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 : (LVLT) - Level 3 Communications -- Ignore unavailable to you. Want to Upgrade?

To: craven moorhead who wrote (605)	3/30/1998 4:18:00 PM
From: Ken98	Read Replies (1) \| Respond to of 3873

craven, what is the source of your information?

To: craven moorhead who wrote (605)	3/30/1998 4:39:00 PM
From: iownpks	Respond to of 3873

This is not new news. The Class R Stock has been out there since the spin off. Level 3 will issue two million+ shares upon conversion of the R stock. This comes from a news release mid March. There are 6,538,231 shares of Class R stock outstanding. At $25.00 per R share converted at approx. $70.00 per share that would be 2,335,083 shares or approx. 1.6% dilution. I'm sure all the Omaha people know this and if those are truly the ones buying this stock it will be no surprise.

To: craven moorhead who wrote (605)	3/30/1998 5:00:00 PM
From: Ken98	Read Replies (1) \| Respond to of 3873

craven, after my last post I went to the L3 site and copied the following which in essence summarizes the SEC filings on the topic: << Board Approves Forced Conversion Plan The PKS Board of Directors has approved in principle a plan to force conversion of all 6,538,231 shares of Class R stock outstanding. Due to certain provisions of the Class R stock, conversion will not be forced prior to May 1998, and the final decision to force conversion would be made by the Level 3 Board of Directors at that time. The Level 3 Board may choose not to force conversion if it were to decide that conversion is not in the best interests of the stockholders of Level 3. If, as currently anticipated, the Level 3 Board determines to force conversion of the Class R stock on or before June 30, 1998, certain adjustments will be made to the cost sharing and risk allocation provisions of the separation agreements between Level 3 and the construction business. If the Level 3 Board of Directors determines to force conversion of the Class R stock, each share of Class R stock will be convertible into $25 worth of Level 3 common stock, based upon the average trading price of the Level 3 common stock on the Nasdaq National Market for the last fifteen trading days of the month prior to the determination by the Board of Directors to force conversion. For example, if the average trading price of the Level 3 common stock were $66 (the price of the last trade reported on the OTC Bulletin Board on March 18), Level 3 would issue 2,476,603 shares upon conversion of the Class R stock. >> According to this information the determination to force conversion will not even be made UNTIL May, 1998 and it will be made by the L3 board rather than the PKS board based on a determination of the best interests of the L3 shareholders. The conversion is on the basis of shares of L3 stock not a cash outlay and is based on the recent trading price. The effect of the conversion will be dilutive to existing shareholders but not in a significant manner. There are 146 million shares outstanding according to one of the recent press releases. The last SEC filing listed 125 million shares outstanding. I am assuming that the difference is to account for shares sold to employees and may include some allocation for the pending Class R conversion rights. I am assuming your histrionic little post is intended to have the effect of yelling "fire" in a theatre or something. I hope you have a good explanation for that last post. If not, don't ever post here again.