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

To: pcstel who wrote (17077)	9/20/2000 4:23:44 PM
From: BobRealEstate	Read Replies (1) \| Respond to of 29987

PCSTEL, is that figure for all service providers or per SP?

To: pcstel who wrote (17077)	9/20/2000 4:39:31 PM
From: Michaelth1	Read Replies (3) \| Respond to of 29987

Bradley (actually, everyone but Bradley since I'm too illogical to avoid being ignored): I feel sorry for those who must live in a rose-colored world where any and every announcement made by G* is viewed as a positive. Unfortunately, living with blinders is what got those who invested in G* in the 30s or higher four years ago where they are today (down 75%). Anyhow, determining how much Verizon is spending on rolling out G* isn't too applicable if they do it so slowly that G* goes bust (or severely dilutes itself) prior to any "real" MOU begin to hit G* coffers. $20 million in advertising from all of the SPs isn't so much anyhow; heck, that's only a few weeks interest on G's debt. Actually, the money that the SPs are pumping into G reinforces my long-time assertion that they do care about operating the G* system but don't give a hoot about G* "Inc." (In other words, they look at G* as a revenue generator, not as an investment). If the SPs did care about G* "Inc.", they would (a) pay for their GWs, (b) pay for their "pre-paid" minutes, (c) fund G* sooner rather than later, (d) lower their obcene margins on MOU, etc. I agree that it's possible that BLS can pull another rabbit; the guy's only saving grace as a CEO is that he's a financing god. But one usually doesn't tap the equity markets (and receive only about .90 on the dollar) unless few other options are available. If he announces partner financing next week or next month (assuming SP vacation ends), then I'll congratulate him (like I did with Chase). Can someone answer this: Assuming the partners are going to put in a total of $250 million (down from $350 because of the BS deal), who is putting in what? Loral said it won't put in more than minimal amounts and Loral projects (and the projection optimistically assumes that C-8 is approved, I believe) only having $100 million cash on 12/31/01. So rule Loral out for more than a few million. The Q doesn't seem too inclined to put any more equity in G* (they kicked and screamed about VF). The China folks weren't even willing to pay fair market value for their partnership interests when they bought them (they paid about 25% of the dollar if I recall correctly), so new money from them is far fetched, imo. That leaves only a few SPs asked to pony up $100 million each, give or take. Regardless of what company you're talking about (with a handful of exceptions), a $100 million investment is not something done lightly.