Mon, Jul 14, 2014, 6:11 AM EDT - U.S. Markets open in 3 hrs 19 mins


% | $
Quotes you view appear here for quick access.

Sirius XM Holdings Inc. Message Board

  • dsc_20601 dsc_20601 Jan 8, 2013 1:30 AM Flag

    Beware Fairpoint declared bankruptcy after their Reverse Morris Trust cluster

    Verizon wished to sell its access lines to Fairpoint. Rather than simply selling these assets alone to Fairpoint, however, Verizon created a subsidiary (to which it sold these assets) and distributed the shares of this new subsidiary to Verizon's shareholders. They then completed a Reverse Morris Trust with Fairpoint, where the original Verizon shareholders had a majority ownership of the newly merged company and the Fairpoint management ran the new company. Verizon was able to divest their access lines in a tax free manner as they continued to focus on higher growth wireless business.

    Fairpoint declared chapter 11 bankruptcy a little over a year later.

    Sentiment: Strong Buy

    SortNewest  |  Oldest  |  Most Replied Expand all replies
3.380.00(0.00%)Jul 11 4:00 PMEDT

Trending Tickers

Trending Tickers features significant U.S. stocks showing the most dramatic increase in user interest in Yahoo Finance in the previous hour over historic norms. The list is limited to those equities which trade at least 100,000 shares on an average day and have a market cap of more than $300 million.