txlaw Posted April 12, 2011 Share Posted April 12, 2011 By the way, I think it's safe to say that now that the Vampire Squid has decided to pull its blood funnel off of CLWR and attach it to S, something interesting could be brewing. Link to comment Share on other sites More sharing options...
brker_guy Posted April 12, 2011 Share Posted April 12, 2011 Wow. Rub it in, why don't you. ;D Sorry, Tx, I didn't want to come across as bragging. I am a Charlie Munger kind of a guy and practices what he preaches, "No thumb sucking events". ;D Like you Tx, I am under the same thinking that something "will" happen to Sprint and CLWR. These guys are joined at the hips. That's why I made my moves that very next Monday when AT&T decided to take out my beloved carrier, T-Mobile. Both Sprint and CLWR need to play nice with one another to have a chance at survival, and those other big boys wireless carriers NEED and WANT CLWR's spectrum to meet the demands of their data hungry customers who are on the moves. The Strategic Investors of CLWR will make it hard for CLWR to be taken out on the cheap. To me, it is not the question of "if" some kind of a deal will happen to S and CLWR, but it's a question of "when". So, like you Tx, I am long on CLWR and also long on S. One is a spectrum asset play, and the other is a "sum-of-the-parts" play. BTW: TxLaw, did you notice that Greenlight Capital loaded up on 56MIL shares of Sprint last quarter? That's quite a bet: http://www.nasdaq.com/asp/holdings.asp?symbol=S&selected=S&FormType=Institutional Link to comment Share on other sites More sharing options...
Guest ValueCarl Posted April 12, 2011 Share Posted April 12, 2011 Brker_guy, nice cost basis including your bond play! On a smaller bond base I'm sure, I did better than you, however. I have my thumb in my mouth on equity somewhere along with Myth, today, on the other hand. :'( Taxlaw, who is the Vampire Squid you refer to, VZ or CMCSA? Regarding Seam and Fairfax's(majority owners') $400MM $1.80 pps 15 percent convert, how likely is it that a voluntary conversion could have been part of the Global negotiations? tia Link to comment Share on other sites More sharing options...
brker_guy Posted April 12, 2011 Share Posted April 12, 2011 Carl, I would doubt it one bit that you would have a better bond cost basis than me. In those dark days of 2008, there were a lot of panic selling on both equities and bonds. So, my hat goes out to you for scooping up some wonderful bargains... This will be a very event to witness watching the 3-ways dance going (ST Telemedia, Watsa, and SEAM) playing in the same sandbox one day. Link to comment Share on other sites More sharing options...
txlaw Posted April 12, 2011 Share Posted April 12, 2011 Taxlaw, who is the Vampire Squid you refer to, VZ or CMCSA? Carl, I'm referring to THE Vampire Squid -- aka Goldman. Apparently, Clearwire is pissed off at Goldman because they fired Clearwire as a client and signed on with Sprint. See http://www.fiercewireless.com/story/report-goldmans-decision-advise-sprint-bothered-clearwire/2011-03-28 Regarding Seam and Fairfax's(majority owners') $400MM $1.80 pps 15 percent convert, how likely is it that a voluntary conversion could have been part of the Global negotiations? tia No idea. Link to comment Share on other sites More sharing options...
txlaw Posted April 13, 2011 Share Posted April 13, 2011 BTW: TxLaw, did you notice that Greenlight Capital loaded up on 56MIL shares of Sprint last quarter? That's quite a bet: http://www.nasdaq.com/asp/holdings.asp?symbol=S&selected=S&FormType=Institutional Yeah, I noticed. You should check out Glenview Capital's write up on CLWR in their shareholder letter. It's pretty good, although Robbins focuses a lot on replacement cost. http://www.scribd.com/doc/51415270/Glenview-Capital-Management-3-23-11?secret_password=1qlq95t3ed4kkgcu6og3 Link to comment Share on other sites More sharing options...
