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

To: Snake who wrote (2046)	2/25/1998 12:34:00 PM
From: Snake	Read Replies (2) \| Respond to of 10852

Proxy is a pretty interesting read. Interesting things to note: 1. Transaction may not be tax-free for Orion shareholders, since Loral is a foreign corp. All sorts of rules under IRC 367, most notable an active business requirement, that may cause this to be a taxable transaction. A PLR (private letter ruling) will be filed by ONSI and LOR to clarify issue. Transaction is not contingent on obtaining tax-free status. 2. ONSI approached several companies in seeking a buyout or partial equity stake for all the reasons set forth in the proxy, notable since ONSI stock failed to respond to the debt offering last year. Loral did not initiate discussions. 3. Gives some insight to the process that took place in the negotiations, and how Loral negotiated price. Pretty interesting. ONSI started talking about a deal since February of last year. A lot of other info for those who like the details. Be sure to have some tylenol ready once your finished though. Bill

To: Snake who wrote (2046)	3/3/1998 1:46:00 PM
From: Snake	Respond to of 10852

Loral release today says the ONSI deal will close immediately after vote on March 20. Counting backwards 10 trading days means the determination period for the amount of stock Loral will issue should close Thursday or Friday this week (the 5th or 6th). I will leave for someone else to do the volume weighted average price for the 20 tradings prior to that to get the Loral price. Anyway, hopefully price pressures should be reduced after the determination period closes (i.e. the prices after the determination period mean nothing to the conversion).