Newsletter June 02

This little piggy went to market (stock), this little piggy stayed home (with the shareholder) In what might be the most confusing spin-off/merger transaction in recent memory, AT&T Corp (T) plans to spin-off its broadband business and then merge it with Comcast Corporation. Didn’t it just buy TCI and MediaOne cable Co’s? Then, AT&T plans to create a tracking stock (anyone remember AT&T Wireless?) for its consumer businesses, appropriately to be named AT&T Consumer Services Group. And, if that wasn’t enough, AT&T is then requesting shareholder approval (if there are any shareholders left) of a 1 for 5 reverse split of the remaining AT&T Corp stock position. Confused? Certainly investors will be. And after receiving the 700 page "Merger Proposal" document that was recently mailed by Comcast and AT&T corporations, investors may very well be tired of the whole mess and may want to shed their investments. If the Comcast merger does happen, current AT&T stockholders will end up with approximately 35 shares of the new company for each 100 shares owned of AT&T. The reverse split could take many round lot positions and make them into odd-lot holdings overnight as 100 shares will become 20 shares and so on. And while there are no apparent plans to spin-off the newly proposed tracking stock, one should recall the AT&T Wireless mess created a few months ago. Don’t let these confusing transactions trap you or your clients into a non-economical investment. Earn the investments greatest realized value by using the SMK Solution! All of the AT&T companies are now availible through DTC’s weekly accumulation program.	Peanut Butter and Jelly Under One Roof! A Sticky Situation! Proctor & Gamble completed its sale of the Crisco and Jif brands to the jelly people, JM Smuckers on June 1st. Smuckers paid $1 billion for the brands by giving PG approximately 26 million shares of its stock. Immediately after the sale, PG gave its shareholders the Smuckers stock, 1 share of Smuckers for every 50 shares owned of PG. Smuckers, in turn, issued new stock under the symbol SJM, to all of its shareholders, granting approximately .9447 share of the new issue for each old Smuckers share owned. After all of the sale and spin-offs were completed, Smuckers shareholders (new and old) find themselves holding odd-lot positions. The positions could be for as little as 1 or 2 shares, or as many as 94 shares. The fractionalized positions arrived in shareholders accounts on Monday, June 3rd. In either case, SMK can help resolve this sticky situation through its DTC eligible odd lot program. For more information about the SMK Solution, call David Messinger, Partner at 305-986-1331. WorldCom hits new low on heavy volume Shares of WorldCom (WCOM) continue to crumble amid a steady decline in its long distance business and concerns over the company's debt burden, hitting a new all-time low in intraday trading. The stock is down 30 cents, or 9.2 percent, at $2.97 on volume of 67.4 million shares, making it the day's most-active issue.	"Fract Again!" Lucent Gives Troubled Investment to Troubled Shareholders! Back in March of 2001, Lucent Technologies, Inc. (LU) offered its wholly owned company, Agere Systems, to the public in a widely publicized IPO. The stock of Agere (Class A common shares) was priced at $6 per share at the open of the offer. Since then, the stock’s price has fallen to $3. After the IPO, Lucent maintained a 58% ownership in Agere by owning all of the outstanding class B shares. Now, after the stocks value has been cut in half, Lucent plans on shedding its "losses" by giving Lucent shareholders all of the class B shares, along with the class A shares it owns. The Lucent shareholders will receive 1 share of Agere Class A for every 92 shares of Lucent owned, and 1 share of Agere Class B for every 3.7798 shares of Lucent owned. As an example, an investor owning 100 shares of Lucent, will now own (in addition to the 100 shares of Lucent) 1 share of Agere Class A and 26 shares of Agere Class B. Since both classes of stock of Agere are trading around $3 per share, the investor does not have an economical position to liquidate. But, the SMK Solution can help save the day with an exit strategy that really works! And the offer is eligible through DTC! Qwest being investigated by US Attorney's office DENVER, July 10 (Reuters) - Local telephone company Qwest Communications International Inc. (Q) on Wednesday said it was notified on Tuesday afternoon that the U.S. Attorney's office in Denver began a criminal investigation of the company. The U.S. Attorney's office did not disclose the subject matter of the investigation, it said. Denver, Colorado-based Qwest said it plans to fully cooperate. Following the news, Qwest's shares fell 93 cents or 35.6 percent to $1.67 on the New York Stock Exchange. Click for full story
