Publish date:

One More in an Era of Travesties

Cramer provides a somewhat cynical take on Qwest's latest moves.
Author:

Let's be really cynical for a second.

BellSouth

(BLS)

was going to buy

Qwest

(QWST)

last week. That boosted Qwest's stock considerably. So considerably, in fact, that the honchos behind Qwest have decided to savage shareholders with an awesomely dilutive hostile acquisition using the newly boosted stock price.

Who thinks of these things? Who comes up with these ideas?

I know the answer:

People who think their stock is too high

. You don't go printing millions upon millions of your shares and debasing your currency unless you believe the suckers -- oops, sorry, the shareholders -- don't know anything and can be sacrificed. This bit of cynical investment banking is another shot at those who are trying to own high-growth companies. If the interest rates don't shake you out and the volatility (read decline) doesn't shake you out, you can bet management will.

Another travesty in an era of travesties.

Random musings:

eToys

(ETYS)

starts with a market outperform from

Goldman Sachs

. My paranoia about

CNBC

TheStreet Recommends

will be lessened if the people at

CNBC

use the terms "tepid" or "lukewarm" when describing that recommendation as they did

repeatedly

when Goldman started

TheStreet.com

(TSCM)

with an identical market outperform. ... From the Dark-Side-of-the-Moon Department: How much would

DoubleClick

(DCLK)

have been up on this deal three months ago? ... I keep visualizing a frantic

Meg Whitman

conducting auctions by hand: "Do I hear 50 cents for these

John Glenn

bobbing heads? Going once, going twice, sold to the

Toshiba

PC in Santa Fe!"

James J. Cramer is manager of a hedge fund and co-founder of TheStreet.com. At time of publication, his fund was long Goldman Sachs and TheStreet.com. His fund often buys and sells securities that are the subject of his columns, both before and after the columns are published, and the positions that his fund takes may change at any time. Under no circumstances does the information in this column represent a recommendation to buy or sell stocks. Cramer's writings provide insights into the dynamics of money management and are not a solicitation for transactions. While he cannot provide investment advice or recommendations, he invites you to comment on his column at

jjcletters@thestreet.com.