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Technology Stocks : How high will Microsoft fly? -- Ignore unavailable to you. Want to Upgrade?

To: djia101362 who wrote (28726)	8/25/1999 7:14:00 PM
From: Teflon	Respond to of 74651

You tax guys always piss me off <VBG> :) Semantics, semantics, just get the damn deal done!!!!!!!!!!!!! Call me when it's trading. Teflon

To: djia101362 who wrote (28726)	8/25/1999 7:48:00 PM
From: Teflon	Read Replies (5) \| Respond to of 74651

Someone better reign this guy in: Paul Allen Gets $1 Bln Loan, Uses Microsoft Stock as Collateral New York, Aug. 25 (Bloomberg) -- Paul Allen, the co-founder of Microsoft Corp. and owner of Charter Communications Inc., is borrowing $1 billion from Commerzbank AG and other lenders to help finance more acquisitions, said a person familiar with the transaction. Allen is using Microsoft shares as collateral for the five- year loan and will pay a floating interest rate of 125 basis points over the London interbank offered rate. That's equivalent to about 7 percent today. Through Vulcan Ventures Inc., Allen has in the past year made acquisitions valued at about $12 billion, building on his vision of creating a so-called wired world, where consumers have access to most entertainment and communications services through the Internet. Just this month, Vulcan agreed to invest $355 million in Allegiance Telecom Inc., a phone and data service provider, and increase its stake in Replay Networks Inc., which makes an advanced recording device that lets users customize their TV viewing. It's not the first time Allen has sought financing from a group of banks. In 1995, he financed a $500 million investment in film director Stephen Spielberg's DreamWorks SKG with a loan arranged by Chemical Bank, now Chase Manhattan Corp. In May of last year, he borrowed $1 billion in a loan arranged by Chase to invest in Charter Communications, a cable- television operator that last month announced plans for a $3.45 billion initial public offering. That loan, too, was backed by Microsoft stock and yielded 125 basis points over Libor. Commerzbank was a co-arranger of that loan. Commerzbank is the lead arranger of the current loan, which is expected to be completed in mid-September, the person said. Credit Lyonnais, Bank of Montreal and Paribas SA are co- arrangers, agreeing to lend $125 million each. As of June, Allen owned 135.9 million shares in Microsoft, or 2.47 percent of the world's biggest software maker, a stake valued at about $13 billion. A spokeswoman for Allen wouldn't comment. Teflon