Is there a way to declare the special in paper, have ML buy that paper for cash, and then have the cash distributed to the shareholders, while ML then resells the paper to its clients? Could this be the solution? Could it be this easy?
The company is allowed to pay as much as $31 Mil of the special in cash regardless of whether in paper or no. So, lets say PZN declares the dividend in paper, and ML buys that paper for a $31 mil discount. PZN then pays the full special in cash and ML has some paper that has a little cushion in it.
This way Doc gets that cash into his personal hands, and ML gets a big fee, a security at a discount, and then gets brokerage fees for the flip.
PZN can't declare a dividend to it's shareholders and have anyone buy that dividend! If they are declaring a $1,000 bond per 10,000 shares as a dividend to me... How could ML or anyone else take my bond and give me $690 cash for it. Your solution makes absolutely no sense. Sorry.
25 million remaining to be paid of special. 95 % of taxable income for 2000. I thought that the taxable requirement would drop to 90%. per proposed legislation.... "Breaking up the REIT structure now would create tax and other costs that make it an unattractive option for Prison Realty," Macdonald said.
"Reading between the lines, there is good probability Prison Realty will de-REIT in 2000."