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Old 06-08-2018, 02:06 PM   #3561
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Do you think this is going to be called?
And if so when?
Texas, I cant link it out w/ GF... But if you go to SEC filings under ETR, Look fora bond offerring perpectus somewhere around May 6-11....In the section under use of proceeds it states to redeem the 4 Entergy Ark preferreds. I can link it later tonight if you cant find it.
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Old 06-08-2018, 04:57 PM   #3562
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Originally Posted by Mulligan View Post
Texas, I cant link it out w/ GF... But if you go to SEC filings under ETR, Look fora bond offerring perpectus somewhere around May 6-11....In the section under use of proceeds it states to redeem the 4 Entergy Ark preferreds. I can link it later tonight if you cant find it.

I will try and look... so if you get below call it is a win!!
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Old 06-08-2018, 10:35 PM   #3563
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I will try and look... so if you get below call it is a win!!


Yes that is my plan! Here it is...
USE OF PROCEEDS
We anticipate our net proceeds from the sale of the bonds will be approximately $247.7 million after deducting underwriting discounts and commissions and estimated offering expenses payable by us. We intend to use the net proceeds we receive from the issuance and sale of the bonds, together with other available funds, (i) to redeem $31.35 million aggregate par value of our preferred stock paying dividends at 4.32% - 4.72% per year and (ii) for general corporate purposes. Pending the application of the net proceeds of the bonds, we will invest them in short-term, highly liquid, high-rated money market instruments and/or the Entergy system money pool.
https://www.sec.gov/Archives/edgar/d...m#srom533618_4
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Old 06-09-2018, 11:59 AM   #3564
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I would suggest adding a short term dated issue in...Like RILYL under $25.50... That will blend in with your LANDP term dated issue nicely.
Thanks, I put in an order for RILYL
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Old 06-11-2018, 09:13 AM   #3565
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Yes that is my plan! Here it is...
USE OF PROCEEDS
We anticipate our net proceeds from the sale of the bonds will be approximately $247.7 million after deducting underwriting discounts and commissions and estimated offering expenses payable by us. We intend to use the net proceeds we receive from the issuance and sale of the bonds, together with other available funds, (i) to redeem $31.35 million aggregate par value of our preferred stock paying dividends at 4.32% - 4.72% per year and (ii) for general corporate purposes. Pending the application of the net proceeds of the bonds, we will invest them in short-term, highly liquid, high-rated money market instruments and/or the Entergy system money pool.
https://www.sec.gov/Archives/edgar/d...m#srom533618_4


I think you got a prelim version.... it looks like the final version is different... well... edit... just looked at your link again and it seems like it was filled out... below is the link from the one I saw...




SEC Filing Document For ENTERGY ARKANSAS INC: 424B2, Sub-Doc 1, Page 6


USE OF PROCEEDS
Except as otherwise described in a prospectus supplement, the net proceeds from the offering of the New Bonds will be used either (a) to repurchase or redeem one or more series of our outstanding securities on their stated due dates or in some cases prior to their stated due dates or (b) for other general corporate purposes. The specific purposes for the proceeds of a particular series of New Bonds or the specific securities, if any, to be acquired or redeemed with the proceeds of a particular series of New Bonds will be described in the prospectus supplement relating to that series.




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Old 06-11-2018, 09:58 AM   #3566
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The bond is big enough to chew off a lot of projects. There is no certainty, but it isnt like they couldnt redeem these the last 40 years because they couldnt scrap up ~ $35 million. So the fact they specifically brought them up out of the blue is telling. There has been a consistent plan by Entergy last 3 years....Entergy Louisanna all preferreds called, Entergy Texas redeemed, Entergy New Orleans all redeemed...They do them one at a time. Now Entergy Ark appears to be next man up, then the last Entergy Mississippi will be the final man standing waiting their turn. No guarantees so it is what is, but Im not losing sleep. You noticed normally it would be exD in less than 10 days and not a peep of a divi declaration? My bet is its all cleaned up at same time, divi declaration, exD, and redemption notice...
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Old 06-11-2018, 01:35 PM   #3567
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The bond is big enough to chew off a lot of projects. There is no certainty, but it isnt like they couldnt redeem these the last 40 years because they couldnt scrap up ~ $35 million. So the fact they specifically brought them up out of the blue is telling. There has been a consistent plan by Entergy last 3 years....Entergy Louisanna all preferreds called, Entergy Texas redeemed, Entergy New Orleans all redeemed...They do them one at a time. Now Entergy Ark appears to be next man up, then the last Entergy Mississippi will be the final man standing waiting their turn. No guarantees so it is what is, but Im not losing sleep. You noticed normally it would be exD in less than 10 days and not a peep of a divi declaration? My bet is its all cleaned up at same time, divi declaration, exD, and redemption notice...

