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 : Newbridge Networks -- Ignore unavailable to you. Want to Upgrade?

To: Groundhog who wrote (9534)	2/11/1999 8:11:00 PM
From: Moneysmith	Read Replies (2) \| Respond to of 18016

Thanks for the WIC reference; here's the disclaimer: CA;NSX Page 1 of 2 Sequence Number : 6535 Story Date : 99/02/11 1 18:09 T =Newbridge Stk Ends Down -2: LMCS Pact With MaxLink Solid Last August, WIC Connexus, which is a subsidiary of broadcaster WIC Western International Communications Ltd. (WIC.B), announced awarding the LMCS pact to Newbridge Networks Corp. (NN) and Newbridge partner Alcatel Alshtom Cie. Generale d'Electricite (ALA). The pact was valued at between C$450 million and C$500 million. A spokesman at WIC Connexus declined to comment on the status of the company's pact with Newbridge. Last August, Newbridge also obtained a similar pact to supply LMCS equipment to closely held MaxLink Communications Inc., which also plans to build an LMCS network in Canada. This pact hasn't been questioned. Indeed, Joel Bell, MaxLink deputy chairman, said this pact with Newbridge remains solid and the network is still scheduled to be up-and-running by the middle of this year. Mark Lucey, telecommunications analyst at Kearns Capital Ltd., said he heard the rumors about Newbridge possbily losing the LMSC contract with WIC Connexus, but he didn't know if those rumors were true. At the same time, Lucey downplayed the significance of the loss of the WIC Connexus LMCS pact. He said he didn't include the LMSC contracts as part of his financial model for Newbridge, because of uncertainty about the rollout of the planned networks and uncertainties about ultimate demand for the services. Other analysts echoed this view. However, they also said a loss of the LMCS contract with WIC Connexus would be a blow to Newbridge's stock in the short term, since it follows Newbridge's earnings warning late last week. -By Ben Dummett; 416-943-7807; ben.dummett@dowjones.ca (END) DOW JONES NEWS 02-11-99 06:09 PM

To: Groundhog who wrote (9534)	2/11/1999 8:41:00 PM
From: Glenn McDougall	Respond to of 18016

This explains the downturn in Newbridge stock in the last hour. Thanks for the news Groundhog even though it is less than ideal. Regards Glenn Back to the drawing board! Perhaps the next several pieces of news might be a little more positive that the last two.

To: Groundhog who wrote (9534)	2/11/1999 9:09:00 PM
From: Serge Collins	Read Replies (2) \| Respond to of 18016

Take $250 million out of the company's backlog. That's 15 % of yearly revenues, not to mention whatever service revenues attend to such a deal plus the intangible benefits. Someone knew something and was selling out. That is a big black eye for Newbridge who had to know that the deal was off and didn't release the information to the market. Some people had access to confidential information that was not available to investors, and they profited from it. I hope it's not someone at Newbridge. If it is, it's a situation similar to what happened to Com Dev last year.