Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

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

To: Valueman who wrote (9084)	1/1/2000 1:00:00 PM
From: UncleBeester	Respond to of 29987

Valueman, Thank you for the continued thorough analysis of both G* and Loral--I have benefited greatly over the last couple of years from your insight. Do you have any thoughts on BS's comments on Loral's BB initiative. Could Loral maybe group some of the cash bleeding subsidiaries under a single umbrella (kind of like the recent re-structering announcements with C), spin that division off while bringing aboard investors such as Microsoft, MCI-Worlcomm, etc. as partners with deep pockets. This would solve/relieve the cash flow problems, would allow WallStreet to value the new venture differently than Loral's CF positive businesses, etc. Bernard stated recently, that the BB initiative, to ba announce probably by Q2/2000, would have a similar structure to G. So one would have to assume that means operators, ISP's, and others who would add expertise and value to the new company. I am just trying to understand the various options available to BS at this time. He has said recently that cash is/will not be a problem. He has the reputation of a being very creative--even brilliant (as I have heard), and has a history of creating extraordinary shareholder wealth. I personally believe that BS will pull it together. This is his life/passion. Hope I am right. I am going partly on faith that BS will handle the finances, and partly on my understanding of the market, and the enormous opportunities that remain. What would it take--what would you like to see happen, at a minimum, before you would consider going long once again? Any comments would be appreciated. Regards, Jeff

To: Valueman who wrote (9084)	1/1/2000 1:07:00 PM
From: Doc Savage	Read Replies (2) \| Respond to of 29987

If you want value, buy NCR. If you want momentum, buy G! Best of luck on all of this analysis but I prescribe to the simpler school of investing: "When you see something new that you like, invest a little in the company that makes it." This has worked really well in my profession which is software engineering. I think the excitement in G comes from the FACT that some day, nearly all communication traffic will be via satellite. Currently, G is taking the leadership position in this industry. I like it! I think the only speed bumps are going to come (and they will come!) from the same sources of the traditional QCOM speed bumps which are mainly clueless analysts. Remember a couple of month ago when QCOM dropped from ~180 to ~150 because some analyst said they weren't going to make enough off their phone business? Now tell me that guy had a clue! Tell me this BOA guy has a clue! In the last two weeks, Jaccobs, an analyst and the company itself have made very bullish comments. Then this guy issues a statement saying he sees no reason for the stock to go up?! Sheeze!

To: Valueman who wrote (9084)	1/1/2000 2:44:00 PM
From: Rocket Scientist	Respond to of 29987

Valueman, I had the impression that Loral ex G* should be at worst cash neutral within the nearest few months, if not already, as the expanded FSS fleet fills up...am I missing something? As for G, BLS said it had 500M$ cash and available credit at year end. That should be good for six months or so, even taking into account "non-operatimg" cash expenses like spare satellites, software upgrades, investments in GW JVs, etc. In six months, the user reaction to the G product will be observable in a number of key markets. If the sales look reasonable, the stock price should be at a level where raising another 500M$ or so through equity will be pretty minimally dilutive. Heck, even at yesterday's price, it's only 4% of the market cap. My guess would be G* will issue warrants to buy shares at a discount as was done a few years ago. Of course, if sales don't materialize for reasons not plausibly linked to production shortfalls or GW delays, we'll all be in the soup. But we've had that risk from the beginning. When I look back at the risks that were retired over the last 12months (launch failures, financing, system performance, etc) I feel pretty good about the prospects of successfully retiring this one last risk.

To: Valueman who wrote (9084)	1/1/2000 4:00:00 PM
From: David Wiggins	Respond to of 29987

In a previous post, I placed a link to the Elsacom page that offers Telital AND Ericsson phones for sale right now. Furthermore, Given their contractual obligations and the fact that Telital publicly stated at Telecom that they have the capacity to make a million handsets a year if demand warrants it, I see no reason why they should not INITATE their production rate at the minimum 10,000 a month they are obligated to produce. I suspect that each manufacturer has some excess capacity built into their existing production lines. If you have some solid information regarding production capacity or production rates, I'd love to see it. Respectfully, Dave

To: Valueman who wrote (9084)	1/2/2000 12:17:00 PM
From: kitterykid	1 Recommendation Read Replies (1) \| Respond to of 29987

V-Man - what sort of assumptions are you using for usage of fixed terminals for payphone/business/residential type applications and vertical markets (i.e., natural resources, ag, gov't and military, maritime, mining, etc.) MOUs there could vastly surpass mobile units and that's all that matters to Globalstar - minutes of use. Think of all those people out there lined up trying to stick a goat in the coin slot! Seriously though, my information indicates that 18,000 fixed terminals have already been produced by primarily Ericsson but also Qualcomm. Many of those terminals could produce well in excess of 160 minutes a DAY or more, not just the 160 minutes/month for mobile applications. Think of the potential under/non-served markets out there - Mexico and Latin America, Eastern Europe, India, China, etc. And who knows Valueman, you may well be using a fixed Globalstar phone the next time you're on the Loveboat! Happy New Year.

To: Valueman who wrote (9084)	1/2/2000 7:40:00 PM
From: limtex	Read Replies (2) \| Respond to of 29987

Valueman - I keep seeing succesful fund managers and investors going on and on about how in the end the best investments are those with great managment.Follow the managment seems to work. I have tried to get some brokerage reports and there appears to be a bunch from Unterberg & Towbin. Has anyone got these? If so could they pls post the spreadsheet parameters then we could all see the basis for the income projections. IMHO the management of G* and QCOM are the best in the World today in wireless teleocm! So on the old addage of follow the mangement G* is going to make it and if it takes another few months to ramp up then so what. BTW when I was at Telecom on the G* stand they told me that the new Telital handset was going to be available in March. It looked really neat and much smaller than the other two sets. Presumably Telital has some idea of who they are going to sell these things to other than all the yacht and boat owners in the Med. Best regards, L