SMK Information Services is also interested in bonds, limited partnerships, and any securities that may be deemed “illiquid” due to a lack of trading history. Offers Eligible Through DTC · Agere Systems, Inc., Class A Stock, AGRa, NYSE · Agere Systems, Inc., Class B Stock, AGRb, NYSE · AOL Time Warner, Inc.- Common Stock, AOL, NYSE · Applera Corporation - Celera Genomics Group, CRA, NYSE · Applied Materials, Inc. common stock AMAT NASDAQ · AT&T Corporation, Common, T, NYSE · AT&T Wireless Group, AWE, NYSE · Avaya, Inc., AV, NYSE · Cable and Wireless plc Sponsored ADR, CWP, NYSE · Calpine Corporation, CPN, NYSE · Canadian Pacific Railway LTD., CP, NYSE · Cisco Systems, CSCO, NASDAQ · Citigroup, Inc., C, NYSE · Commercial Net Lease Realty, Inc., NNN, NYSE · Corning Inc.,Common, GLW, NYSE · CP Ships LTD, TEU, NYSE · Diebold, Inc., DBD, NYSE · Doubleclick, Inc., DCLK, NASDAQ · E Trade Group, ET, NYSE · EnCana Corporation, NYSE, ECA · Enpro Industries, Inc., Common, NPO, NYSE · Fairmont Hotels & Resorts, Inc., FHR, NYSE · Fording, Inc., FDG, NYSE · Halliburton Company, Common, HAL, NYSE · Imagistics International, Inc., IGI, NYSE · Iomega Corporation, IOM, NYSE · JDS Uniphase Corporation, Common, JDSU, NASDAQ · JM Smuker Company, Common, SMJ, NYSE · Kadant, Inc., KAI, AMEX · Kana Software, Inc., KANA, NASDAQ · Liberty Media Corp, L, NYSE (New) · Lucent Technologies, LU, NYSE · Magnum Hunter Resources, Inc, MHR, AMEX · McData Corporation - Class A Stock, MCDTA, NASDAQ · Microsoft Corporation common stock MSFT NASDAQ · NCR Corporation, NCR, NYSE · Nortel Networks Corporation, NT, NYSE · PanCanadian Energy Corporation, PCX, NYSE · Polycom, Inc., PLCM, NASDAQ · Veritas Software Corp., VRTS, NASDAQ · Worldcom Group, Common Stock, WCOM NASDAQ · Worldcom, Inc. - MCI Group, MCIT, NASDAQ · Zimmer Holdings, Inc., ZMH, NYSE	This Newsletter is published by SMK Information Services ã Copy write June 2002	Tune in to David Messinger's new question and answer radio show
		Your Clients Realize 25% More with the SMK Solution! "The SMK Solution is the best odd lot offer program available today. It offers easy to understand share price valuation, timely payments, minimal paperwork and very small processing fee for any shares transacted directly with SMK. Traditional methods of liquidating odd-lot positions can not compare to the SMK Solution through DTC. Assuming a traditional brokerage fee of $50 for a trade, the following reflects just how efficient and valuable the SMK way can be to your client’s bottom line: Traditional The SMK Brokerage Solution Name of Security JM Smucker Co JM Smucker Co Number of Shares 6 6 Date of Action June 18, 2002 June 18, 2002 Date of Settlement June 21, 2002 June 19, 2002 Gross Proceeds $ 207.60 $ 207.60 Transaction Costs $ 50.00 $ 9.00 Net Proceeds $ 157.60 $ 196.60 Our simple program and experience is the edge your clients can count on. For more information about the SMK Solution call David Messinger, Partner at: (305) 986-1331 or e-mail: david@smkinfo.com
	eBay Buying PayPal in $1.5 Billion Deal SAN JOSE, Calif. (Reuters) - Online auctioneer eBay Inc. (NasdaqNM:EBAY - News) on Monday said it would buy PayPal Inc. (NasdaqNM:PYPL - News), the online payment system already used by many eBay customers, in a stock swap worth $1.5 billion. The deal takes eBay, one of the few success stories in the Internet commerce sector, a step closer to providing a full-service operation, from listing to payment processing. Click for full story REGISTER TO GET YOUR FREE SMK PEN Call David or Matt or go to the SMK WebSite click on NewsAlerts. It takes a few minutes and your pen will be on its way to you.



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Vol. 2 Issue 5 SMK Information Services June 2002