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

To: David Wiggins who wrote (9452)	1/11/2000 2:48:00 PM
From: Jim Parkinson	Read Replies (1) \| Respond to of 29987

I just listened to Marc Crossman's interview on Radio Wall Street where he was asked to comment on Hughes, Lor & G. He thinks Hughes is the safest bet because of the DBS market. He called G a pure lottery ticket either worth $2 or $200 entirely dependent upon the real demand. He called Lor a down and out stock due to its dependence on G* and the Iridium/ICO fallout. Nothing new here. His comments certainly won't echo like GG. I am stil waiting for my phone. I should know today where it is. Apparently there was a shipping screw up. I was hoping that they had just ran out of phones but I guess that is not the case. I guess I will go buy another lottery ticket.

To: David Wiggins who wrote (9452)	1/11/2000 2:50:00 PM
From: Rocket Scientist	Read Replies (1) \| Respond to of 29987

Other tidbits from the prospectus: In addition to the 7M shares announced yesterday, 1.05M shares are available for purchase by the underwriters. "Globalstar spent approximately $12 million on brand-building advertising in 1999 and plans to spend an additional $55 million in 2000, of which $20 million will come from service providers as contributions to a cooperative advertising program." (page 18) ". At year-end 1999, 36,000 mobile phones and 4,000 fixed phones had been shipped and are in various sales channels awaiting customer orders, activation and final delivery. " (page 21) " Without giving effect to this offering, as of December 31, 1999, Globalstar had cash on hand and available bank borrowing capacity of approximately $524 million, including an undrawn credit facility of $250 million expiring June 30, 2000. Globalstar's management estimates that its cash operating expenses, interest and preferred dividends for 2000 will be $125 million per quarter (approximately half of which is for cash interest and preferred dividends). In addition, $200 million will be required for capital expenditures and repayment of vendor financing. Globalstar's management believes that its current financial resources, together with anticipated cash from operations and an anticipated extension of the $250 million credit facility, will be sufficient for such purposes. Accordingly, Globalstar intends to use the offering proceeds for other general corporate purposes, which may include: - to accelerate beyond planned efforts for the roll-out of Globalstar service through increased support for service provider marketing activities and the funding of promotional discounts; - development of new service features; and - possible repayment of debt." (Page 12) In addition, prospectus formally notes that G* has agreements with over 220 local service providers with an existing base of more than 100M cellular customers. We've seen this before, but not in an SEC-filing, to my knowledge.