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 : Qualcomm Incorporated (QCOM) -- Ignore unavailable to you. Want to Upgrade?

To: waverider who wrote (8807)	2/23/1998 10:01:00 PM
From: Gregg Powers	Respond to of 152472

Valueman: I appreciate the additional metrics that you provided relative to QC's Globalstar stake, but analysis of the issue is more ambiguous that you might think. Having spoken to QC about the issue, at some length, I can assert that the floor value is absolutely no less than $180mm. However, there are performance contingencies that make quantification of the 20% participation nothing more than guesswork. While I have little doubt that QC will perform under its obligations, I nevertheless do not like to build models based on speculation (particularly when said speculation is based on contractual performance criteria which I am not privy to). It's safe to assume that the G* stake is very likely to be worth more than $180mm, but I can't give you the firm and fast number that you would like. Keep this in perspective though, each incremental $100mm in G* value is worth roughly $1.00/shr (after tax)--so, to some extent, we are debating how many angels can dance on the head of a pin... Best Regards, Gregg