Guest ValueCarl Posted April 13, 2011 Share Posted April 13, 2011 You're too kind to me again, Brker_guy. At 44 cents, depending upon which interest rate tranche, I didn't beat you by too much. Here's a fun game tied to their equity and who bought in the wake of greatest pessimism, on the other hand. What's your lowest priced shares in your portfolio's blended cost basis? ;) I'll give you mine, but don't you "broker" me, Brker_guy! ;) On 10/24/2008, 65 cents!!!!! Thanks for the read, txlaw! On the (3) fifteen percent convert, I was attempting to invert and ask the question as O'Mason and Prem, that being, is my position in front of my shareholders better for collecting interest at fifteen percent for another two years and a little bit, or is a higher stock price past four pps with equity in my greasy palms better on my books sooner rather than later? ;D Link to comment Share on other sites More sharing options...
brker_guy Posted April 13, 2011 Share Posted April 13, 2011 Tx, thanks for the writeup by Robbins. I will definitely check it out. With CLWR, that spectrum portfolio of theirs is worth a bundle of $. Carl, the best price I ever got on LVLT was at 63 cents, and that was on March 13th, 2009. I remember that date very well because that was the date that my son bought his first set of stocks for his college education IRA. I actually recorded that date down as a historical point for my son. :D I put quite a few limit orders that day on a few stocks, and most of my orders got filled. ;D ;D It has been 3 very long grueling years. I think TxLaw said it best this morning. This GLBC deal is like an ATSG-like inflection point for LVLT. Barring someone proving you and CardBoard right by swooping in and bid up GLBC, this deal will definitely strengthen LVLT's market presence and financial strength and give them better leverage. If you guys notice, I haven't brought the breakup fees issue up or this dark knight come swooping in and ruin the punch bowl for us. Sometimes, Charlie's invert theorem need not be tested... ;) Link to comment Share on other sites More sharing options...
Guest ValueCarl Posted April 13, 2011 Share Posted April 13, 2011 You are too good, Brker_guy! I won't speak for Cardboard but I thought he was saying that certain Dark Knights or their Horses might appear for either entity. Yes, your silence on the break up fee, or lack thereof, as well as your most recent deliberate avoidance to invert comment, gives me a glimmer of hope that our punch bowl will remain potent! ;D On the other hand, I have always envisioned Steve Ballmer with a BIG BID in his hand for my shares! ;D I think I wrote him about that, one day, maybe two days, a couple of years back too. The price keeps going up though even with 38,000 other networks like OUR(3)! ;D <Barring someone proving you and CardBoard right by swooping in and bid up GLBC, this deal will definitely strengthen LVLT's market presence and financial strength and give them better leverage.> Link to comment Share on other sites More sharing options...
Guest ValueCarl Posted April 13, 2011 Share Posted April 13, 2011 You're going to love this FOOLISH HATCHET job, Brker_guy! It's DOOMED for FAILURE I tell you, and these DEERS in the wilderness have the HEADLIGHTS shone upon them ready to be road kill! LOL! What FOOLISM!!!!!!! I declare, Shawn Williams as, "The Weakest Link!" :( Level 3 is a telecommunications company that derives its revenue from transmitting data across its fiber optic networks in the U.S. and Europe. The company has never posted a quarterly profit! That's 44 losses in the past 44 quarters. Combine that with the company's negative book value and more than $6.5 billion in debt and you can clearly see why this is the ... purchasing company??? So far, I haven't even mentioned what a hypercompetitive space data transmission can be. The combination should help eliminate some costs, but it doesn't speed up growth for a sector still struggling with a rebounding economy. With a sea of choices in data transmission, it's going to be difficult for this new company to establish itself as the premier choice, especially given the inconsistent track records of Level 3 and Global Crossing. If you ask me, this combination has all the markings of a merger of the weakest links in the telecommunications sector and may be reason enough to avoid both companies until they net shareholders a profitable quarter. http://www.fool.com/investing/general/2011/04/12/this-deal-may-be-doomed-from-the-start.aspx Link to comment Share on other sites More sharing options...
