Loral Space & Communications Message Board

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Technology Stocks : Loral Space & Communications

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next

To: Don Limb who started this subject	7/19/2004 11:18:36 AM
From: ebg51	Read Replies (1) of 10852

Loral shareholders again ask for official bankruptcy panel July 12, 2004 5:41pm Associated Press WorldStream WASHINGTON_A group of Loral Space & Communications Ltd. shareholders say there is "significant evidence" the satellite maker isn't insolvent and may have underestimated its market value by as much as $878 million. In renewing its request for court approval of an official committee to represent stockholders' interests at Loral's expense, shareholders claiming a stake of 3.5 percent in the company say Loral's filing for Chapter 11 bankruptcy _ which protects the company from creditors while it reorganizes _ was unneeded and fraudulent and the company has repeatedly omitted or minimized assets on its balance sheets. New York-based Loral filed for Chapter 11 bankruptcy protection in July 2003, saying it wanted to trim its debt load and sell some of its satellites. Tony Christ, who is leading the stockholder group, said Monday the 74-page motion he submitted to the court is basically a plea for proper representation and an argument to show that all the value in the company isn't represented on the balance sheet. The motion represents his fourth attempt to gain representation for shareholders in the case. A Loral representative declined to comment on the stockholders' request. Court papers filed July 7 with the U.S. Bankruptcy Court in Manhattan said Loral has undervalued many of its other assets, including satellite orbital slots. It also says the company doesn't report any value for a recently completed satellite prototype and has hundreds of patents that it reports no value for, which an independent patent expert hired by the shareholder group valued at $511.5 million. Loral has said it expects any reorganization plan it ultimately gets confirmed will result in the cancellation of its common and preferred stock. It is common in Chapter 11 cases for stockholders not to receive any return on their investment. The motion said the stockholder group needs its own official panel because the creditors committee and company management aren't doing the job, or providing a fair valuation which would result in a return for stockholders. Copyright © 2004 The Associated Press. All rights reserved.

Report TOU Violation

Share This Post

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next