Chapter 266: Good News and Bad News

……

"What?"

Everyone in the room was stunned by the news, but the secretary was clearly not the only one with bad news.

In addition, the Federal Energy Regulatory Commission has just released the news: California, Arizona, Oregon, Washington and other 13 western states have a mandatory limit on electricity production prices at 20~90 per megawatt hour. No enterprise shall raise the price without permission for any reason!"

"Boom!"

Two pieces of bad news exploded in Jeffrey Jilin's mind like thunder.

"It's over!"

His face was pale, and he was desperate like never before!

……

"Whoa...!"

The newspaper that had been flipped through was casually placed on the table next to it by the owner.

"In just half a month, the U.S. energy market has changed dramatically, and now everything is different!"

After taking a sip of the coffee in the cup, Stephen Bryan nodded, "yes." I'm probably the proudest one now is Bruce Guo. Pan Pacific Energy Group, which swallowed the Southern Corporation, is now the largest electric and natural gas utility company in the United States, with a market share of 38.7%, and without the containment of the energy crisis, the originally heavily indebted Pan Pacific Group will have a basis for revitalization!"

Blank Finn nodded, although Pan Pacific Group is highly indebted, its hematopoietic ability will be restored in an instant after the energy crisis subsides. With a steady stream of money, its liabilities can be reduced little by little. And in three or four years, maybe a little longer, to regain balance.

"I didn't expect us to work so hard for so long and end up losing to Bruce Kwok!" sighed Stephen Briggan.

"Yes, no one would have imagined that he would be able to make such a good cash flow on gold futures! Moreover, this kind of probabilistic 'five sigma event' cannot be speculated by past experience. So don't be discouraged even if you fail. After all, although we didn't make super profits, we made a lot of money from these series of transactions!"

Stephen Bryan nodded, "Blank, I think it's necessary to cooperate with Guo Shouyun on gold!"

"Isn't Bruce Guo going to hold a reception for Thunder Fund clients, and when we get the detailed data, let's officially cooperate!"

"If that's the case, I'm afraid we'll miss the opportunity. After all, Merrill Lynch, Morgan, Citigroup, Bear Stearns, etc. are not fools, and they are as sensitive as we are when it comes to making money!"

Blank Fein smiled and shook his head.

"Stephen, you've met Bruce Kwok many times, too. Do you think he's the kind of person who would give up his interests for the sake of a favor of little value?"

"It sounds sad, but it is!" sighed Stephen Bryan as he spread his hands.

On Wall Street, there are no friends, only interests!

"By the way, what about Enron? Jeffrey Jilin and Andrew Fastto have called me a lot!"

"They've called me too, but now Enron's condition is terrible. It's too risky to fund them!"

Stephen Bryan nodded in agreement and sighed, "It's a pity that Enron's stock price has dropped below $30 now, otherwise you can take advantage of this time to make another short profit!"

"Speaking of which, Bruce earned again!"

Stephen Bryan was stunned for a moment, then nodded.

"This guy is a genius of financial speculation!"

"With such a large population in the United States, there will always be a few extremely good guys!" said this, but Blank Fein's tone was also full of envy, even though he is now the chairman and CEO of Goldman Sachs, and has a respected position in the financial community in the United States and even the world.

"It seems that we need to continue to close our relationship with this genius. After all, Goldman Sachs is more successful when it comes to successful people!" said Stephen Bryan.

"It's just a pity that the 'Hound Project' failed like this!" Blanc Finn sighed after nodding.

"We're okay. The Citi guys are really bad, they lost a lot of money on Enron!"

"Why? Didn't the money from shorting Apple make up for their losses?" Blanc Finn, who had just returned from China, was unclear about the small things that didn't matter the big picture.

"Hmph! Coerced us into shorting Apple, used our connections to hit LinkedIn, and partnered to walk negative news about Bruce Guo, but the end result not only did not pull Enron's stock price up. Instead, Guo Shouyun directly acquired Apple, increased Amazon's stake to 33.5%, and suppressed Enron's stock price even lower!"

Thinking of this, Stephen Bryan got angry. If it weren't for Citigroup's recklessness, they wouldn't have made a hasty move without figuring out Guo Shouyun's true strength, so that the other party used the abundant funds earned from gold to not only resolve their series of attacks into intangible, but also successfully realized their own business layout!

