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Technology Stocks : GTE -- Ignore unavailable to you. Want to Upgrade?

To: Mohan Marette who wrote (403)	10/22/1997 11:35:00 PM
From: 4-UR-Eyes-Only	Read Replies (1) \| Respond to of 671

<< I strongly believe that the only thing that could boost the price of GTE is a surprise bid from AT&T, it may still go up, but we may have to wait around for a long time as usual.>> No, I believe it is going to happen sooner than later. Read the statement from Armstrong: <<To: Taboo (383 ) From: 4-UR-Eyes-Only Monday, Oct 20 1997 10:51PM EST Reply #384 of 403 *Is GTE still on AT&T's shopping list?* zdnet.com Armstrong says acquisitions will be key to AT&T's growth By Margaret Kane October 20, 1997 2:36 PM PDT ZDNN Incoming AT&T Corp. CEO C. Michael Armstrong knows he doesn't have too much time to get up to speed. Armstrong said today that while he plans to take about three months to learn the business, something like the possible merger of WorldCom Inc. and MCI Communications Corp. could force him to hit the ground running. "I don't think this business is going to stand still while I continue to learn," Armstrong said in a conference call with reporters. "We're going to execute to win and to grow, and while I'm learning everything I need to know we'll make those decisions together." Armstrong's appointment today was widely anticipated. The chairman and chief executive of Hughes Electronics Corp., Armstrong will succeed outgoing AT&T Chairman and CEO Robert Allen effective November 1. Allen will serve as chairman of the board's executive committee until his retirement in February, AT&T officials said. Armstrong's appointment completes a three-month job search sparked by the resignation of former president John Walter after AT&T declined to hand him the CEO position. AT&T Vice Chairman John Zeglis, who had been mentioned as a possible candidate for the CEO job, has been named president and will serve as a member of the board of directors. No decision as to his eventual chances at the top job has been made, said Walter Elisha, chairman of AT&T's search committee, during the conference. Zeglis and Armstrong said today they will work as a team and divide up their duties after Armstrong has been onboard for a while. They will also split the operational duties normally handled by the chief operating officer. While Armstrong would not go into detail about his future plans for the company, he did emphasize that AT&T needs to invest if it is to survive. "Maybe somebody out there has magic dust where you can grow without investing. I have never found the dust," he said. "I know we're in an industry that is exploding globally, and it's going to take investments to share in that growth." Armstrong said investments could include acquisitions, mergers and building out infrastructure. "In a growth industry, investment is very, very necessary, and acquisitions are going to be part of that investment strategy," he said. ========================================================= In addition, I agree with you that the $52++ billion LTD on the Balance Sheet poses HEAVY pressure on free cash flow. Any economic slowdown, pricing erosion, or miscalculation/error in operations will put GTE in financial trouble. GTE will be the number ONE of all U.S.(World?) companies with the HIGHEST debt on the books. The only COMPANY higher than GTE is U.S. GOVERNMENT !!! \|