brker_guy Posted April 13, 2011 Share Posted April 13, 2011 "You are too good, Brker_guy!" Thank you for the kind words, Carl, but it's more like "LUCK". As I said, I put in limit orders. Mr. Market could have not cooperated and not given me the purchase price. "On the other hand, I have always envisioned Steve Ballmer with a BIG BID in his hand for my shares!" I don't know, Carl, but seeing Mr. Balmer unloading $10BIL of MSFT stocks makes me wonder if there is enough skin in the game for Mr. Balmer to have any strategic vision to make a move for MSFT's future sake... I am hoping that the Dark Knight doesn't show up and spoil our party. If a White Knight does show up to help us take out Sprint, I welcome that though. ;D Regarding those FOOL.BOMB, all I have to say is: Oh, Brother!! Give it a rest, FOOL.BOMB! I know you FOOL.BOMBs do read this message board. So, get a grip! Two bashing articles in 1 day? You FOOL.BOMBs are turning into those boiler room operators that are lurking around at Yahoo Message Board. Very low class!!!!! Instead of putting out TRASHY ARTICLES, show us facts why the deals won't work...SIMPLY PATHETIC! http://www.fool.com/investing/general/2011/04/12/wrong-move-level-3.aspx This is beyond sad and pathetic of a once venerable website for investors to come and learn from. Now? PATHETIC BUNCH OF BOZOS!!! Link to comment Share on other sites More sharing options...
Guest ValueCarl Posted April 13, 2011 Share Posted April 13, 2011 I understand "LUCK," Brker_guy! We have been LUCKY ENOUGH not to have been wiped out like countless other telecom shareholders before us, because of a steadfast, committed, highly capable, expert telecom management team intent on success! Not perfect by any standards, but absolutely made of "TRUE GRIT!" ;D Link to comment Share on other sites More sharing options...
brker_guy Posted April 13, 2011 Share Posted April 13, 2011 Carl, this is like my third trip into the LVLT wells; so, I count my blessings to have witnessed so many other telecoms dreamed the fiber optic revolution dreams and failed miserably (Enron, Williams, Broadwing, MetroFiber aka Abovenet, WorldCon/MCI, and even GLBC). To see that we have survived all this time is a remarkable "TRUE GRIT" and preserverance. We have suffered a lot. Despite all of those naysayers and FOOL.BOMB bombarding us with bashing articles, we will integrate this beast into the LVLT family of companies... BTW: Did you see Rob's article today? http://www.telecomramblings.com/2011/04/a-few-random-thoughts-on-the-lvltglbc-deal/ FOOL.BOMB, this message is for you! Take note of Rob's message: "And both EdgeCast and Limelight will be losing a longstanding carrier resellers of its CDN services – though I don’t think that’s ever been all that large a phenomenon for Global Crossing." You guys at FOOL.BOMB can stop your pumping of LLNW, now! The train has left the station! Link to comment Share on other sites More sharing options...
Guest ValueCarl Posted April 14, 2011 Share Posted April 14, 2011 This is what I expect from my management team! Federal assisted funds to deliver a state of the art network in partnership with academia in order to provide the most advanced services to the education and medical communities X America. If this continues along at a high pitched pace, America may once again become beautiful, and smart too! ;) The new network, partially funded by a federal stimulus grant, will enable a wide variety of bandwidth-intensive applications and data sharing. Network development and deployment is scheduled to begin immediately with the first coast-to-coast segments expected to be in service by mid-summer. Under the terms of the agreement, Internet2, an advanced networking consortium led by the U.S. research and education community, will acquire the right to use fiber strands on Level 3’s fiber-optic network as well as Level 3’s network management support to enable its new national 8.8 Terabit Optical System and 100 Gigabit Ethernet Network. Internet2 will utilize more than 10,000 miles of fiber on the Level 3 national footprint and gain the ability to obtain additional miles for the next three years as needed. Level 3 will install Internet2’s 8.8 Terabit optical equipment and provide 24/7 monitoring and field support to these facilities. Colocation facilities and power for the network will also be provided by Level 3. http://finance.yahoo.com/news/Internet2-and-Level-3-to-bw-1140724711.html?x=0&.v=1 Link to comment Share on other sites More sharing options...
