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

To: Larry L who wrote (1743)	1/25/1998 11:47:00 AM
From: Valueman	Read Replies (2) \| Respond to of 10852

To all: In looking for Mr. Schwartz's next acquisition, I was led to L-Star(with a little help , ok, a lot of help, by Readware). They are a company 20% owned by the Laotian government and about 50% owned by a Thai company called UCom. Telesat Canada owns 5 or 6%. Articles in the Bangkok Post have Loral with a 10% ownership(?). The original owner ABCN, an M Group subsidiary, sold out most of their stake due to "cash flow" problems. The buyer, UCom, is another conglomerate with an absolutely crushing debt load and in danger of default. The two sats are being built at SS/L, one to be launched in 1st quarter 98, the other later in 98. They were to provide DTH television broadcasting in Asia. They also own 2 other orbital slots on top of those for L-Star 1&2. I just cannot see how they can execute this business plan--in fact, I believe it is impossible. There is excess capacity in Asia at this moment, despite the launch failure of AsiaSat3. ThaiCom 3 and MeaSat of Malaysia are still looking to fill transponder space. The area is a mess. So, what better time for Mr. Schwartz to swoop in and pick up a bargain. Two state of the art birds that are nearly completely built, ready for launch, with launches booked. A financially strapped owner with a bleak outlook on use of the birds if they do launch them. The joint venture with Modi of India will need a sat(although the latest shareholder letter states that there will be a delay due to Indian politics). Theoretically, these birds could be put in orbit anywhere Loral needs them. The 20% ownership by the Laotian government is a sticky issue I am sure. But, I smell opportunity. Anyone know anymore about the situation?