Latest News
The Satellite News Financial Ticker
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Week of March 21 – 27, 2003
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Percentage Change
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|||||
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Symbol
|
March 27 Price
|
One Week
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One Month
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Three Month
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Year to Date
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|
Operators
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||||||
| APT SATELLITE HLDGS | ATS |
1.50
|
6.4
|
(4.5)
|
(10.4)
|
(12.8)
|
| ASIASAT TELECOM | SAT |
12.65
|
2.1
|
2.2
|
12.7
|
11.1
|
| BRITISH SKY BROADCASTING | BSY |
40.72
|
1.3
|
7.4
|
2.8
|
1.6
|
| ECHOSTAR COMM -CL A | DISH |
29.83
|
0.5
|
14.1
|
35.8
|
34.0
|
| GENERAL ELECTRIC | GE |
26.44
|
(1.5)
|
10.6
|
7.0
|
8.6
|
| GILAT COMMUNICATIONS | GICOF |
0.18
|
–
|
–
|
45.8
|
16.7
|
| GLOBALSTAR TELECOM | GSTRF |
0.07
|
(7.1)
|
(7.1)
|
18.2
|
25.0
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| HUGHES ELEC (GM -CL H) | GMH |
11.40
|
9.1
|
12.3
|
8.6
|
6.5
|
| IRIDIUM WORLD COMM | IRIDF |
0.10
|
(9.5)
|
(9.5)
|
(17.4)
|
(13.6)
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| LORAL SPACE & COMM | LOR |
0.35
|
–
|
(5.4)
|
(14.6)
|
(18.6)
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| NEWS CORP | NWS |
26.08
|
(0.8)
|
5.0
|
0.4
|
(0.6)
|
| NEW SKIES SATELLITES | NSK |
4.20
|
1.2
|
(1.6)
|
(0.2)
|
1.2
|
| PANAMSAT | SPOT |
14.80
|
0.5
|
10.0
|
2.3
|
1.1
|
| PASIFIK SATELIT NUSANTARA | PSNRY |
0.15
|
20.0
|
(6.3)
|
100.0
|
–
|
| PEGASUS COMMUNICATIONS | PGTV |
14.05
|
(9.5)
|
(11.6)
|
11.4
|
7.3
|
| SES GLOBAL | 549343 |
4.38
|
4.8
|
(5.6)
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(34.1)
|
(31.6)
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| SIRIUS SATELLITE RADIO | SIRI |
0.69
|
16.9
|
(10.4)
|
15.0
|
7.8
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| XM SATELLITE RADIO | XMSR |
6.77
|
26.8
|
43.7
|
138.4
|
151.7
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| Operators’ Average |
|
3.4
|
2.4
|
17.9
|
10.9
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|
|
Manufacturers
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||||||
| ANDREW | ANDW |
5.91
|
(1.8)
|
(22.3)
|
(42.8)
|
(42.5)
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| BALL | BLL |
56.20
|
3.7
|
8.0
|
11.8
|
9.8
|
| BOEING | BA |
26.52
|
(4.7)
|
(5.1)
|
(18.0)
|
(19.6)
|
| COM DEV INTL | CDV |
0.80
|
(3.6)
|
(7.0)
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(16.7)
|
(19.2)
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| GILAT SAT NETWORKS | GILTF |
0.26
|
30.0
|
(33.3)
|
(38.1)
|
(33.3)
|
| GLOBECOM | GCOM |
3.06
|
30.2
|
(1.9)
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(3.2)
|
(18.4)
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| HARRIS | HRS |
28.10
|
(2.5)
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(6.2)
|
9.9
|
6.8
|
| HONEYWELL | HON |
21.98
|
(6.9)
|
(4.8)
|
(0.9)
|
(8.4)
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| KVH | KVHI |
11.86
|
9.8
|
18.7
|
37.6
|
37.9
|
| LOCKHEED MARTIN | LMT |
47.25
|
0.9
|
3.1
|
(18.1)
|
(18.2)
|
| LUCENT TECHNOLOGIES | LU |
1.48
|
(8.1)
|
(8.1)
|
14.7
|
17.5
|
| MOTOROLA | MOT |
8.45
|
2.3
|
2.1
|
(6.1)
|
(2.3)
|
| NERA | NERAY |
0.81
|
(8.8)
|
(5.5)
|
(26.7)
|
