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

To: Alan Norton who wrote (24096)	8/30/2001 4:28:16 AM
From: Maurice Winn	Respond to of 29986

On the topic, the bondholders are creditors the same as Loral and QUALCOMM who hold the bulk of the debt. While they are not exactly arms length creditors, so I suppose are restricted in how much control they can exert, they would have a fair say in the restructuring. Combining them with some major bondholders, they presumably have a pretty hefty creditor position which will not simplistically kick Globalstar LP into bankruptcy and a grab for the remaining cash and a liquidation sale. The assets remain worth $10 billion in my opinion though I now do NOT believe they will be transferred to NewGlobalstar for more than about 10c in the dollar for the creditors and nothing for the shareholders. I think there are too many liabilities looming around Globalstar LP for it to be restructured. There are shareholder lawsuits. If more money was put in to the existing company, that would become a target of further litigation unless a judge can limit liability to particular cases already before the courts and set a maximum liability on those cases or reject the cases. Which would probably be subject to appeal so I imagine that a new company is likely. I also doubt that NewGlobalstar will do a much better job of marketing and will probably [since they are old-style telecom people involved] continue with the failed high-priced marketing efforts. They will sell more phones without the threat of bankruptcy, but it will be a very dull business along the lines of Inmarsat. Boring, boring, boring. No verve, zest, or marketing excitement. No massive consumer surplus. No Wacky Wireless. No $10 billion of market capitalisation. An underused constellation drifting around in some remote corner of a minor galaxy. I have given up on human nature. Corporate dullards from Vodafone will probably continue their expensive minute strategy to stop subscribers using their phones other than very briefly. 10 billion minutes going to rot in space. Gateways should be upgraded to handle the full capacity of the constellation which should be delivered to subscribers at the price subscribers are prepared to pay. ===================================================== Off the topic: <Silicon Investor owes Maurice a big thanks for his work.> Thank you Alan. It is nice to be appreciated. However, I am ever mindful that Jeff and Brad Dryer [and Jill] created the software and facility for us to use. I appreciate their efforts. I am also mindful that I have received far more from other posters than I have given. It has been 5.5 years of highly mutually beneficial interchange and information provision for me. It really is great. If we each put in a little dabble [which is fun anyway], that results in a ratio of something like 1 dabble in and 100 dabbles out. I found quite early on that by being open and putting in some effort, that encourages others to do the same. It's a bit like being a catalyst in a chemical chain reaction. Start the snowball rolling and everyone lends a hand and pretty soon the catalyst can rest on the oars and everyone else is rowing the snowball downstream. That's a quadruple or quintuple mixed metaphor. Sure, a lot of people just lurk. That's no skin off anyone's nose and they might be prompted to contribute [and often are]. Some of them might think they are freeloading, but in fact they miss out on little interesting private mails, personal contacts and the like, plus the fun of the interchange and the opportunity to prompt particular lines of interest and enquiry. Heck, this sounds like an advertisement for Silicon Investor. I would just like to add that Silicon Investor is pathetic at times. Bryan the boss warned people to watch out for me - being some sort of leper. <So it looks as though that guy Bryan Burdick, who allegedly has a job with SI, should be treated with suspicion when he says investors should be "suspect" of that guy [Ed: he meant me]. Since he got that wrong, you should assume he probably has everything else wrong too. Check with me before you listen to anything suspect that that guy Bryan Burdick [if that's his real name] says.> Message 13780400 SI Bob failed to enforce rules even when requested several times though leapt to attention when those moonies Poet, Jill, Jim Willie and others fouled the QUALCOMM Buy Range happy SI family and booted me off instead of the bad guys. Ramsey warned SI Bob that HE might be the one booted off - and was. I think they might not use this as an advertisement now. They use my 'cool posts' to advertise! That's okay. It's all a fair exchange of a voluntary nature. It also keeps me ahead of Tekuboi-san in total cool post awards. Heh, heh! Thanks once again to all the excellent contributors to the Globalstar stream who helped me lose a Tonka Truck full of money. Mqurice