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Technology Stocks : Qualcomm Moderated Thread - please read rules before posting

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To: Theophile who wrote (12442)	7/4/2001 12:11:45 PM
From: Pierre	Read Replies (3) of 197231

Is it possible we are witnessing the first pause in negotiations, not the final word? I think that's spot on. Confirmed further by the fact it wouldn't take a partner 5 weeks to do DD on one of its own enterprises. My guess runs along slightly different lines than yours, however. I think the sticking point is not the debt, but VOD. All G* can market is minutes. They are finite, but relatively plentiful. As Maurice as pointed out, discounting those minutes to jump start the system seems a logical step. As currently configured, G* is powerless to do that. VOD gets a bigger chunk of those minutes than G* does, and is under no obligation to reduce its take. Add to that the recent VOD / Verizon squabble regarding technology path, and my guess is VOD is not on Q's A list of favorite companies. I have assumed that Q would end run VOD in a variety of ways. I had hoped it could be pre-packed. Apparently not. Q's statement that expenses were greater than anticipated is difficult for me to swallow on the face of it. Q knew going in exactly what the expenses were. Converting debt to equity is hardly an expense and my guess is would fly with bond holders. The one unknown expense was VOD - would that blood sucking leech voluntarily relinquish its position at G's throat? Apparently not. Q is now pulling out the "blow torch" (nice phrase, Maurice) to encourage said leech to move on. My fear is debt holders will be burned in the process. I'd like to think my assessment is based on a hard headed review of the know facts. OTOH, a certain bias against VOD may be influencing me just a tad. :>) Pierre

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