Guest ValueCarl Posted April 14, 2011 Share Posted April 14, 2011 Brker_guy, we do have some "termination," i.e., break up fees to ponder if certain DARK KNIGHTS or ANGEL INVESTORS show up as we fast forward to the closing! Either Global Crossing or the Company may terminate the Amalgamation Agreement if, among certain other circumstances, (i) the Amalgamation has not become effective on or before April 10, 2012 or (ii) Global Crossing’s shareholders fail to approve the Amalgamation or Level 3’s stockholders fail to approve the issuance of the Amalgamation Consideration or the adoption of the Level 3 Charter Amendment. In addition, Global Crossing may terminate the Amalgamation Agreement under certain other circumstances, including: (a) to allow Global Crossing to enter into a definitive agreement for an alternative business combination transaction that constitutes a “superior proposal,” (b) if the Company’s board of directors withdraws or adversely changes its approval or recommendation of the issuance of the Amalgamation Consideration or the adoption of the Level 3 Charter Amendment, © if Level 3 fails to obtain the proceeds sufficient to consummate the Amalgamation and repay the debt of Global Crossing required to be repaid as a result of the Amalgamation after the completion of a marketing period or (d) if the Company materially breaches its obligation not to solicit alternative transactions or engage in negotiations in connection therewith, or materially breaches the Amalgamation Agreement such that the conditions to closing would not be satisfied. The Company may terminate the Amalgamation Agreement under certain other circumstances, including: (a) to allow the Company to enter into a definitive agreement for an alternative business combination transaction that constitutes a “superior proposal,” (b) Global Crossing’s board of directors withdraws or adversely changes its approval or recommendation of the Amalgamation, © if Level 3 fails to obtain the proceeds sufficient to consummate the Amalgamation and repay the debt of Global Crossing required to be repaid as a result of the Amalgamation after the completion of a marketing period or (d) if Global Crossing materially breaches its obligation not to solicit alternative transactions or engage in negotiations in connection therewith, or materially breaches the Amalgamation Agreement such that the conditions to closing would not be satisfied. The Amalgamation Agreement also provides that (i) upon termination under specified circumstances, including, among others, a change in the recommendation of Global Crossing’s board of directors or termination of the Amalgamation Agreement by Global Crossing to enter into definitive agreement for an alternative business combination transaction that constitutes a “superior proposal,” Global Crossing would be required to pay to Level 3 a termination fee of $50 million and certain expenses incurred by Level 3 in pursuing the Amalgamation, including the Financing Expenses (as defined below), and (ii) upon termination under specified circumstances, including, among others, a change in the recommendation of Level 3’s board of directors or termination of the Amalgamation Agreement by Level 3 to enter into a definitive agreement for an alternative business combination transaction that constitutes a “superior proposal,” Level 3 would be required to pay Global Crossing a termination fee of $70 million and certain expenses incurred by Global Crossing in pursuing the Amalgamation. Level 3 would be obligated to pay to Global Crossing a termination fee of $70 million (the “Financing Fee”), less 50% of certain unreimbursed expenses incurred by Level 3 in pursuing the financing, including commitment and other upfront fees (the “Financing Expenses”), if all the conditions to closing have been met and the Amalgamation is not consummated because of Level 3’s failure to obtain proceeds from the Lenders (as defined below) sufficient to consummate the Amalgamation and refinance Global Crossing’s debt at the closing of the transaction. However, if the failure to obtain such proceeds is due to Level 3’s willful and material breach of its obligations to obtain financing, Level 3 would be obligated to pay to Global Crossing a termination fee of $120 million (the “Supplemental Financing Fee”). If the failure to obtain such proceeds is due to the Lenders’ willful and material breach of their obligations under the Commitment Letter (as defined below) or the definitive financing documents, Level 3 would be obligated to pay to Global Crossing the Financing Fee, less, in certain circumstances, 50% of the Financing Expenses; provided, that Level 3 would be required to pay to Global Crossing any amounts received from the Lenders arising from the resolution of claims against the Lenders in excess of the Financing Fee, up to an amount equal to the Supplemental Financing Fee, less, in certain circumstances, 50% of the Financing Expenses. http://www.sec.gov/Archives/edgar/data/794323/000110465911020064/a11-10092_148k.htm Link to comment Share on other sites More sharing options...