I usually look at dividends.com to check days till ex date... but none of these show up as even existing..
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Old 06-11-2018, 02:34 PM   #3568
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I usually look at dividends.com to check days till ex date... but none of these show up as even existing..


These old illiquid subsidiary preferreds many times do not. I went way back in time a few weeks ago and dug it out somewhere. It usually has occurred, but its flying blind and may not be suitable for you since its not really a life changer. I am counting on the pattern with the other subsidiaries in addition to the ďsuggestionĒ. If it happens I suspect its possible it will just be an email notice without any public declaration. So its a flying blind thing...
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Old 06-12-2018, 01:58 PM   #3569
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I would suggest adding a short term dated issue in...Like RILYL under $25.50... That will blend in with your LANDP term dated issue nicely.
Thanks again Mulligan,
I bought some RILYL
Do you have another one to buy and hold?
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Old 06-12-2018, 02:22 PM   #3570
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Just curious why you guys are buying the RILYL instead of the RILYZ? The Z has a couple of years of call protection and higher current yield.
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Old 06-12-2018, 09:18 PM   #3571
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Just curious why you guys are buying the RILYL instead of the RILYZ? The Z has a couple of years of call protection and higher current yield.


Ken, that is precisely the reason I own it. I want this short duration and a head of the others in redemption. I love the terms of the issue, but not as enthused with company as its a bit unwieldy for me.
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Old 06-12-2018, 09:19 PM   #3572
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Thanks again Mulligan,

I bought some RILYL

Do you have another one to buy and hold?


Ric, are you wanting a buy and hold longer duration? Short? What risk level in terms of yield?
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Old 06-13-2018, 07:52 AM   #3573
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I would prefer longer duration, but 6% conservative is more important.
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Old 06-13-2018, 10:19 AM   #3574
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I would prefer longer duration, but 6% conservative is more important.
If you don't mind a REIT and are doing this in a retirement account (so you don't need the preferential tax treatment) you could look at MAA-I. BB+ rated and current yield is about 6.6%. It's a perpetual, but callable in 2026. YTC is 4.5%. but, you could increase that if you watch it and get out a few years prior to call.
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Old 06-13-2018, 10:15 PM   #3575
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I would prefer longer duration, but 6% conservative is more important.


Ric, you are looking for plus 6% with duration protection, correct? This would mean a longer maturity and capital exposed to duration risk which means they could drop several dollars despite having a safe income stream. Are you ok with that? Just checking before I give any thoughts.
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Old 06-14-2018, 12:56 PM   #3576
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Mulligan,
I still have a lot to learn so the no BS answer is - I don’t know
I am looking to buy and hold for 10 years and have for an income stream of 6%
I would be comfortable buying a 6% current yield at one dividend over par if there is good chance it would not be called in less than a year
And a 7% current yield for two dividends over par if there is good chance it would not be called in less than 5 years
I would feel comfortable buying CNTHP if it came down
Does that give you a sense of my risk level?
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Old 06-14-2018, 02:50 PM   #3577
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Mulligan,
I still have a lot to learn so the no BS answer is - I donít know
I am looking to buy and hold for 10 years and have for an income stream of 6%
I would be comfortable buying a 6% current yield at one dividend over par if there is good chance it would not be called in less than a year
And a 7% current yield for two dividends over par if there is good chance it would not be called in less than 5 years
I would feel comfortable buying CNTHP if it came down
Does that give you a sense of my risk level?
I guess I am similar. For example, AILLL the price could go down from $25 Par to $12 and I would not care (well I may buy more if interest rates are still 1/2 the dividend %) because I do not intend to every sale it. I just want to keep collecting the 6% annuity (I mean dividend).

