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To: gdichaz who wrote (3019)	6/23/1999 5:13:00 PM
From: gdichaz	Respond to of 54805

Addendum: Today's news on financing: Excerpts from Bloomberg: .... Globalstar Telecommunications Ltd., which expects to start its satellite- based telephone network in September, said it obtained a $500 million credit facility that completes the financing it needs to begin operating. New York-based Globalstar, which is 42-percent owned by Loral Space & Communications Ltd., got the credit facility from Bank of America. The facility is guaranteed by two subsidiaries of Loral, which pledged assets to back the loan. The loan's significance is underscored by the fact that analysts had questioned its ability to obtain funding at a time of recurring problems in the satellite business. Iridium LLC, a competitor that beat Globalstar to the market for satellite-based phone service, has had trouble selling its service and may default on $800 million in bank loans. ''The financing is key to Globalstar, as it virtually completes their financing needs,'' said William Kidd, an analyst at C.E. Unterberg Towbin, who has a ''buy'' rating on the stock. ''It's especially important as there were concerns about how and when the money was going to be raised because of the recent tight satellite capital markets. I believe this financing puts those questions to rest.'' Globalstar expects the facility to be finalized by the end of next month. It now has raised $3.8 billion for its system, including the latest credit line. Globalstar has 24 satellites in orbit, half of its planned 48-satellite constellation. Shares of New York-based Globalstar rose 2 1/2 to 19 11/16 in late trading. Loral rose 7/16 to 17 3/4.......