Guest ValueCarl Posted April 14, 2011 Share Posted April 14, 2011 Cody Klein, former Fool participant converting to Seeking Alpha author is at it again! Cody does good work, but I continue to anticipate (3) turning into a more obvious "GROWTH STOCK" than more normal value curmudgeons believe or are willing to "pay," of course. :o On the other hand, I would ask David Cody Klein this? With a discount rate topping out at 12 percent real time, why the hell is Watsa, etal continuing to force owners to paying fifteen percent usury! Call Sunit Patel, I want those CONVERT MONKEYS off of my back! ;D http://seekingalpha.com/article/263163-grading-the-level-3-communications-global-crossing-deal http://kleincody.web.officelive.com/LVLT_DKlein.aspx Link to comment Share on other sites More sharing options...
brker_guy Posted April 14, 2011 Share Posted April 14, 2011 Carl, you are just too good with the information! I was going post about the 8K filing, but you are on it already! Amazing! I am glad you are on here sharing information on our beloved company... I guess my favorite part about the Internet2 announcement is this: Level 3’s network management support to enable its new national 8.8 Terabit Optical System and 100 Gigabit Ethernet Network. Being a confessed tech bubble participant in 1999/2000, I am happy to see to see that one of my former portfolio members, CIEN, technologies are being put to good use. I believe that this is CIEN's 100GBps DWDM gear that LVLT is integrating... Regarding Mr. Klein, I am glad to see that he is taking analytical talents elsewhere other than being at the FOOL.BOMB! There were so many talented analysts like Bill Mann at Fool.com that left that place and turned it into FOOL.BOMB. There are times when I wonder if that company has some kind of backdoor deals going on with those crooked bankers on Wall St. to pump their stocks by putting raving reports of crappy companies onto the naive public... Link to comment Share on other sites More sharing options...
brker_guy Posted April 14, 2011 Share Posted April 14, 2011 Carl, you probably saw this from Seeking Alpha: http://seekingalpha.com/article/263193-taking-communications-to-another-level-level-3-s-acquisition-of-global-crossing?source=email_watchlist Link to comment Share on other sites More sharing options...
Guest ValueCarl Posted April 14, 2011 Share Posted April 14, 2011 I love all of this chemistry talk, human or otherwise, Brker_guy! "Holy Matrimony" and "AMALGAMATIONS" just gets my blood flowing and makes me start thinking about John Nash's "Beautiful Blondes" tied to "Game Theory." For you see, Nash was WRONG, and TELECOM will be best served with one Hot Blonde which all players will be happy for having joined in UNION with her, over and over again! Rob Powell likes manly legs like those of snake oil salesman, John Legere, while ValueCarl can't keep his eyes off of "Beautiful Blondes!" ;) Did you catch that, Bronco! HA! This was/is a fake blonde-check out those roots and eye brows-but she'll do for now! Link to comment Share on other sites More sharing options...
Guest ValueCarl Posted April 14, 2011 Share Posted April 14, 2011 What is Google building into their network that nobody else has? Does Google like Beautiful Blondes too? They damn well should! ;D Google 1Q Capital Expenditures Were $890M >GOOG 04/14 01:02 PM Google 'Expect To Continue To Make Significant Cap Expenditures' 04/14 01:03 PM Link to comment Share on other sites More sharing options...
Guest ValueCarl Posted April 14, 2011 Share Posted April 14, 2011 Google's CFO chooses to answer me, sort of! All I can tell him is that, he better embrace the right "Beautiful Blonde" for his "internet network infrastructure needs." 8) Google CFO: We Are Building Multibillion-Dollar Businesses 04/14 01:44 PM Link to comment Share on other sites More sharing options...