(25.7)
|
| NII NORSAT INTL | NSATF |
0.84
|
5.0
|
(8.7)
|
(7.7)
|
(15.6)
|
| ORBITAL SCIENCES | ORB |
5.51
|
(0.7)
|
(3.7)
|
21.9
|
30.6
|
| QUALCOMM | QCOM |
37.60
|
(2.6)
|
9.9
|
0.9
|
3.3
|
| RAYTHEON | RTN |
28.85
|
2.8
|
5.1
|
(5.3)
|
(6.2)
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| ROCKWELL COLLINS | COL |
18.46
|
(3.9)
|
(7.7)
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(19.5)
|
(20.6)
|
| SCIENTIFIC-ATLANTA | SFA |
14.11
|
4.5
|
8.8
|
17.3
|
19.0
|
| STM WIRELESS | STMI |
0.02
|
(2.9)
|
(49.8)
|
(93.5)
|
(92.5)
|
| TITAN | TTN |
7.45
|
(1.7)
|
(8.6)
|
(27.4)
|
(28.4)
|
| TRIMBLE NAVIGATION | TRMB |
18.98
|
4.1
|
13.7
|
49.4
|
52.0
|
| VIASAT | VSAT |
12.49
|
(1.3)
|
13.3
|
1.5
|
8.2
|
| Manufacturers’ Average |
|
1.9
|
(3.9)
|
(6.9)
|
(7.2)
|
|
| Nasdaq | comp |
1,384.25
|
(1.3)
|
4.6
|
2.7
|
3.6
|
| SP 500 | sp50 |
868.52
|
(0.8)
|
3.7
|
(0.8)
|
(1.3)
|
| SN Price Performance Average |
|
2.6
|
(1.1)
|
4.0
|
0.7
|
|
Wall Street Analysis
By Tom Watts, SG Cowen Securities
General Motors [NYSE: GM] plans to hear proposals this week from the four companies that want to buy Hughes Electronics [NYSE: GMH] and its much sought after DirecTV unit – News Corp [NYSE: NWS], Liberty Media [NYSE: L], SBC [NYSE: SBC] and dark horse candidate Cablevision [NYSE: CVC].
After a painful three years, it appears GM finally will reach resolution of the Hughes ownership quandary, allowing investors to focus on Hughes’ operations rather than its merger and acquisition tribulations.
A nagging question remains. “How much will public shareholders benefit from the sale of Hughes?” We expect Hughes shareholders to gain 15 percent to 20 percent above the current stock value. We expect News Corp and Liberty Media to consider a bid together for more than GM’s 20 percent stake in Hughes. Such a bid could give public shareholders some cash out of a deal. Even more favorable to public shareholders, SBC may try to purchase all of Hughes, even compensating GM for the unfavorable tax treatment this structure would receive. That possibility might be the best short-term deal for Hughes shareholders. However, SBC’s commitment to bid remains unclear.
Cablevision is an intriguing dark horse. Press reports have provided the first confirmation of Cablevision’s interest. The cable TV operator is reported to be partnering on its bid with financial investors. If Cablevision bids successfully, we expect it would have to divest its cable operations to receive regulatory approval. Statements from Cablevision during the last year have implied a willingness to shift out of cable and into satellite.
We could even see Cablevision partnering with News Corp, given that the two companies jointly own regional sports networks around the country. We expect these networks to play a key role in differentiating DirecTV from other satellite TV operators if News Corp bids successfully for Hughes. Cablevision also is committed enough to satellite TV to be preparing for the launch of its own satellite to operate at 61.5o West Longitude.
Tom Watts is a managing director and satellite analyst at SG Cowen Securities. He can be reached by phone at 212/278-4260 or by e-mail at tom.watts@sgcowen.com. Readers should assume that SG Cowen Securities Corp. and/or its affiliates intend to offer services in investment banking to the above referenced companies within the next three months, and to seek compensation for such services.
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