Strange that Valueman chose to leave just as Loral is the embodiment of his SI handle.
HEY! Don't write me off just yet! Not gone, just have nothing to add.
As to Loral being a "value", we all know that there is value to be had in SS/L and the FSS divisions. Cyberstar is a liability as far as I can tell. It has done nothing but suck up cash so far, with no relief in sight, and no clear plan from Schwartz(this is a one man show). Perhaps we will see some hype if they do a two way consumer internet deal as outlined at the meeting, but that plan was not clear either. Actually, you'll likely make more money owning the supplier of the ground system/terminals in the case of a two-way internet service. The stakes in CD Radio and Skybridge are not worth anything until those concepts are proven(oddly, there was zero mention of Skybridge at their meeting). So, we remain a captive of G*, which by my reckoning, is unlikely to be worthy of valuation until well into 2000. In other words, the value of my LOR stake is totally dependent on the success of G* for the foreseeable future. As I have said before, that was not my original reason to invest in LOR, and I doubt anyone else had that in mind either. I also did not have in mind for Loral to "mortgage" two satellites as collateral either. In a pre-emptive strike at those who would suggest I sell my shares, I did sell half. I still see value in the long term, but 4 years of ownership should qualify as long term. I guess we are in "even longer" term now. |
