Rumor Mill

qwest will be going chapter 11 anyway.

I'm not certain what chapter 11 will mean for their infrastucture.

they dont have any infrastructure. lol. joking. basically it will be bought for 10 cents on the dollar most likely. they have 15 billion dollars in debt and 2.0 billion dollars in cash. according to their 10k, their assets are worth 26 billion dollars. their voice unit isnt worth that much, while their data, and wireless unit is the only growth story. voice unit isnt a growth story, becuase long distance is declining.

they are areseller of wirless so the value of that is dependant on their ability to cross market through their other services. If the other services are retired than the wireless is workthless. I'm no tsure who they resell for on the wireless.

who will be the likely buyers? Will they remain using the Qwest name or will the assest be completely liquidated? If liquidated who will provide the POTS for these areas?

yea, thats what i said about the wireless division. they resell for i belive, tmobile, cingular, att wireless and sprint. (not 100 percent sure on that, but when i went to the 10k that is what it says.

buyers of that good infrastructure for 10 cents on the dollar? anyone. maybe bell south, verizon, sbc, sprint, maybe mci. the name would be that buyer, obviously and the same thing with providing the services.

I noticed for the first time in the Denver metro area a pay phone at a convenience store that was labeled Verizon. I thought they are only in the south East. Whats up?

i am not sure on that. last time i went to denver i didnt focus on the phones, i focused on my family down there as well as the broncos.

now that mci has offically accepted the verizon offer and rejected the Qwest offer I wonder ho wlong it will be before Qwest is down the tubes and what will happen to all the jobs in Denver. Certainly all the Central Offices would need to be maintained and employees will still be needed to handle all the infrustructure.

well, it is still not over, becuase there could be a proxy fight with the shareholders of mcip and qwest.

http://biz.yahoo.com/ap/050406/mci.html?.v=11 »

"But MCI also said the board is open to more discussions with Qwest, holding out a strong possibility that the biggest telecom bidding war in six years is not over.

Qwest Communications International Inc. plans to evaluate the situation before deciding its next move, Qwest spokesman Steve Hammack said Tuesday night.

Generally speaking, those options include raising its bid a third time or taking the current offer directly to MCI shareholders for a vote with a proxy contest.

"We are weighing our options, and shareholders will dictate the next steps in the process," Hammack said...
(continues)

could be another bid.

I just read an article in the Rocky Mountain News stating that Qwest has raised 2 billlion in financing in part from MCI investors. this could strengthen their position regarding MCI board concers. The article also stated they arte aquiring the MCI investor list (presumably for a direct vote).

I would suspect that Verizon will raise their bid at an appropriate time.

but thats not 100 percent though.. here is the article...

http://www.forbes.com/facesinthenews/2005/04/08/0408 ... »

" Qwest spokesman confirmed that the company "is involved in discussions with people strongly interested in this private-equity plan," but declined to comment further. MCI rejected Qwest's latest $8.9 billion dollar offer on Wednesday, opting to stick with Verizon's $7.5 billion bid, in part due to concerns that the financially shaky Qwest couldn't successfully pull off such a weighty transaction. "

we will see. verizon i dont belive will raise it any more, or maybe they will to play a game with qwest. no matter what, verizon is playing qwest like a piano.

I hope you are right. Wqest has a lot at stake and a wild animal will do anything to survive.

look at what happened to cingular and vodaphone.

it used to be at 30 and vodaphone made cingular pay an extra 11 billion dollars plus 8 billion in debt(att wireless')

so you can see that if someone is very desperate for someone else make their lives misserable by all means neccessary.

there is no way that qwest will win this deal, cept if they will pay heavily. they will lose either way.

good point

thanks. whats your opinion?

nextel18 said:
they dont have any infrastructure. lol. joking. basically it will be bought for 10 cents on the dollar most likely. they have 15 billion dollars in debt and 2.0 billion dollars in cash. according to their 10k, their assets are worth 26 billion dollars. their voice unit isnt worth that much, while their data, and wireless unit is the only growth story. voice unit isnt a growth story, becuase long distance is declining.

Didn't Quest sell their Wireless network and spectrum liscense to VZW anyway? I thought they were now on the MVNO bandwagon and using Sprint PCS for wireless services.

when i ment by wireless unit, i ment with the whole MVNO's and the in the Wholesale business. i belive that qwest sold their wireless network to verizon wireless, but i am not sure if they sold 100 percent of it.

i know 100 percent that they re-sell and using sprint's network.

this might help you ... http://www.qwest.com/about/investor/meetings/ downloads/NYInvBfst03_01_05.pdf

slides 9 and 10. (doesnt really name the carrier though)


oh well, qwest wont do well anyway. haha.