Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Technology Stocks : Loral Space & Communications -- Ignore unavailable to you. Want to Upgrade?

To: Jeff Vayda who wrote (10372)	2/10/2003 9:34:41 AM
From: Jeff Vayda	Read Replies (1) \| Respond to of 10852

Loral Faces Damages Claim Of $350 Million Satellite News 02/10/03 (c) 2001 Phillips Business Information, Inc. [Just how much 'damage' could have been done by Loral to Alcatel? How many contracts were signed in the last two - three years? Worse, this will drag on through the summer. More likely it is a hang over or spite wrt G? Oh, Loral - someday (?) the 'overhangs' will be removed. Speaking of which, when will Lockheed do something* with its Loral shares? Jeff Vayda] New York's Loral Space & Communications [LOR] is acknowledging for the first time that claims against it by France-based Alcatel Space could have a "material" impact on its financial picture. The change follows an arbitration panel's ruling late last month that Loral violated a partnership agreement with its former satellite-manufacturing partner. The tribunal assigned to address the claims and counterclaims found that Loral breached the alliance agreement between the two companies by failing to share information. Now, the tribunal is requesting further submissions by the parties involved and scheduling hearings to be held this May to determine if any of the breaches caused Alcatel to suffer injury that is sufficient to warrant damage payments from Loral. If the tribunal finds that Alcatel sustained damages, there could be a "material adverse effect" on Loral's consolidated financial position and operating results, Loral officials reported in an 8-K filing with the Securities and Exchange Commission. Alcatel is seeking $350 million in damages from Loral. Industry observers questioned whether anything close to that level of damages could be justified. William Kidd, a satellite analyst with Lehman Brothers, was skeptical that Alcatel incurred "significant harm." In a Feb. 3 research note to his clients, Kidd wrote that Alcatel's claim that Loral did not share information is unlikely to warrant a "significant award" for damages. However, if the tribunal somehow found adequate reason to slap Loral with hundreds of millions of dollars in damages, Kidd said the financially struggling company's probability of bankruptcy would rise "dramatically." "Importantly, Loral's new disclaimer regarding the dispute shows the ruling is quite negative," Kidd wrote. Loral previously explained in its financial documents with the SEC that the dispute likely would have no material adverse effect on the company. Maury J. Mechanick, attorney with the Washington office of White & Case LLP said the arbitration tribunal's finding that the partnership agreement was breached by Loral does not mean in and of itself that Alcatel suffered any "actual damages." "Resolution of that issue will depend upon the tribunal's assessment of factual submissions and legal arguments yet to be made by both Alcatel and Loral on the damages question and, as such, it is not possible to make any predication as to the outcome at this time," Mechanick said. --Paul Dykewicz (William Kidd, Lehman Brothers, 212/526-4849; Maury Mechanick, White & Case, 202/626-3635

To: Jeff Vayda who wrote (10372)	2/15/2003 11:40:37 AM
From: waitwatchwander	Read Replies (2) \| Respond to of 10852

Ariane-4 blasts into history news.bbc.co.uk The Ariane 4 is being retired The final mission for Europe's Ariane-4 series of rockets has been successfully carried out, with the placing in orbit of a communications satellite on Saturday. The Ariane-4 has been in service for nearly 15 years and has well over 100 safe launches to its credit. It is being replaced by the much larger Ariane-5 rocket, which is capable of carrying bigger payloads into space. Ariane-5 has been in commercial use since 1999, but has a troubled record for operator Arianespace. It blew up on its maiden flight in 1996, and last December a heavier version of it had to be destroyed shortly after take-off because it developed problems. Shadow of Columbia Saturday's launch - the 116th - had been delayed three times because of strong winds at high altitudes over the launch-pad in Kourou, French Guiana. Ariane 4 Entered service in 1988 Final mission 15 Feb Last cargo: Intelsat 907 telecomms satellite Flight 159 was to be a triumphant event but the loss of the space shuttle Columbia and problems with the new launch vehicle have cast a shadow over space exploration. Out of 14 launches of the successor Ariane-5 so far, two rockets have exploded and two have put satellites into the wrong orbits. Future plans After Saturday's launch, Arianespace president Jean-Yves Le Gall told journalists that the Ariane-5 loss in December would cost the European space programme 300 million euros. Arianespace is planning to relaunch a basic version of the Ariane-5 after the end of March, carrying two telecommunications satellites. Also in prospect is the launch early in 2005 of a 4.7 ton satellite to provide high-speed internet access throughout the Americas. Ariane-4 is being eased out of service because of market pressure to put bigger commercial satellites into orbit more cheaply. It took Esa 10 years and $7bn to produce the Ariane 5, a rocket intended to give Europe dominance in the commercial space business.