The business income trusts and the energy trusts were about 50% overvalued prior to the announcement. I've estimated that taxes are about 10%, so the promise not to take a tax would have kept them 10% above where they should have been--but there was another 40% overvalue, in my opinion, as a result of the deceptive cash yields. This was cash that was paid out that was not earned, cash that was needed to sustain the business by replacing the depleting reserves in the energy trusts and replacing and maintaining the plants.
Primary Energy Recycling just cut its distribution by a third. They didn't have a dollar set aside for maintenance. Guess what? What was the reason for needing to cut the distribution? Major maintenance was required in one of the five plants for energy recycling for electrical generation. That was a clear case to show the distribution was far too high, and the price was far too high, and it was sold that way to seniors in the Canadian market by an American businessman who couldn't raise the money in his own market.