets, allaying value-destruction fears.
Mr. Sully, 59, part of Morgan Stanley's office of the chairman until he retired in January, oversaw asset management, merchant banking and the Discover credit card business, the bank said.
Attempting to explain the billion-dollar charge and calm investors, Enron's disclosures spoke of "share settled costless collar arrangements," "derivative instruments which eliminated the contingent nature of existing restricted forward contracts," and strategies that served "to hedge certain merchant investments and other assets".
"We believe that with their fresh perspective and vision for the company, the prospects for growth at LDH Energy are tremendous as it continues to expand its merchant footprint and grow its asset portfolio".
It took 150 billion yen in write-downs related to merchant banking and real estate assets.
The sticking point: Merchant bankers have valued the assets to be.
It operates retail and merchant energy businesses, power generation assets and an upstream gas portfolio.
For a hype merchant who brags about his "yuge" assets, the speech of his life was astonishingly small.
Many of those going under the hammer – with fat fees for the merchant banks who steered them – were assets it now seems barely believable were ever state-owned.
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Justyna Jupowicz-Kozak
CEO of Professional Science Editing for Scientists @ prosciediting.com