Guest ValueCarl Posted April 14, 2011 Share Posted April 14, 2011 Go Global(3)!!!!!!!!!! http://www.sec.gov/Archives/edgar/data/794323/000110465911020175/a11-10092_16425.htm Filed by Level 3 Communications, Inc. Pursuant to Rule 425 under the Securities Act of 1933 and deemed filed pursuant to Rule 14a-12 under the Securities Exchange Act of 1934 Subject Company: Global Crossing Limited Dear [Customer Name], Level 3 Communications recently announced a plan to acquire Global Crossing. This is exciting news both for us and for customers like you. The combined company creates a premier global communications provider with reach to North America, South America, Europe and Asia Pac. Our combined, enhanced portfolio of voice, video and data solutions will leverage a secure, reliable network with global reach. And you can expect consistency in our focus on customer service. What does this mean for you? Unmatched Portfolio The combined company will offer a more comprehensive portfolio of end-to-end data, video and voice solutions. Level 3 brings expertise in local and long-distance voice services, VoIP migration, content delivery, and metro connectivity. Global Crossing adds its strength in data center hosting, audio conferencing, managed services and global VPN capabilities. Jointly, our capabilities can enable a broader range of services to multi-national businesses. Global Backbone Network Our integrated networks will enable a truly global, highly efficient network platform. We’ll combine Level 3’s deep U.S. metropolitan footprint and Global Crossing’s extensive international, intercity network across North America, Europe and Latin America. We expect to offer a single, efficient network with the scalability and efficiency your business requires — a constantly upgradable platform to support your migration to next-generation technology. Commitment to Partnership Level 3 and Global Crossing share reputations for nimbly and flexibly meeting customers’ communications needs. Together, we’ll work to build on that by understanding your challenges, providing relevant network solutions, and delivering a superior service experience. Moreover, we are committed to creating a seamless, high-performing combined company through a carefully managed integration plan that draws on our extensive network consolidation experience. I’ll do my best to address any questions you have about the planned acquisition. In the mean time, you can learn more in our press release. Thank you, Rep Name Title Level 3 Communications p: XXX.XXX.XXXX e: rep.name@level3.com Link to comment Share on other sites More sharing options...
Guest ValueCarl Posted April 15, 2011 Share Posted April 15, 2011 There will NEVER be a cameo appearance by super mogul businessman, Warren E. Buffett, appearing with the once sexy, Susan Lucci, ever again! If America is fortunate enough, the INTERNET AGE will turn from, DUMB EM DOWN to SMARTEN EM UP! ;D Ultimately, the SMARTER TREND of "content creation" and "innovation" will become our friend X the GLOBE at the same time CROSSING Global (3)'s BACKBONE. http://celebritynewsandstyle.com/all-my-children-cancelled-officially-%E2%80%93-read-the-statement-112/ Link to comment Share on other sites More sharing options...
Guest ValueCarl Posted April 15, 2011 Share Posted April 15, 2011 Walter Scott and his wife, Suzanne, believe strongly in education, especially engineering, through healthy donations. http://www.bizjournals.com/denver/news/2011/04/14/level-3-chairman-gives-csu-10m-for.html Link to comment Share on other sites More sharing options...
Guest ValueCarl Posted April 15, 2011 Share Posted April 15, 2011 I remember Joe "BATTABOOM" Battipaglia from his GRUNTAL DAYS in the early-mid nineties while he was being ascribed deity status from fast talking NY brokers, some of Jewish dissent, role modeling men like Stevie Cohen and Carl Icahn. The lack of detail surrounding this still young 6' 6" Italian's death is interesting at a minimum. The details and connections provided by Deep Capture to organized crime at that firm, should not be missed. imo http://www.reuters.com/article/2011/04/14/markets-battipaglia-death-idUSN1428345920110414 Link to comment Share on other sites More sharing options...
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