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Technology Stocks : Loral Space & Communications -- Ignore unavailable to you. Want to Upgrade?

To: Lu_Xun who wrote (6587)	8/8/1999 12:13:00 PM
From: ccryder	Read Replies (1) \| Respond to of 10852

Lu Xun, You are correct, IMO, regarding G* published revenue ramp up being slower than what we longs might like. Remember we will only see minutes of use to gauge G* performance. Sales of handsets will not be available, from what I understand, so we cannot use that metric as a future performance indicator. What I wonder about is the disparity in stock performance of LOR vs G. As we all know, the LOR revenue stream is broadly based and significant capacity will be launched over the next few months. The GEO market is fairly well known, compared to G, and revenue data will be available quite quickly compared to G. With LOR 30 percent (?) up from its inception, and G up, what 2X (or is it 4X ?), I wonder if LOR stock appreciation has more potential over the next year. While G* will be seen by the market as a potential liability for LOR, as IRID is for MOT, LOR should do well even if G* only breaks even. Remember much of the operating cost (gateways) of G* is borne by the service providers. Only the orbital segment is LOR's responsibility. So from a market viewpoint (reward/risk), LOR is extremely attractive.