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Gold/Mining/Energy : T.TSE Telus Corp.
T 24.650.0%Dec 26 9:30 AM EST

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To: Steve P who wrote (54)5/8/1998 12:23:00 PM
From: Crusader  Read Replies (1) of 107
 
Pardon my ignorance but isn't satellite (space) transmission the apparent wave of the future. AT&T is working on their "Angel" program to place a massive number of satellites into space. Motorola has got their Iridium satellite program. Even Bill Gates and his billionaire friend in Seattle are discussing plans for such a program. To me if these things eventually go through in the next 10 to 15 years, the current systems used here in Canada are toast. I don't know much about Telesat Canada (and Spar Aerospace) but to me this BCE deal tells me that they are heading to diversify into Space to avoid becoming "road kill". Please tell me if I am off base on this one.

At this point I think that Telus is seriously overvalued and I currently do not hold any of their shares. Competition is fierce and the trend for long distance rates is heading down. Wireless is growing but for how long. For a utility their dividend yield with their current share price is very low and needs to be increased. They are sitting on a hoard of cash that's doing nothing. Better to buy a bank. Will they merge with BC Tel? I don't know. Will they buy Fonorola? I guess this is why the share price is where it's at. But I wouldn't be buying the shares at these levels.

Cheers
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