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Microcap & Penny Stocks : Globalstar Telecommunications Limited GSAT -- Ignore unavailable to you. Want to Upgrade?

To: Maurice Winn who wrote (5963)	7/22/1999 8:57:00 PM
From: Rocket Scientist	Respond to of 29987

Maurice, I don't think we really disagree, I'm just trying to be very precise. My understanding is the debt service and operating costs of G* and Iridium space+ground segment are rather similar (except to the extent that Mot hosed Irid on the O&M contract and built sat's w/ poor reliability and a system w/ very nongraceful wearout). G's system will provide something like 10-15X as many call minutes over it's life, so, if there's a market, it will make a lot more money. But both systems will have to make about the same amount of revenue to "breakeven" the way they're currently capitalized, and Irid's cap structure is likely to become less burdensome in the near future, reducing it's breakeven revenue point. I was encouraged by djanes cross post of the German article on Irid; maybe Irid, by matching G's announced pricing plan is starting to find customers?

To: Maurice Winn who wrote (5963)	7/23/1999 8:21:00 AM
From: CMon	Read Replies (1) \| Respond to of 29987

<<I trust the breakeven figures we've been given of about 8c per minute for G>> Maurice, What do you mean when you say you "trust" that breakeven rate? Breakeven is not a function of per/minute charges. It is a fixed dollar amount that is in turn a function of per minute charges minutes sold. 8c/minute makes sense only when taken in the context of the assumption made for minutes sold. It's not, therefore, simply a question of whether one trusts that 8c/minute is GSTRF's breakeven, but rather a question of whether one finds the corresponding assumption of minutes sold reasonable. CMon