"Alright, Stephen. Now that the incident has happened, there is no need to be annoyed! Fortunately, Goldman Sachs' strength and position in the financial world give us a chance to make amends!"

Stephen Bryan took a breath and nodded.

"One more thing. I got the news that recently Citi people have gathered the Bahrain family, Andrew Fasto, and the Dutch ING group to form a new interest group against Bruce Kwok?" asked Blank Finn.

"I know that. However, I don't believe these guys can really beat Bruce Guo when they get together!"

Blank Finn nodded, "Although I don't have any hope for this, Goldman Sachs should have information inside this alliance even if it doesn't participate." Otherwise, if the opportunity to make money arises, we will not miss it!"

"Don't worry, I've made a targeted arrangement. There's no guarantee that we'll get the first information, but we're definitely the first to get the news outside of this league!" said Stephen Bryan confidently.

"Stephen, you're always so reassuring!"

"Thank you!"

"Let's go, it's noon, let's eat together!"

……

At the same time, Guo Shouyun was also listening to Jonathan Weir's excited report.

"Boss, everything is different. Now that the price of electricity in California, as well as in the western states, has dropped to $32.7 per megawatt hour, Pan Pacific Energy has returned to profitability!"

"That's good, if the current situation continues until the end of the year, how much pre-tax profit will the company be able to make?"

"About $1.5 billion!"

"So low?" Guo Shouyun frowned.

You know, before the California energy crisis, Pacific Power & Gas alone could get this figure in its pre-tax profits, not to mention the Pan Pacific Energy Group, which has now nearly tripled in size.

"Because in the second half of the year, the company has $2.73 billion in short-term debt due. In addition, up to $41 billion in interest payments on bank loans will be paid. In addition, after the acquisition of Southern Company, the loss of Southern Telecom Company has also been transferred to our subsidiary, plus operating expenses, new power plants and equipment depreciation and other expenses, 1.5 billion US dollars is already our best expectation!"

Guo Shouyun nodded, he knew about the financial difficulties within the group, but the actual difficulties exceeded his original expectations.

“… However, the boss is reassured. After this year's peak debt service has passed. The group's short-term debt expenditure will fall to $13.8 next year, or no more than $4 billion, including bank interest. In addition, through layoffs and organizational reform, it is possible to effectively reduce operating costs. The company's finances will improve significantly! And it will get better and better in the future!"

Guo Shouyun nodded affirmatively, "How is the disposal of assets beyond the scope of the company's business?"

"Real estate, recreational facilities, bonds and some shares were sold. But stocks and bonds of some mineral, water, waste, technology and internet companies, as well as telecommunications companies, including Southern Telecom, have not been sold. ”

"How can there be minerals?"

"In the 90s, the U.S. stock market was red, and the prices of resource assets such as coal, copper, and iron ore were high and the returns were stable, and many companies invested in this. This is especially true in states where such resources are abundant. Jonathan Weil explained.

Guo Shouyun knew it in his heart.

As the bull market turned bearish after the Nasdaq crisis, resource asset prices fell by nearly half, and major mining companies struggled to get by. It's normal that no one wants the minerals in his own hands, and even if someone asks for them, Guo Shouyun doesn't sell them. If you keep it in your hands and wait until the economy improves, you can still hedge your losses. But if it's sold now, it's a real loss.

Similar to minerals, there are telecommunications companies, and after the collapse of the NASDAQ, the U.S. telecommunications market collapsed like the Internet, and the prices of telecommunications companies plummeted. Telecom giants, including Verizon and AT&T, are having a hard time, let alone anything else.

"Establish a Pan Pacific Group Investment Company, put all the assets that have not been sold under this company, and the company will be supervised by you for the time being, and as for the suitable CEO candidate, it will be discussed and decided at the next board meeting. ”

"Understood!"

"Also, if the assets of the investment company are lower than the previous purchase price, then do not sell them for the time being, maintain operations, or even invest appropriately, and then sell them when the market improves. ”

"Nothing else. But Southern Telecom currently ranks eighth in the U.S. telecommunications industry, with total assets of nearly $12 billion, and maintaining its operations is probably not a small amount. ”

Guo Shouyun frowned, although he was interested in the telecommunications industry, he also knew that his energy was not unlimited. Therefore, the best choice at present is to stick to the five major industries of Internet, technology, energy, media and finance, which are already involved, and it is not appropriate to continue to expand.