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

To: pcstel who wrote (17700)	10/6/2000 8:14:07 PM
From: Rocket Scientist	Read Replies (1) \| Respond to of 29987

From the last 10Q: "Globalstar has offered promotional programs to its service providers, including a 25% discount on mobile usage fees and free minutes for the advance purchase of airtime. A number of Globalstar service providers have committed to pre-purchase discount minutes of use, amounting to approximately $23 million in pre-committed gross revenue. Deferred revenue relating to such advance purchases amounted to approximately $8 million as of June 30, 2000." This amount (8.6M$, actually) shows up on the cash flow statement, too, up from 5.5M$ in Q1. I don't know about the post office, and I'm not an accountant, but I know enough about GAAP to know that company's aren't normally allowed to count customer deposits or pre-payments as revenue, until they deliver the good or service that's being purchased.