Doug:



In your book and commentary, you note that a new preferred stock invariably has a five year term prior to call.



However, I'm aware of some that have longer terms. For example, DKT, a Deutsche Bank non-cumulative preferred (8.125%) has a term prior to call extending until 2018. Wachovia (now Wells Fargo) has a non-cumulative preferred (7.25%) extending until 2022 (WNA/PR). Huntington Preferred Capital likewise has a non-cumulative preferred (7.785%) extending until 2021 (HPCCP).



I recognize that none of these could qualify as a CDX3 Preferred Stock, since DKT is a foreign issue, and all three are non-cumulative.



Nonetheless, I wondered whether the five year term is simply an industry standard which is not followed in some instances, or whether it is actually a legally required term from which for some reason the above three issues are exempt.



Finally, what is your thinking about the benefits/detriments of any such longer term issues (assuming some could actually qualify for CDX3 Preferred Stock status)?



Rich J.