It appears the “clams” from Calamos are in deep shit, via auction rate securities.
| Calamos Asset seeks to refinance auction-rate preferred stock issued by closed-end funds (15.11 -0.74) | |
| Co announces that it is seeking to refinance the leverage on the five Calamos closed-end funds that have issued auction-rate preferred stock. The co is in discussions with a variety of market participants regarding new debt financing to refinance a portion of the A.R.P.S. Within the next several weeks, The co intends to begin announcing ARPS refinancings, subject to necessary approvals. “The recent decision by major broker-dealers to withdraw their support of auctions and the resulting failure in the auction rate market has created uncertainty for both our preferred and common shareholder… With our announcement today, we are looking to begin to restore liquidity to our auction rate preferred shareholders and confidence to all Calamos closed-end fund shareholders… At a time of unprecedented developments in the credit markets, we nevertheless continue to believe that leverage for our closed-end funds is beneficial to our common shareholders. At the same time, we recognize that the lack of liquidity has created both uncertainty and frustration for our preferred shareholders. We ask our valued clients for their patience as we aggressively work to address their concerns and restore liquidity by developing and securing alternate forms of leverage.” |
In other auction news:
| Over 75% of auction rate securities sales fail Wed – DJ | |
| DJ reports over 75% of public auction rate securities up for re-sale failed Wednesday, according to a document provided by a person familiar with the situation. Out of 255 securities on offer, 192 failed, the document showed. This is compared with 182 auctions failing out of a total of 231 on offer Tuesday. | |
via Briefing.comÂ
Odd, no?
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Yes, but that means that 25% did not fail.
You always have to look on the bright side and bury your head in the sand every now and then—-like today, for example.
We are down over 200 pts, but hey, yesterday we were up 400 pts. See?
I feel much better now.
They failed to fail – that’s a double failure.
Dudes…didn’t you guys see what happened yesterday? I made the market go up 400pts. What the fuck do you want from me?
Cramer!!!
Thanks for AEM and CHK …..
BOOOO-YAAA!!!
I sold some clams last week, so for me, this would be a “non-non-position update.”
well it’s not the kind of news that is worth discussing. i wonder why are you all here so excited?