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Technology Stocks : Frank Coluccio Technology Forum - ASAP -- Ignore unavailable to you. Want to Upgrade?

To: DOUG H who wrote (784)	12/22/1999 8:51:00 AM
From: Frank A. Coluccio	Read Replies (1) \| Respond to of 1782

Hello Doug, The total amount from Nextel would actually be $8.3 Billion, according to the WSJ this morning. As you note, approximately 5 Bln would go towards the licenses, if Nextel has their way. The remainder, in stock, would go to Nextwave. One of Nextwave's defenses is that those licenses were intended for smaller operators, not established operators with a larger presence, such as Nextel's. This will probably weigh heavily in the courts' eyes, in my view. But the landscape may have changed since the original bids were placed, and certain other factors may have become relevant, but I wouldn't know about those. Also, Nextwave claims that they already have sufficient funding commitments and strategies in place now, thanks to GBLX's and several others' buy-ins to their cause, so they don't need what Nextel has to offer, which they say is too little, too late. I wouldn't know if they actually do have sufficient commitments in place, or not. I think that it would remain to be seen how their obligations to meet their auction pledges, which they made earlier and did not meet, will be interpreted by the courts. In any event, I don't think that we'll see the GBLX and Liberty folks sitting still on the sidelines over this. It should be interesting. Early indications this morning from several hoiuses [as reported on CNBC] were that this filing by Nextel will be favorable to their stock trading price today, if that's what was at the root of your question, but I personally don't have any opinions on that aspect. I would look forward to others with better insights than mine into this matter to contribute their views. Regards, Frank