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Technology Stocks : Primestar/TCI Satellite (TSATA)

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To: Bo Le who wrote (146)1/5/1999 8:40:00 AM
From: Goodboy  Read Replies (1) of 442
 
Bondholders are about to sue management for causing the company to slide downhill. If they sell to Echo or DTV, they strengthen those companies and create bigger competitors. On the other hand, primestar has a rural base of subs, many of whom can't get cable anyway, thus cable losing nothing by selling.

The wildcard, if there is one and the cable owners don't let this baby die, is if they would pump in more money for a high power service using the available full conus spectrum still to be utilized by Mexico. remember the Satmex-Loral connection and that Loral built the P-star birds. This is only speculation, I have already been wrong enough on this baby to not feel I know what this management will do and why they will do it. Sometimes economics and profit aren't the motive.
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