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Technology Stocks : Global Crossing - GX (formerly GBLX) -- Ignore unavailable to you. Want to Upgrade?

To: Teddy who wrote (495)	3/18/1999 9:36:00 PM
From: D. K. G.	Read Replies (1) \| Respond to of 15615

Teddy, I caught an interesting factoid after listening to a report by CNBC's David Faber today just now on the VCR. He went over the GBLX/ FRO deal nothing that has not been presented here but... He cited that for every 1% decrease in the price of a fiber optic transmission the traffic has increased 3%. I don't know source he got that from but I found it interesting as prices are bound to decrease with the increasing capacity. This price to traffic relationship will be dynamic and change as supply and demand change. I was wondering if you had any feedback on this metric. My understanding of GBLX's pricing is much like a FX currency contract were they have sold forward the fiber locking in a price now. I don't recall if they've done this in every case. TIA, regards, denis