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

To: Moez who wrote (2557)	11/10/2002 4:54:09 AM
From: Lance Bredvold	Read Replies (1) \| Respond to of 2737

b.) but then your question was rhetorical wasn't it? You postulated that the company was on the verge of bankruptcy and if that assumption were not true, then I would prefer a). Also if I really wanted the assets badly but was afraid someone else might take them along with the liabilities, I would also be tempted to buy before the hypothetical bankruptcy. Still, I would have expected any potential acquirer to have purchased LWIN long before its market cap was down to $100mm given the amount of equity they began with (over $500mm after the Feb. debt and equity offering I believe although I would have to go back to review the exact figures). Later additional equity was put in by those "pipes" and any cash picked up for shares in the acquisition of spectrum and operating systems. To me that is a lot of equity to burn through and to now say there is only debt left with insufficient assets to provide any significant market cap beyond that debt. Well, the evidence is that there is no value above the debt in the mind of stockholders even though White is still saying the company will be ebitda breakeven before running out of cash (I guess he is still saying that though he has pretty much stopped saying anything in public with this restructuring business). I never did buy the idea that LWIN would be bought out though I liked to regard the systems which Lucent, NT and Ericy built as potentially saleable in a crisis. After all, systems are still being constructed by Monet in mid sized cities, Alltel might wish to have a compatible system in some few cities adjacent to their current systems, at one time Qwest also seemed a possible bidder though they are too weak to be able to do much of anything now. Nextel would be another possibility if they truly are moving to CDMA eventually. None of those really have any need for spectrum in the cities where LWIN operates unless they have none at all. Spectrum is not limiting in smaller sparsely populated cities until heavy data use occurs or in hot spots. At least that is my theory. Don't go by me though. I, like Jon, bought all the way from $20 down until finally giving up in the 2 or $3 range. Thus I did not buy any at $.12 on which I could have a 5 bagger now. I did have a 30 bagger at one point however (gg). Best regards, Lance

To: Moez who wrote (2557)	11/11/2002 8:34:20 AM
From: Jon Koplik	Read Replies (2) \| Respond to of 2737

Re : idea of getting telecom assets REAL cheap (either by waiting for a company to go bankrupt, or through other means) -- Just want to bring up what I believe I have read regarding (the "great") Warren Buffet and Level 3 Communications (LVLT) (a company that Berkshire Hathaway recently invested heavily in). LVLT's new "modus operandi" is to scoop up big chunks (or all shares) of distressed telecom companies -- now that so many are extremely distressed, and hopelessly in need of funding. What I have heard (so far) is : Every company that LVLT approached said (in effect) "Up yours ! We are NOT going to let you get your hands on our assets or our company at this point in time." (And at these ridiculously low price levels). It's as if Buffet's investing in LVLT was a signal to every telecom company : Hang on. It is the bottom of the telecom market RIGHT NOW. You will make a fortune if you can muddle through without letting anyone else get their hands on your shares or assets. Jon.