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I just gave a link to a grey PR site, and I am worried about doing it, but the other webmaster insisted that his site is just too new to show PR. ( he has all his text in H1 tags + CSS formatting. )
I'm giving the guy the benefit of the doubt until after the next update, but I feel like I'm taking a risk AND being generous... while the other webmaster seems frustrated, needy and not grateful enough.
In more general terms, whether or not one chooses to believe that linking to a PR-grey or PR0 page is risky (for associating with a bad neighborhood), I think the other concern, that weights more heavily, is the issue of inequitable PR trades.
When talking about reciprocal linking (and not just linking for a users benefit), then balancing the value of PR gained and lost is a consideration for many webmasters.
I just gave a link to a grey PR site, and I am worried about doing it, but the other webmaster insisted that his site is just too new to show PR. ( he has all his text in H1 tags + CSS formatting. )
I would drop him. Not because I think he's being penalized, but because he is trying stupid stunts like that. At some point you know that he will try something else that he reads about on some page or another.