Advanced Radio Telecom (ARTT) 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 : Advanced Radio Telecom (ARTT)

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next

To: MangoBoy who wrote (871)	11/9/1999 6:46:00 PM
From: Obewon	Read Replies (2) of 1176

Only heard the tail end of the call and the question and answer session but: ARTT has all the money it needs to do planned rollout through 2001 (mentioned that Cisco commited up to $175MM in vendor financing). They plan on doing a high yield offering in between then but will only do it if favorable (ie much more favorable than the market has been to the Company recently ). Company had just under $200MM in cash at end of quarter. Paid off short-term borrowings and debt covenent buyout. Plan on rolling out service in 10 cities in 2000. Cities will be built using a regional hub approach around Washington DC, Houston, and Los Angeles. They are being VERY choosy in their planning. Of 25,000 eligible buildings in DC market, they have identified 5,000 that are potential targets for their service. They already have roof rights to 200 of these buildings. Currently 140 buildings using ART in Seattle/Portland/Pheonix markets (all use the older point-to -point service - meaningless per company guidance and the same as last quarter.) I did not catch how many buildings currently in the San Jose area network but the test market covered just 11. Company expects Lucent to remain a large supplier to the Company. Vendor financing via Lucent not likely in the near term as Company is not buying Lucents RF gear. However, the company expects to purchase alot of Lucent optical router equipment to support the backend so in the long term it is expected that Lucent will also continue to offer vendor financing terms. Management believes that they are well ahead of the curve in putting inplace the infrastructure needed to support the rollout and rampup (they should be with the operational expenses they have!) Company brushed over the competition. Didn't address the issue of Winstar, Teligent, Nextlink until pinned down by one of the analysts. Managment stated that they can't see Teligent ever making a profit with their model. Kept pushing the button that they have the lowest cost solution but it wasn't clear if that was just refering the T1 and higher line or all alternate (lower bandwidth) data carriers Call appeared to be well attended by many of the 2nd tier brokerage houses and certain first tier ones. Morgan Stanley and Lehman Brothers did not ask any questions so I expect they did not attend the call. McCalister, who I presume was the primary speaker, was not a very inspiring speaker (Toastmasters may help - Hint!) and tended to repeat himself. One of the questions had to do with where the Company is looking to find a new CEO. Evidently, they have identified someone with a data communications transport background and are in talks with him/her currently and still hope to be able to announce the replacement by the end of the year. Obewon

Report TOU Violation

Share This Post

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next