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Technology Stocks : Leap Wireless International (LWIN) -- Ignore unavailable to you. Want to Upgrade?

To: pcstel who wrote (1155)	1/23/2002 11:20:16 PM
From: pcstel	Read Replies (1) \| Respond to of 2737

FCC to Return NextWave-Linked Downpayment-Sources #snip# A spokesman for one bidder in the 2001 auction, Leap Wireless , said the FCC was poised to return as much as 97 percent of the downpayments made.``It's a tough thing to do given the pressures that are out there, but we are delighted to get the money back but we're also pleased that they're allowing us to retain our position in the auction by leaving the 3 percent there,'' said Dan Pegg, senior vice president of public affairs at Leap. #snip# dailynews.yahoo.com That's 82.45 million returned, and we still get Jan. 03 Call Options on the Auction 35 properties for only 2.55 million. I am glad that LWIN admits that they are pleased as punch about this decision. One thing that should be obvious as we discussed over on the Yahoo thread. There is no "easy" solution to this now, because they are distributing the down payments back. Imagine if Congress passed the settlement, and we had to lose the 85 million which wasn't in the Asset column. But, we had to take out the 125 million dollar loan from Qualcomm at something like 12%, and take the remaining 140 million out of cash on hand and VF amounts.. That would have left us in a very weak liquidity position, and increase our debt level to over 2 Billion at YE01. PCSTEL