Now if I thought I might sale it in the future that would be a different story or might need the $$$.
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Old 06-14-2018, 05:05 PM   #3578
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I guess I am similar. For example, AILLL the price could go down from $25 Par to $12 and I would not care (well I may buy more if interest rates are still 1/2 the dividend %) because I do not intend to every sale it. I just want to keep collecting the 6% annuity (I mean dividend).



Now if I thought I might sale it in the future that would be a different story or might need the $$$.


Cap, that is what concerns me recommending to Ric....If he had your mentality, there are a lot of good ones to buy. But to ensure capital protection in 10 years or so requires a term dated one or baby bond. And some of these may be higher risk than he may want to get the yield. And I dont really follow the beaten path always. For example after 4-5 long years of fruitless chasing I finally snagged WELPM a bit over $113 today. Last trade was back at $118. It is still only 5.3% or so, but A3 rated and non callable. I will keep it because its payments are safe and well, I just wanted it, lol....But then I will flip trade also. I bought CPE-A again 3 days ago and held it for 2 and sold it again for 45 cent gain. After a month ago holding for a couple weeks and selling for $1.40 or so gain per share....And then there are give up trades...I bought C-L at $25.78 today...If they call in 2/2019 I eek out a small gain and move on. If they keep it outstanding it will trade better do to its higher par yield. I literally have all types...perpetual non callables, fixed to float, term dated, past call, call protect, mid term maturities. I just kind of move around and balance out and hope for the best between some income streams like you mentioned and sometimes flippers.
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Old 06-14-2018, 05:07 PM   #3579
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Mulligan,
I still have a lot to learn so the no BS answer is - I donít know
I am looking to buy and hold for 10 years and have for an income stream of 6%
I would be comfortable buying a 6% current yield at one dividend over par if there is good chance it would not be called in less than a year
And a 7% current yield for two dividends over par if there is good chance it would not be called in less than 5 years
I would feel comfortable buying CNTHP if it came down
Does that give you a sense of my risk level?


Ric what is your capital risk level? Even CNTHP traded down in lower $30s back in periods of higher interest rates of years gone by.
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Old 06-14-2018, 08:15 PM   #3580
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Quote:
Originally Posted by RicDee View Post
Mulligan,
I still have a lot to learn so the no BS answer is - I donít know
I am looking to buy and hold for 10 years and have for an income stream of 6%
I would be comfortable buying a 6% current yield at one dividend over par if there is good chance it would not be called in less than a year
And a 7% current yield for two dividends over par if there is good chance it would not be called in less than 5 years
I would feel comfortable buying CNTHP if it came down
Does that give you a sense of my risk level?


Ric, this is what I own... NGL-B, NS-C, NS-A, CTV, FIISO, WELPM, IPWLK, HE-U, RILYL, CTGSP, EGRKM, EGRKI, EGRKH, MSEXP, C-L, CNIGP, KTBA, BRG-A, and PFX. Not uniform in allocation. Its hard for me to recommend what I dont own (there are many good ones) since I dont track them as much. Many of the above do not fit your criteria. I got some more HE-U at 25.85 yesterday and it did sell cheaper a few days prior. For your needs it comes closest. If you can get in at $25.80, it goes exD end of month so you claw back half the over par money in a couple weeks. Survive 3.5 months and you are free and clear until redemption. It has a 2034 maturity which will serve as a backstop as time goes by plus its past call which helps (been callable for almost 10 years). Remember this ute holding company also generates a fair amount of its profits from the Hawaii bank it owns. This is debt so HE has to go bankrupt to ultimately not get paid.
C_L I find compelling as a hold. If they call 2/2019, a small gain occurs. If rates rise just enough it may not be worth their time to call and you have a higher yielder that wouldnít be as loss exposed as 6% par QDI Preferred would have.
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