EchoStar Offers $1.45B for loral assests

[DDRio]

http://biz.yahoo.com/ap/030819/echostar_loral_1.html

[Airblair]

Hoo-wah. You gotta wonder exactly how this would open up some new possibilities for E* subs . . .

"Such a transaction would represent a new line of business for EchoStar, which broadcasts satellite television directly to consumers, as Loral carries television signals on a wholesale basis for broadcasters such as Fox, CBS and ABC."

[John Corn]

Does that include GlobalStar as well?

[Richard King]

No, unless Loral still has some equity in Globalstar, which I don't think they do at this point.

[rtt2]

I this goes through E* would be in the business of providing Cable companies with their content!! Imagine E* could advertise that people should choose Dish Network as their provider because even their own cable company chooses them.
This could also be good because it would reduce the cost of delivering content to E* transmission facilities. It would be one less vendor to pay for content delivery. This reminds me of how steel companies began way back in the 1800s and early 1900s by buying up all the pieces for steel production --- From the mining of coal all through the production process to the delivering of it on their own railroads steel companies owned it all and drove down operating inefficiencies and cost through size and complete control. E* might be doing the same by becoming a provider of multichannel video for both the delivery of DBS signals and those to cable companies. Charlie could squeeze cable even more this way and might get concessions out of cable companies to deliver cable only channels on Dish Network. Imagine Comcast losing the History Channel or HBO if they did not provide Comcast Sports Net?
I am just guessing at the possibilities here but from my perspective it seems that this seems like a good deal.

[GreyGhost00]

Of equal importance is the fact that Loral *BUILDS* satellites. They built the soon-to-be-launched DirecTV 7s as well as E* VIII and IX.

[Peluso]

Still all this tells me is that Charlie is in a mode to buy or be bought. I prefer it if he buys.

[GreyGhost00]

I prefer it if he buys.
I'm not convinced that is the better of the two alternatives.

[John Kotches]

It is explicitly stated in the article that the deal does not include the Satellite construction portion of the Loral corporation.

Regards,

[Richard King]

more than $1 billion as well as the firm's other assets for $450 million.

Actually, the construction portion, part of the "firm's other assets" in the article, is what brings the price to $1.45 Billion. Without the "other assets", the price is $1 Billion 5 Million.

[Marcus S]

Not being a financial expert, every time E* refinanced notes or any of the board of directors cash cowed, subs received a $1 pak increase. I wish I understood the galaxy of high finance.

[Jacob S]

Seems like another way of Dish to diversify to me.

[Mike D-CO5]

I think I need to buy stock in Dish . It looks more and more like the future looks so bright I got to wear shades. :smoking: