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Technology Stocks : Alcatel (ALA) and France -- Ignore unavailable to you. Want to Upgrade?

To: zbyslaw owczarczyk who wrote (3245)	4/29/2001 4:00:15 PM
From: zbyslaw owczarczyk	Respond to of 3891

alcatel.com

To: zbyslaw owczarczyk who wrote (3245)	5/2/2001 1:21:10 PM
From: MikeM54321	Read Replies (2) \| Respond to of 3891

"The reason for 700 million reservs is that in theory 360Network can force ALA to convert bonds into shares in 2003, however ALA has an option intil 2010!!!" ZO- The way I read it (please correct me if I'm wrong), TSIX can force ALA to take substantially devalued TSIX shares in 2003. If the price remains low, it would be obvious TSIX would force this. Therefore, ALA is putting $700 million in reserves for basically a loss they may be forced to take on their 2010 convertible bonds issued by TSIX. It's what ALA CFO Halbron is saying, "Given the stock price, it seemed prudent to us today to take out a provision on these shares..." In other words it's a real concern that ALA will indeed be getting substantially less for their $700 hundred million investment in TSIX. Did you read the information the same way? Thanks. -MikeM(From Florida)