it looks like this amazing ride with the quibs will be over - i assume that will an ipo promised in 2014 and re-due debt that this great instrument will be called! Not sure that i have to participate, but the will most likely take them. I bought 4500 of these @ an average price of $6 during late 09 and early 10~~ @ 2.00/yr the reward has been stellar-- current price $25.14 yield slight less than 8% but over 30% when i bought them.
I am interested in this bui - vehicle - any more information?
the next payment is Nov 15 2013-- x-date is around the end of Oct 2013
Nothing available like these quibs- I like enytf ( eagle energy trust - yield 13.25%-15% foreign canadian tax) all properties are in Texas- super cheap- pays monthly!
I wouldn't assume the quibs will be called. Investment grade preferreds are now yielding around 7%, an after tax cost of capital which exceeds the 8% quibs. VZ's The $80-90 million quibs outstanding is chump change. Whats more, there were private negotiations about Hiltons debt with the government during and after the crisis about the debt overhang with the Lehman bankruptcy. I've never seen details of the deal but there was some loan forgiveness in exchange for something. There is increasingly a capital squeeze going on. Just look at what has happened to preferreds over the last 6 months--thus the reason for the IPO. It is premature to determine the value of the IPO but suffice it to say, BX will retain a large interest in the public company and there will be plenty of debt after the issue. My average cost of 8000 quibs was $8 and I, too, enjoyed the ride.
We'll probably say good buy to theser QUIBS.
Do you have any nice replacement?
I did not understand your note about VZ. Yes, Verizon has one partially-c allied 7% preferred, but it's price is around $26 - above the par, and this isn't acceptable to me. They can call it any day and I will loose on principal.