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Technology Stocks : Global Crossing - GX (formerly GBLX) -- Ignore unavailable to you. Want to Upgrade?

To: JDN who wrote (2553)	10/12/1999 1:29:00 AM
From: Lance Bredvold	Read Replies (3) \| Respond to of 15615

Without making any judgement on whether Racal is a good buy or not, it does seem to me Mr. Casey is playing rather loosely with his definition of accretive to (boosting) earnings. "Global Crossing's vice chairman Thomas Casey told Reuters that the deal would boost its earnings marginally in 2000 and around double digits the following year. The business earned an operating profit of 22 million pounds on sales of 199 million in the year to March, 1999." After all, if the $1B pounds were simply invested in T bills at 5% they would earn 50 million pounds each year--and GBLX certainly values its cash higher than 5%. L.