Orica, the worlds biggest explosive company took an offer from private equity companies the other day. Shares leapt five dollars to 33 dollars Australian The company rejected the offer. Not enough.

Private equity gets slammed. But boy, is it relentlessly starting to clean up business and make it efficient. Orica has a conservative balance sheet, born out of almost failing a few years ago and a share price of four dollars in the early two thousands.

Private equity focused attention. Orica will have to buy another company, return capital, initiate a buyback or do something with the equity that have built up. Anything but sit on it.

Private equity has forced Coles to sell it self. Supermarkets in Australia will reap the rewards as prices come down from new competition. Myer was sold and is already doing much better.Coles management failed and private equity exposed this.

Private equity will have incredible excesses before this wave finishes; and there will be disaster; but overall consumers, the markets and companies will be better for what is now happening day in and day out.

Phil was at Costco in Culver City yesterday. Shopping for a big screen TV. "We got a 52" already but I think I'll take that out, and put it into the bedroom and install a 60" on the wall." Plasma probably. That's several K. But Costco have a $499 deal for a 32"LCD on the website.

Big screens prices are plummeting and the demand is explosive. Phil isn't alone. American consumers want the big screens. Price drops get them drooling. There's big growth building here. And some previously no names; Olevia  and Sceptre; could be big winners.

But after you get the screen what next? HDTV. Internet hookups. All coming as the hardware mandates more content.