Q: What companies are attractive? A: Our biggest coal holding is James River Coal [JRCC], in Virginia. They just reported their results for the second quarter, which wasn't a particularly good one. They lost money. Because of contracts, the coal they are selling today, or that they sold in this last quarter, they sold for $50 a ton. The coal they sell for next year will get $130 a ton. They are losing money -- maybe $3.60 this year -- but their results will get better with each quarter from here on. The shares are trading at about two times cash flow. We have calculated that the company could earn over $10 a share next year, and the story could be even better in 2010. The stock is at 35.

Q: The stock, which had traded above 35 at one point during the past year, got hammered last week -- it closed around 13 -- after its earnings disappointed investors, fueling skeptics' arguments that it doesn't have a truly inexpensive way to make silicon for solar panels. What happened? A: Timminco produced 291 tons in the quarter, 70 of which were compromised. We were looking for 300 tons, so it was disappointing. But these things often happen in a startup situation; the new technology doesn't always go as you anticipate. We'll have to see if they can produce it in quantity. If they can, there will be tremendous upside. In the past few months, they have had a significant extension of an existing contract, and signed a contract with Cali Solar, which would have been considered a competitor to Timminco. That in itself is a real validation of the company. Q-Cells [QCE.Germany], Timminco's biggest customer, has been vocal about the high regard its team that audits Timminco's processes has for the company. Q-Cells recently raised its revenue guidance, partially off production coming from Timminco material.

Q: Give us some shorts, please. A: Let's start with the obvious. You can't have financial institutions levered 30-to-1, which I think is the case in Europe, or 25-to-1, which I think is the case in the States, and expect nothing bad to happen. So, we have been short the banks for a long time. And the brokers. And the mortgage lenders and mortgage guarantors. We typically short stocks, not ETFs or indexes. We've been short Bank of America [BAC], JPMorgan Chase [JPM] Citigroup [C}, Goldman Sachs [GS], Merrill Lynch [MER], Lehman Brothers [LEH], Morgan Stanley [MS], SunTrust [STI], Wachovia [WB], Washington Mutual [WM], Capital One [COF]. There's hardly a financial name that we aren't short.

Q: Give us some shorts, please. A: Let's start with the obvious. You can't have financial institutions levered 30-to-1, which I think is the case in Europe, or 25-to-1, which I think is the case in the States, and expect nothing bad to happen. So, we have been short the banks for a long time. And the brokers. And the mortgage lenders and mortgage guarantors. We typically short stocks, not ETFs or indexes. We've been short Bank of America [BAC], JPMorgan Chase [JPM] Citigroup [C}, Goldman Sachs [GS], Merrill Lynch [MER], Lehman Brothers [LEH], Morgan Stanley [MS], SunTrust [STI], Wachovia [WB], Washington Mutual [WM], Capital One [COF]. There's hardly a financial name that we aren't short.

Q: Give us some shorts, please. A: Let's start with the obvious. You can't have financial institutions levered 30-to-1, which I think is the case in Europe, or 25-to-1, which I think is the case in the States, and expect nothing bad to happen. So, we have been short the banks for a long time. And the brokers. And the mortgage lenders and mortgage guarantors. We typically short stocks, not ETFs or indexes. We've been short Bank of America [BAC], JPMorgan Chase [JPM] Citigroup [C}, Goldman Sachs [GS], Merrill Lynch [MER], Lehman Brothers [LEH], Morgan Stanley [MS], SunTrust [STI], Wachovia [WB], Washington Mutual [WM], Capital One [COF]. There's hardly a financial name that we aren't short.

Q: Give us some shorts, please. A: Let's start with the obvious. You can't have financial institutions levered 30-to-1, which I think is the case in Europe, or 25-to-1, which I think is the case in the States, and expect nothing bad to happen. So, we have been short the banks for a long time. And the brokers. And the mortgage lenders and mortgage guarantors. We typically short stocks, not ETFs or indexes. We've been short Bank of America [BAC], JPMorgan Chase [JPM] Citigroup [C}, Goldman Sachs [GS], Merrill Lynch [MER], Lehman Brothers [LEH], Morgan Stanley [MS], SunTrust [STI], Wachovia [WB], Washington Mutual [WM], Capital One [COF]. There's hardly a financial name that we aren't short.

Q: Give us some shorts, please. A: Let's start with the obvious. You can't have financial institutions levered 30-to-1, which I think is the case in Europe, or 25-to-1, which I think is the case in the States, and expect nothing bad to happen. So, we have been short the banks for a long time. And the brokers. And the mortgage lenders and mortgage guarantors. We typically short stocks, not ETFs or indexes. We've been short Bank of America [BAC], JPMorgan Chase [JPM] Citigroup [C}, Goldman Sachs [GS], Merrill Lynch [MER], Lehman Brothers [LEH], Morgan Stanley [MS], SunTrust [STI], Wachovia [WB], Washington Mutual [WM], Capital One [COF]. There's hardly a financial name that we aren't short.

Q: Give us some shorts, please. A: Let's start with the obvious. You can't have financial institutions levered 30-to-1, which I think is the case in Europe, or 25-to-1, which I think is the case in the States, and expect nothing bad to happen. So, we have been short the banks for a long time. And the brokers. And the mortgage lenders and mortgage guarantors. We typically short stocks, not ETFs or indexes. We've been short Bank of America [BAC], JPMorgan Chase [JPM] Citigroup [C}, Goldman Sachs [GS], Merrill Lynch [MER], Lehman Brothers [LEH], Morgan Stanley [MS], SunTrust [STI], Wachovia [WB], Washington Mutual [WM], Capital One [COF]. There's hardly a financial name that we aren't short.