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To: zbyslaw owczarczyk who wrote (13658)	10/14/1999 11:07:00 PM
From: Peppe	Respond to of 18016

Call Net saga continues... biz.yahoo.com peppe

To: zbyslaw owczarczyk who wrote (13658)	10/15/1999 6:52:00 AM
From: Glenn McDougall	Respond to of 18016

++++++++++ OT +++++++++++ BCE may dump Nortel stake, analysts say Spinoff expected to ease massive discount afflicting holding company's shares ANDREW BELL Investment Reporter globe and mail Friday, October 15, 1999 Speculation is growing that a frustrated Jean Monty, president and chief executive officer of BCE Inc., will soon move to boost his company's stock price by parting with its 40-per-cent stake in booming telecommunications equipment maker Nortel Networks Inc., possibly by simply giving the Nortel shares to BCE shareholders. "What could be done? They could spin off Nortel," said Goepel McDermid analyst Bob Hastings. News of such a handout would almost certainly send Montreal-based BCE's shares soaring, perhaps by one-third, as investors grab BCE to ensure they receive the dividend. But it could hurt the stock of Brampton, Ont.-based Nortel by creating a huge "overhang" of shares, in the hands of investors who might want to sell them because they are uncomfortable owning an unpredictable technology company. "At some point, possibly in 2000, BCE will give up" trying to get rid of the massive discount afflicting its shares, Goepel's Mr. Hastings argued in an Oct. 5 report. "The solution for BCE is to dividend out its Nortel shares." He estimated that a Nortel spinoff would add about $20 to each BCE share and that the discount on the company's remaining, less volatile assets would shrink, adding another $3 to $4. "If so, BCE shares could appreciate over 30 per cent." The company's problem, analysts agree, is that while Nortel shares have climbed 111 per cent this year, closing at $81.15 on the Toronto Stock Exchange yesterday, shares in BCE have risen only 36 per cent to $78.95, reflecting the traditional discount given to assets contained in holding companies. The discount appears to be getting out of hand at BCE, despite a pledge by Mr. Monty last year to narrow it. "A year and a half ago, Jean Monty, who's a very credible guy, said he was going to work hard to bring this discount down," Mr. Hastings said. "In that time frame, it doubled. So he's got to be an unhappy camper." Stock market investors are now valuing Nortel at $109.5-billion, implying that BCE's 40-per-cent stake is worth about $43.8-billion. BCE itself has a stock market capitalization of $50.8-billion -- which means investors are assigning a value of only $7-billion to the company's vast Bell Canada operation in Ontario and Quebec. It also assigns hardly any value to its $4-billion-plus BCE Mobile Communications Inc. mobile phone subsidiary, plus BCE's major stakes in a host of communications companies including Atlantic Canada phone utility Aliant Inc. and international carrier Teleglobe Inc. "They still say [Nortel] is a core business operation," another company watcher said. "But I would say over the next year or two, if they can't achieve a significant narrowing of the discount then they would definitely pursue that kind of option." Goepel's Mr. Hastings estimated in his report that BCE's shares are trading at 30 per cent less than the real value of its sprawling telecommunications empire, compared with 10 per cent last fall. In a report on Tuesday, CIBC World Markets analyst Dvai Ghose calculated that BCE's stake in Nortel, combined with its interests in other publicly traded technology and phone companies in Canada and abroad, is worth $84.50 a BCE share. He then added the company's $5.6-billion in cash, working out at $9 a share, for a value of $93.50 a share -- or 14 per cent more than BCE's recent stock price of $81.70. But that doesn't even include BCE's 80-per-cent-owned Bell Canada operations in Ontario in Quebec, which Mr. Ghose reckons are worth $16.4-billion to BCE or another $25.50 a share. BCE sold 20 per cent of Bell Canada to Ameritech Corp. of Chicago for $5.1-billion in March. "Investors who buy the stock at current prices are essentially getting Bell Canada's non-publicly traded operations for free," Mr. Ghose wrote, assigning a "strong buy" to BCE shares. BCE spokesman Don Doucette acknowledged that "the trading discount is an issue." He pointed to the company's recent moves to simplify its structure, becoming more of an operating company than a holding corporation, by taking majority control of Aliant and buying out all of the minority stockholders in BCE Mobile. "We can go a long way toward narrowing the discount," he said.

To: zbyslaw owczarczyk who wrote (13658)	10/15/1999 10:26:00 AM
From: pat mudge	Read Replies (1) \| Respond to of 18016

NN affiliate, PixStream, demos with Microsoft: October 15, 1999 10:20 PixStream Demonstrates TV Streaming Solutions With Sun Microsystems at Telecom 99 GENEVA, Oct. 15 /PRNewswire/ -- PixStream Incorporated, a leading developer of video networking solutions today announced they are demonstrating end-to-end live video streaming solutions in the Sun Microsystems booth (Hall 4, Booth 4263) at Telecom 99, October 10-17. Telecom is the world's most important telecommunications exhibition and forum with over 1,000 exhibitors, 200,000 influential visitors and 22 national pavilions. The demonstration shows access and distribution of multimedia applications over xDSL networks. PixStream video networking systems are aggregating live video signals, adapting the signals as needed and then transmitting them to the consumer through Newbridge Networks broadband xDSL equipment and a Java platform-enabled set-top box. Sun's Netra carrier-grade servers are providing the digital TV management and video-on-demand (VOD) services along with Web browsing, e-commerce and messaging. "PixStream has been working closely with telephone companies, helping them deliver TV services over their existing network infrastructures. Our video networking solutions have been developed with the needs of these service providers in mind," said Dave Caputo, Vice President of Marketing, PixStream. "Sun's carrier-grade, high-availability Netra servers meet the performance requirements that our telco customers demand." "The ability to support voice and data over a single network is key to Sun's vision of a service-driven network," said Tim Dwyer, vice president of sales development and marketing, network service provider division, Sun Microsystems. "PixStream's carrier-class video networking solutions can be used by service providers to differentiate their offerings with video. Sun is teaming with companies like PixStream to provide value-add solutions that will help its customers remain competitive." PixStream Incorporated PixStream develops, manufactures and globally markets hardware and software solutions that enable network service providers and enterprises to reliably distribute and manage digital video. Using PixStream solutions, high quality video and audio can be transported efficiently over broadband networks, optimizing bandwidth and enabling customers to introduce leading edge video services and applications. Current PixStream customers include Bell Canada, NBTel and Kingston Vision. Founded in 1996, PixStream is based in Waterloo, Ontario, Canada and has offices in Ottawa, Ontario, Canada and Newport, South Wales, United Kingdom. More information is available at pixstream.com . All company and/or product names are trademarks and/or registered trademarks of their respective owners. SOURCE PixStream Incorporated /CONTACT: Media: Dave Caputo, Vice President, Marketing, 519-884-4196, or dcaputo@pixstream.com, or Jacqui Murphy, Communications Manager, 519-884-4196, or jmurphy@pixstream.com, or Investor Relations: Tim Jackson, Chief Financial Officer, 519-884-4196, or tjackson@pixstream.com, all of PixStream/