Southern Pacific Resource Corp STPJF

Debs return - as of right now

[ShatnersRug]

Assuming a $45 price purchased today
37.75% per annum

[Eyeinvestor]

At 45, the yield to maturity is 49.238% per annum. Obviously we can do numbers for the equity that are significantly higher than that, especially if McKay can be accelerated. As my mentor used to say "High risk but highly compensated for that risk".

[ShatnersRug]

@Eye, Can you show how you came to your figure? Assuming 2.25 years to maturity? Thanks, Shat-

[Eyeinvestor]

Method 1 (easy way): Find a Bloomberg terminal, type in STPCN 6 06/30/2016 Corp. Hit Enter. Type YA or YAS (for yield analysis) Enter 45 in the price column. Hit Enter ...... Et Voila! If the $2,000 per month for bberg seems a bit steep, most good libraries have one. Method 2 (back of the envelope) 1000 debs cost 450,000 Capital return 1,000,000 5 Coupons 150,000 Less accrued - 16,666 How does one