Steve Mehs
04-14-03, 05:58 AM
PanAmSat executives said they view the proposed takeover of its
parent Hughes Electronics by News Corp. as a good thing for the
company, and added that they hope the media giant's influence
will help two key clients suffering through Latin America's
economic crisis.
PanAmSat provides satellite capacity for DirecTV Latin America
and Sky Latin America, the satellite TV platform operated by
News Corp., Liberty Media and regional partners. DirecTV Latin
America, another Hughes unit, filed for bankruptcy in March,
and both platforms have struggled during the economic downturn
in the Latin American region.
Both DirecTV Latin America and Sky are locked into long-term
contracts with PanAmSat for service, PanAmSat CEO Joe Wright
said. If News Corp. - through its takeover of Hughes - attempts
to "stabilize" those businesses, "We see it as a positive for
PanAmSat," he said.
Wright said everything that he has heard concerning News
Corp.'s takeover of Hughes Electronics has been positive, at
least from a PanAmSat perspective. Hughes controls PanAmSat.
And if its takeover by News Corp. wins regulatory approval,
PanAmSat will become part of the News Corp. empire.
Last week, News Corp. Chairman Rupert Murdoch said PanAmSat
could help the media giant and its other global satellite TV
and entertainment assets from becoming dependent on other
satellite providers, especially given the consolidation within
the commercial satellite business. For example, "We don't want
to be a victim of one European monopoly," said Murdoch, whose
company controls key media properties on the continent,
including satellite TV powerhouse British Sky Broadcasting.
Murdoch also said PanAmSat provides steady cash flow.
On Friday, PanAmSat reported first quarter results. The
satellite operator generated revenues of $199.8 million,
EBITDA of $148.5 million, net income of $30.9 million and
free cash flow of $37.8 million during the three-month period.
From SkyReport (http://www.skyreport.com) (Used with Permission)
parent Hughes Electronics by News Corp. as a good thing for the
company, and added that they hope the media giant's influence
will help two key clients suffering through Latin America's
economic crisis.
PanAmSat provides satellite capacity for DirecTV Latin America
and Sky Latin America, the satellite TV platform operated by
News Corp., Liberty Media and regional partners. DirecTV Latin
America, another Hughes unit, filed for bankruptcy in March,
and both platforms have struggled during the economic downturn
in the Latin American region.
Both DirecTV Latin America and Sky are locked into long-term
contracts with PanAmSat for service, PanAmSat CEO Joe Wright
said. If News Corp. - through its takeover of Hughes - attempts
to "stabilize" those businesses, "We see it as a positive for
PanAmSat," he said.
Wright said everything that he has heard concerning News
Corp.'s takeover of Hughes Electronics has been positive, at
least from a PanAmSat perspective. Hughes controls PanAmSat.
And if its takeover by News Corp. wins regulatory approval,
PanAmSat will become part of the News Corp. empire.
Last week, News Corp. Chairman Rupert Murdoch said PanAmSat
could help the media giant and its other global satellite TV
and entertainment assets from becoming dependent on other
satellite providers, especially given the consolidation within
the commercial satellite business. For example, "We don't want
to be a victim of one European monopoly," said Murdoch, whose
company controls key media properties on the continent,
including satellite TV powerhouse British Sky Broadcasting.
Murdoch also said PanAmSat provides steady cash flow.
On Friday, PanAmSat reported first quarter results. The
satellite operator generated revenues of $199.8 million,
EBITDA of $148.5 million, net income of $30.9 million and
free cash flow of $37.8 million during the three-month period.
From SkyReport (http://www.skyreport.com) (Used with Permission)