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

To: Rocket Scientist who wrote (7134)	9/2/1999 2:12:00 AM
From: djane	Respond to of 29987

Globalstar Shares Fall on Satellite Market Concerns By Peter Robison at Bloomberg News 01 September 1999 Shares of Globalstar Telecommunications Ltd. fell, making a two-day decline of 11% since a rival company filed for bankruptcy protection and prompted fresh questions about the level of demand for satellite telephone service. Shares in Globalstar, which plans to start its satellite- based phone network in late September, fell 1, or 3.8%, to 25 11/16. ICO Global Communications Ltd.'s Chapter 11 filing came after Iridium LLC, the first to start a satellite-based phone network, sought bankruptcy protection earlier this month. Iridium's phones, about the size of a brick, have proven too expensive for many customers and demand didn't meet its expectations. "Two of the three publicly traded (satellite-telephone) companies are now in bankruptcy in the period of two weeks," said William Kidd, an analyst at C.E. Unterberg Towbin, who has a "buy" rating on Globalstar shares. "It's definitely a concern" for investors in Globalstar, he said. New York-based Globalstar is 45%-owned by Loral Space & Communications Ltd. Its stock rose shortly after Iridium's Chapter 11 filing on hopes that Iridium's problems would yield customers for Globalstar. Now investors aren't sure whether any satellite-telephone companies can win enough customers to pay for the billions they've invested in their systems, Kidd said. "Really, the issue isn't competition. If the market was big enough to support competition, I think we'd all be smiling," said Kidd, who has a $29 price target on Globalstar shares. He predicted the shares could stay depressed until October, when investors can measure whether the introduction of its satellite network was a success. Globalstar's shares have risen 26% this year. Copyright 1999, Bloomberg L.P. All Rights Reserved.

To: Rocket Scientist who wrote (7134)	9/2/1999 4:27:00 AM
From: Maurice Winn	Read Replies (1) \| Respond to of 29987

RS, Feast? We are in the midst of a famine and the feast is years away. Let's just have a crust or two to get us through to when the main meal might be served. There are already two starved bodies twisting in the wind [Iridium and ICO, not to mention Odyssey, Ellipso and others]. Seriously, after four years of betting on Globalstar, during which time marketers who are up close to and knowledgeable about Globalstar could have been making their own assessments, maybe even as well as I am able to, you'd think the Service Providers would have their part of the job, which is just figuring out how to sell the handsets and service, polished up and ready to go. While the Mr Adrenalines of this world have been going flat out getting the hardware up and running, what have the marketers been doing? Okay, the engineering is simple, just light fuse and step away, whereas marketers need to talk about market segmentation and pontificate about targeted incentivizing of vertical salesforces, sectorize the product differentiation, get the ASP ratio's relativity to broadband advertising just so and predetermine opportunity cost margin bullshit. But they've had at least as long as the engineering people to get things humming. We are only 30 days from the GO signal and to suggest the retailers now need a couple of months to decide whether this thing is really worth putting their precious brand name behind seems odd. They have had years to decide that. I've put my even more precious money behind it. So they should not be so sluggish about getting their brand names on line. Good salespeople don't doze around in the sun, wondering if one day they'll swing into gear. They hit the ground running and they go into revolving doors behind the competitors and come out in front of them. Those urls should be humming right now! Maurice