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

To: Dragonfly who wrote (4864)	11/15/1998 10:20:00 PM
From: Valueman	Read Replies (1) \| Respond to of 10852

No earth-shaking change in fundamentals, but the industry is consolidating rapidly. It is a capital intensive business(at least to start), and Loral has plans that are extremely capital intensive. Those plans include 3 state of the art C* GEOs, 80 Skybridge LEOs, 3 EuropeStar GEOs, Ka band sats for Orion, V band down the line, G2, which includes slots for 4 GEOs, etc. A "sugar daddy" would be helpful(or a "sugar mommy" in the case of Ma Bell)for funding all these dreams. They should ooze cash once complete, but Loral can't afford all of these alone. Other companies see the sat biz as we do--a wonderful business. Loral remains the last prime target. Lockheed took Comsat, the Europeans are banding together, Motorola joined Teledesic, AsiaSat is up for grabs, BCE folded in Telesat, SatMex and Orion were consumed by Loral, PanAmSat was taken by Hughes, GE/Gilat--you name it, it is happening. Loral has all the right goods--a GMPCS company stake, FSS worldwide, DBS slots, Data services(C*, Orion, Skybridge), and manufacturing. That is what drums up takeover talk.