 If Enron's stock did well and Rhythms' sank, then Swap-Sub could reimburse Enron using its Enron shares and provide Enron a profit.More importantly, the deal allowed Enron to use this "trapped" value of the Rhythm put option to bolster its income statement and keep its stock price inflated.However, unlike a true economic hedge that uses the equity of a direct competitor (in this case a direct competitor of Rhythms NetConnections), this "hedge" would fail disastrously if both Enron stock and Rhythms stock dropped.