John Corn
01-22-03, 05:58 AM
NEW YORK (Reuters) - Hughes Electronics Corp. (NYSE:GMH - news) is considering a strategy to retain and expand satellite services provided to business customers, the Wall Street Journal reported on Wednesday.
Citing industry officials familiar with the matter, the newspaper said the preliminary concept for Hughes is to maintain its 81 percent stake in fixed satellite services provider PanAmSat Corp. (NasdaqNM:SPOT - news) and merge Hughes's Network Systems unit into that separately traded entity. Hughes is seeking a buyer for its DirecTV satellite-to-home broadcast unit,
The plan, which has not been publicly disclosed, is still being drafted by Chief Executive Jack Shaw and could change significantly in coming weeks, according to the report.
A primary goal would be to use PanAmSat's cash flow to help finance fledgling but potentially faster-growing businesses spearheaded by Network Systems, the article said. The unit is pursuing flexible, high-speed data transmission and Internet connections using a new generation of satellites called Spaceway.
Rest of the Story (http://story.news.yahoo.com/news?tmpl=story&u=/nm/20030122/bs_nm/tech_hughes_report_dc_1)
Citing industry officials familiar with the matter, the newspaper said the preliminary concept for Hughes is to maintain its 81 percent stake in fixed satellite services provider PanAmSat Corp. (NasdaqNM:SPOT - news) and merge Hughes's Network Systems unit into that separately traded entity. Hughes is seeking a buyer for its DirecTV satellite-to-home broadcast unit,
The plan, which has not been publicly disclosed, is still being drafted by Chief Executive Jack Shaw and could change significantly in coming weeks, according to the report.
A primary goal would be to use PanAmSat's cash flow to help finance fledgling but potentially faster-growing businesses spearheaded by Network Systems, the article said. The unit is pursuing flexible, high-speed data transmission and Internet connections using a new generation of satellites called Spaceway.
Rest of the Story (http://story.news.yahoo.com/news?tmpl=story&u=/nm/20030122/bs_nm/tech_hughes_report_dc_1)