Alliance Data Systems

ADS-N

A little bit of a valuation creation play and a little bit of an income trust play. They have the air miles program in Canada. The Aeroplan went to an income trust and was a huge success. Sees $20 of value for air miles and for a $40 stock feels you can get a $50 handle on it if they go that route. If it goes to $50, would clear out.

(Was a top pick on Apr 30/03. Up 21%.) Still likes, but too high now.

Their Air Miles makes them a lot of money along with their private label credit cards. Buy in the low $20's and the teens. A good long term buy.