because this is a distribution, it is treated like a dividend for tax purposes? It really isn't a company spin-off like some other companies do when companies split into two or three like ATT did years ago.
It would seem to me that if it is considered a (non taxable) distribution then the NRGY basis would be adjusted (lowered) accordingly giving rise to additional ordinary gain upon disposition of shares. If that is the case it would seem that there world be no basis in the PRH and all sales proceeds would be subject to ordinary gain tax. If one were to sell only PRH it would seem then that one would, as in my case, pay a tax on PRH while sustaining an unrealized loss in NRGY. Can anyone comment on the veracity of the foregoing?