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


To: P.T.Burnem who wrote (3602)12/10/1997 7:24:00 PM
From: Satellite Mike  Read Replies (1) | Respond to of 10227
 
Arnie, It looks as though OJ Didit has come back with a
new name. I saw Dan Akerson on C.N.B.C. yesterday evening.
He doesn't look too worried, does he?

Mike.



To: P.T.Burnem who wrote (3602)12/10/1997 8:05:00 PM
From: Al Gutkin  Read Replies (1) | Respond to of 10227
 
PT: You're still missing something with your response to licenses.

Admittedly Nextel paid an awfull lot for those licenses, especially since they had no real competition. In order to firm up the national system, to include remote areas, they had to pay the government's price. The government knew the value of those licenses and we all know they aren't very smart in valuation. Are they?

Well PT, you forgot one thing. The value of the licenses unbuilt are one thing, the value built and subscribed to is another. I'm too lazy to go back 300 posts to get Bubba's last estimate of ARPU's and profit points, but based upon industry valuation methods, those licenses are worth 100 times their cost, if stated at fair market value.

Lets see, you and I just bought a license in Pahrump, Nv. Our tower is right next to the house of ill repute. I built the system for a cost of 55,000, you provide the license at a cost of ?????.(you insert this number). We sell out of space immediately. Now multipy the number of subcribers times 50.00 per month, plus air time and fill in the total revenue per month. Oh yea, add the interconnect fees and tower space rental to the monthly income. Take that monthly income and multipy it by infinity to get the worth of the license and the our little company.

You do all this while I do some repair work on the tower and then go next door for a ????@#@$#$@(drink)

Don't call me unless the system is down. I'm busy<VBG>

Regards:

Busy as a bee, Al