[NativeNewYorker]

BINGO! Foreign currencies means the paper traded to houses in London/Europe/Japan, where they didn't have the relationship to get Enron paper directly.

Ha!

Houston goes belly up, but the fallout drifts over NY and hits the fools overseas!

[habs4ever]

What a rotten deal! the investor gets no upside, assumes all the risk, and gets a coupon less than market rates?? I wonder, just wonder, if Citigroup leaned on their clients to take this issue??There has to be a trail for these private placements, and to make provisions in the terms suggests Citigroup knew these "Primes" should have carried a junk bond rate instead of 7.37%.Or suggests they knew that ENE really didin't create much cash flow from their continuing operations ;-)

[habs4ever]

The other, more cynical view, is to wonder if these units were created in Trusts that could be designed for no more than to create tax loss carryforwards???