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The Satellite News Financial Ticker

By Staff Writer | January 26, 2004

      Week of Jan. 16 – 22, 2004
      Percentage Change
      Symbol
      Jan. 22 Price
      One Week
      One Month
      Three Month
      Year to Date
      Operators
      APT SATELLITE HLDGS ATS
      2.79
      (0.7)
      18.2
      24.0
      17.2
      ASIASAT TELECOM SAT
      20.24
      1.8
      8.5
      18.4
      6.6
      BRITISH SKY BROADCASTING BSY
      56.12
      0.6
      12.5
      27.5
      10.2
      ECHOSTAR COMM -CL A DISH
      35.94
      1.0
      8.6
      (8.7)
      5.7
      HUGHES ELEC (GM -CL H) GMH
      17.31
      2.7
      8.3
      11.1
      4.6
      LORAL SPACE & COMM LOR
      1.05
      141.4
      208.8
      156.1
      233.3
      NEWS CORP NWS
      38.45
      2.9
      11.3
      10.6
      6.5
      NEW SKIES SATELLITES NSK
      7.02
      (3.8)
      4.8
      19.2
      (2.0)
      PANAMSAT SPOT
      21.80
      6.5
      5.5
      11.3
      1.1
      PASIFIK SATELIT NUSANTARA PSNRY
      0.20
      2.6
      290.0
      5.4
      290.0
      PEGASUS COMMUNICATIONS PGTV
      47.94
      29.2
      137.3
      255.1
      70.7
      SES GLOBAL SESF.LU
      7.98
      2.2
      5.6
      4.3
      (0.3)
      SIRIUS SATELLITE RADIO SIRI
      3.28
      1.5
      48.4
      28.1
      3.8
      XM SATELLITE RADIO XMSR
      26.79
      0.3
      17.5
      36.4
      1.9
      Operators’ Average
      100.00
      13.4
      56.1
      42.8
      46.4
      Manufacturers
      ANDREW ANDW
      16.99
      (0.2)
      48.1
      24.7
      46.6
      BALL BLL
      58.81
      1.9
      (0.1)
      8.1
      (1.3)
      BOEING BA
      42.89
      (0.5)
      3.4
      17.2
      1.8
      COM DEV INTL *CDV
      3.25
      9.8
      22.6
      22.6
      12.8
      EMS TECHNOLOGIES ELMG
      24.12
      (5.3)
      25.6
      29.2
      17.4
      GARMIN GRMN
      56.44
      (1.7)
      2.6
      26.0
      3.6
      GILAT SAT NETWORKS GILTF
      6.80
      19.7
      34.9
      52.8
      39.1
      GLOBECOM GCOM
      5.78
      11.8
      12.2
      39.3
      21.7
      HARRIS HRS
      48.73
      20.2
      29.0
      36.3
      28.4
      HONEYWELL HON
      35.86
      (0.9)
      12.7
      23.4
      7.3
      KVH KVHI
      19.53
      7.1
      (33.5)
      (27.9)
      (29.2)
      LOCKHEED MARTIN LMT
      50.98
      (1.0)
      1.5
      10.8
      (0.8)
      LUCENT TECHNOLOGIES LU
      4.04
      (0.8)
      39.3
      64.9
      42.2
      MOTOROLA MOT
      16.70
      2.1
      26.3
      24.4
      19.3
      NERA NERAY
      2.35
      (1.2)
      16.4
      5.3
      13.3
      ORBITAL SCIENCES ORB
      13.26
      (0.4)
      6.8
      35.9
      10.3
      QUALCOMM QCOM
      57.11
      (5.0)
      11.9
      26.0
      5.9
      RAYTHEON RTN
      31.81
      2.6
      6.6
      13.4
      5.9
      ROCKWELL COLLINS COL
      32.29
      (0.2)
      10.4
      20.2
      7.5
      SCIENTIFIC-ATLANTA SFA
      33.41
      1.0
      25.4
      (9.2)
      22.4
      SKY FRAMES SKYU
      0.00
      –
      (99.7)
      (99.8)
      (99.0)
      TITAN TTN
      21.76
      (0.1)
      –
      3.6
      (0.2)
      TRIMBLE NAVIGATION TRMB
      41.24
      0.9
      21.3
      70.8
      10.7
      VIASAT VSAT
      23.48
      (4.1)
      24.0
      19.8
      22.7
      Manufacturers’ Average
      100.00
      2.3
      10.3
      18.2
      8.7
      Nasdaq Composite Index
      Nasdaq comp
      2,119.01
      0.4
      8.6
      9.2
      5.8
      SP 500 sp50
      1,143.94
      1.2
      5.1
      9.4
      2.9
      SN Stock Price Average —
      100.00
      6.4
      27.2
      27.3
      22.6

       

      Wall Street Analysis

      By Paul Dykewicz

      Concerns that a discount pricing war could erode profits in the U.S. multichannel video sector were put to rest late last week when DirecTV announced price hikes that topped those from the previous week announced by rival EchoStar Communications [Nasdaq: DISH].

      Since cable TV operators are notorious for boosting prices every year, the decision by both satellite TV service providers to raise their rates should enhance the profitability prospects for cable and satellite companies. Part of the price hikes will cover increased programming costs, but both companies should also benefit with additional revenues.

      The price hike for DirecTV averages 4.5 percent across its various programming packages, according to a research report released Jan. 23 by Vijay Jayant, a satellite and cable analyst at Lehman Brothers. Those price increases are “significantly higher” than the 1.7 percent average price hike on EchoStar’s programming packages, he added.

      Also notable is a new DirecTV promotional package that offers discounts on its least expensive option to entice new subscribers. DirecTV is the higher priced satellite TV service across the board; its new promotion is aimed at the low-end customers that generally go to EchoStar. DirecTV is offering its Total Choice programming for $29.99 per month for the first six months of service, before the price rises to the standard rate of $39.99 per month. Customers must agree to buy one year of programming and also purchase DirecTV equipment. The promotion competes directly with EchoStar’s bargain-basement $29.99 a month America’s Top 60 programming package. The increased aggressiveness by DirecTV follows closely on the heels of the acquisition of its parent Hughes Electronics [NYSE: HS] by News Corp [NYSE: NWS]. Watch for DirecTV to be more aggressive in the coming months in the areas of programming options, equipment, and service enhancements.

      Paul Dykewicz is the senior editor and senior analyst of SATELLITE NEWS. He can be reached by e-mail [email protected] at or by phone at 301/354-1769.

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