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

To: HW Bowman who wrote (4237)	2/11/2000 6:05:00 PM
From: Dan B.	Read Replies (1) \| Respond to of 15615

HW, You wrote to Steve: "Additionally, with reference to your point #2 that earnings may not metter so much here per se, this is a fourth quarter report, so the report will rightfully review an entire year of absolutely incredible proghress, an avalanche of news, and good news it surely is. These guys have one hell of a story to tell..." Now I think that's well said, and certainly not something many here would wish to disagree with even if they are already on record against it's implications. Notions that earnings don't matter(looking toward future potential or not) don't hold up well, IMO. Again folks, if I click on quote for GBLX at NDB(my broker), it shows no positive PE at all. But if I click on PROFILE there, or here on SI, it DOES show currently positive earnings. What's the significance of these reportings of GBLX numbers? Will these reportings look worse and why? Dan B

To: HW Bowman who wrote (4237)	2/12/2000 12:10:00 PM
From: quidditch	Read Replies (1) \| Respond to of 15615

Thanks, HW B. 1. I agree (hope you're right) that revenue growth might be surprisingly good. As to earnings, probably not (but, no worries). I looked at the 1998 Annual Report (don't have the 10-K handy) and checked out "non-cash adjustments to net loss" on the statement of cashflows. This is probably mostly if not all depreciation (and amortization), the levels of which will only be increasing as GBLX continues to build out its network. So earnings are not likely for quite a while. EBITDA numbers, however, will probably be closely examined by the Street and, as you say, will hopefully be good. 2. Hutchison Whampoa...guys have connections to the Red Chinese military and other govt agencies that control Chinese telecom and its development. That is my understanding as well--with some links being commercial to governmental and others being commercial to (PRC) quasi-commercial to PRC governmental. Also, very plugged in from a technological standpoint. If there were a Spectre in our day and age (remember the James Bond flics, M2 (or whatever JB's agency was) was usually colliding with Spectre in int'l espionage) and if Spectre had a commercial "front", Hutch Whampoa would be it!!!!<gg> They have many dealings that are not transparently disclosed. Yes, absolutely right you want a Hutch Whampoa guy running the jv. 3. I agree with your point re. inside ownership and as a built-in pill. Hopefully, they are in it for the long haul and hopefully their vision will be realized. 4. Robert, if you are still reading, thanks for the urls on Global Crossing Ventures. Its web page is thoughtfully executed and intelligently written. Can't say as much for some the investees' websites; but, then again, they don't want to be too transparent at this point either. Corvia could be huge--I was sort of bummed when LU took over my position in ORTL this week--I wanted my Tellium. Good weekend to all. Steve