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

To: Rocket Scientist who wrote (19344)	11/17/2000 4:27:00 PM
From: pcstel	Read Replies (2) \| Respond to of 29987

<<Well, Loral already got the same number of warrants (albeit at a much less attractive strike price) for guaranteeing the bank loan, that Q got for actually making a loan, itself....... G* isn't getting any more money from this deal, so why should Loral get any additional consideration.>> Because LORAL actually bought the loan, and is not simply a guarantee!! Loral received compensation in the form of warrants for the guarantee. And that deal is done! Now Gloabalstar has entered into a new loan with a new lender.. Loral is the lender, not just the guarantor. Talk about conflict of interest here!! So should the Loral shareholders get nothing for loaning out 500 million? <<It makes for a much cleaner negotiation with the SPs, in my opinion. In fact, why shouldn't Q & L, each holding 500M$ of G* debt, tell the other SPs that they better (collectively) come up with a loan of a similar amount, or else Q, L and the bondholders will split up G* between them.>> EXACTLY!! The SP's ownership in this system now MINIMAL!! It's time to pay up boys!.. However, they are too busy trying to figure out how to pay for 3G licenses.. And the bondholders know what a similar system is worth on the open market. 25 million dollars.. What if QCOM bought LORAL? How much of G* would QCOM hold if QCOM bought LOR? My question is.. Since QCOM has designs on many projects that could/would use G*.. i.e.Wingcast, Condor, Omnitracs, etc.. Would QCOM risk these by a trip through BK? BTW... Looks like those GW payments BLS talked about coming in last quarter was a bust... Production gateways and user terminals up another 20 million this Quarter to 183,078,000.. PCSTEL