And what kind of letter will Tenet receive from KPMG from their financial statement audit? I bet cash money KPMG states that the financial statements can be relied upon and are a true representation of the company's books and records. In other words, there is no fraud and that the financial statements can be relied upon. Tenet will be healthy in about 12 months. Why else would Pacific and Legg Mason be buying a material amount of stock? There will be no surprises in the audit, the BOD will have their annual meeting in a couple of weeks (new board members elected,) and the healing process will begin in the Tenet world for those who are long and plan to hold for 18-36 months.
Is the captial gain tax rate at 15 or 20%?
President Bush says cutting taxes is good policy and good politics and he will ask for a tax cut every year he is in office. Hell, I might not have to pay any taxes on my Tenet windfall if he gets re-elected. I am a Democrat but I still like money. I just might not vote in the next presidential election, so if he wins I win and if he doesn't I win. America is a great country.
All the BOD has to do is (1) announce they are moving the corporate headquarters from Santa Barbara to Dallas, (2) hire an outside CEO above reproach (GE executives are everywhere and don't they make a lot of medical equipment), (3) leave Trevor in as President or CEO in training and with the clean audit report, Tenet will begin the slow healing process. I feel a one or two dollar jump after the annual meeting.
Tenet generates lots of money and with the lowered expectations, it will not be hard for them to pass expectations.