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

To: Rocket Scientist who wrote (4621)	9/21/1998 2:00:00 PM
From: Valueman	Respond to of 10852

RS: The Series A can convert to common after receipt of certain antitrust clearances or the sale to an unaffiliated third party. So, the effect would depend on how it was handled. Ideally, it would be sold as a block to a single interested party. If not, they would likely only sell if the price recovered(I hear today that LMT will likely use internally generated cash to buy CQ) and then they could do a secondary public offering. The effect on the LOR price would then be dependent on demand. It would be silly for them to even contemplate such a move now. I think it would be converted to common before any public offering, if that is legal. If they did it right now, the stock would crater. There is not enough demand out there to sop up 46 million shares. That would not be a good thing for either side!