EchoStar/Dish raises doubts about 'ability to continue as a going concern'

[John2021]

So, would a merger allow them to revolve their debt more easily? I don't think Dish or Directv have debt capacity to absorb the other's debt.

If Dish buys direct where's El cheapo charlie going to get the money since he has none. I think direct would have to buy dish. In order for charlie to keep building out his 5g network. I don't see any cost savings in the deal. We all know once this happens people are going to keep leaving. I'm sure alot will drop it once and if the merger goes through

 

[John2021]

They do not, that is why I believe this merger story is ********.

They did say it would give em more power to renew contracts but I find that hard to believe

 

[MikeD-C05]

On Cord Cutters on You tube, they said one of the ways would be a combined company run by owners of Directv ( ATT) and Echostar would be the other owner. But then Directv and Directv streaming and DISH and Sling TV would all be part of the company. Most likely run by a 3rd party - like they are doing with Directv now. The two companies would benefit from the profits, but not having to run the combined company. But that won't help Charlie get money for his 5g build out.

Another way is that Dish sells out to Directv for what ever they want to pay for it and they get out of the TV business entirely and Charlie uses the money for his 5g build out. But I don't seeing that being enough to finance his build out and meet his financial commitments too. I still think that DISH will go bankrupt first since there is only like 3 months left in the year. I don't see a merger between the two companies getting passed in that time either. Both companies are loaded up with their own debt, so I don't see how either one will actually benefit from a merger or a sell out by one or the other .

 

[Juan]

On Cord Cutters on You tube, they said one of the ways would be a combined company run by owners of Directv ( ATT) and Echostar would be the other owner. But then Directv and Directv streaming and DISH and Sling TV would all be part of the company. Most likely run by a 3rd party - like they are doing with Directv now. The two companies would benefit from the profits, but not having to run the combined company. But that won't help Charlie get money for his 5g build out.

Another way is that Dish sells out to Directv for what ever they want to pay for it and they get out of the TV business entirely and Charlie uses the money for his 5g build out. But I don't seeing that being enough to finance his build out and meet his financial commitments too. I still think that DISH will go bankrupt first since there is only like 3 months left in the year. I don't see a merger between the two companies getting passed in that time either. Both companies are loaded up with their own debt, so I don't see how either one will actually benefit from a merger or a sell out by one or the other .

Or Charlie sells off Dish and the 5g crap and enjoys a long peaceful retirement

 

[Tvland1]

If Dish buys direct where's El cheapo charlie going to get the money since he has none

Hahaha...Charlie has plenty of money..His company's however is another story..

Or Charlie sells off Dish and the 5g crap and enjoys a long peaceful retirement

He's going to have a very nice retirement off all the profits no matter what happens with the company's he squander the investment on..His personal account is very nice shape

 

[MikeD-C05]

Or Charlie sells off Dish and the 5g crap and enjoys a long peaceful retirement

Don't see Charlie giving up on his new dream that quickly. He will go bankrupt before he does that, I'm afraid. I think his ego is attached to this cell phone company. To give up this close to being done would hurt his ego completely.

 

[Bruce]

. I think his ego is attached to this cell phone company. To give up this close to being done would hurt his ego completely.

It must be already happening since Boost Mobile has lost almost 2 Million since Dish has taken it over.

But remember, Boost is the #4 Cell Phone Provider-

Company	Subscribers	Date
Verizon	156 million	Q2 2024
T-Mobile	125.9 million	Q2 2024
AT&T	100 million	Q2 2024
Boost Mobile	7.3 million	Q2 2024

 

[Juan]

If Dish buys direct where's El cheapo charlie going to get the money since he has none. I think direct would have to buy dish. In order for charlie to keep building out his 5g network. I don't see any cost savings in the deal. We all know once this happens people are going to keep leaving. I'm sure alot will drop it once and if the merger goes through

Or some unknown company with deep pockets buys both..like an investment firm...both companies are still profitable...they would be very profitable merged together...no more competition..better bargaining power. Lower operational costs...atleast for awhile

 

[navychop]

 

[Bruce]

Or some unknown company with deep pockets buys both..like an investment firm...both companies are still profitable...

Echostar has posted two unprofitable quarters in a row and have, in future guidance , said they expect the next two quarters to be the same.

Plus the fact that DirecTV has $10B in debt, Dish $20B, another $15B in future liabilities.

So, whomever has these deep pockets, has to be sure a merged company will take in enough to overcome that debt and still be profitable, plus the costs of buying both companies.

 

[nelson61]

Whatever happens in the end, the survivor will not be saddled with 20-30 billion in debts.

The bondholders will be the ones taking the hit.

 

[MitchDeerfield]

Echostar has posted two unprofitable quarters in a row and have, in future guidance , said they expect the next two quarters to be the same.

Plus the fact that DirecTV has $10B in debt, Dish $20B, another $15B in future liabilities.

So, whomever has these deep pockets, has to be sure a merged company will take in enough to overcome that debt and still be profitable, plus the costs of buying both companies.

Someone forgot to tell Wall Street how badly Dish is doing financially.
Echostar stock has rocketed up 91 percent in the last six months! Somebody knows something.

 

[John2021]

Or some unknown company with deep pockets buys both..like an investment firm...both companies are still profitable...they would be very profitable merged together...no more competition..better bargaining power. Lower operational costs...atleast for awhile

true.but can you think of anyone that would want em? that would be to high of a risk for me!!! there pushing 10 gig fiber in my area for 49.99 so everything will be over the internets it's just a matter of time!!!

 

[Juan]

true.but can you think of anyone that would want em? that would be to high of a risk for me!!! there pushing 10 gig fiber in my area for 49.99 so everything will be over the internets it's just a matter of time!!!

Blackrock ...they are out there...

 

[MitchDeerfield]

AT&T (T) and TPG (TPG) are in early talks to merge their jointly owned DirecTV satellite TV service with Dish Network's (SATS) EchoStar, Reuters and Bloomberg reported Saturday, citing unnamed sources. familiar with the matter.

If successful, the merger would create the largest pay-TV service provider in the US, with around 16 million subscribers.

In 2022, the US Justice Department previously blocked the proposed merger of DirecTV and EchoStar.

Reuters reported that if successful, the merger would strengthen the combined entity's bargaining power with content providers. For Dish, the merger would allow a stronger focus on developing its 5G wireless network

 

[Juan]

Echostar has posted two unprofitable quarters in a row and have, in future guidance , said they expect the next two quarters to be the same.

Plus the fact that DirecTV has $10B in debt, Dish $20B, another $15B in future liabilities.

So, whomever has these deep pockets, has to be sure a merged company will take in enough to overcome that debt and still be profitable, plus the costs of buying both companies.

No...if you eliminate 5g crap..dish making money

 

[Bruce]

No...if you eliminate 5g crap..dish making money

Well, that is not happening, FCC will not allow them to sell it till a certain date(s).

So, a incredibly moot point.

 

[telstar_1]

So, would a merger allow them to revolve their debt more easily? I don't think Dish or Directv have debt capacity to absorb the other's debt.

Maybe the idea would be like a true merger rather than an acquisition of one by the other, including maybe a name change to DiSH Direct. It would have both the combined debts and assets.

 

[Yespage]

Maybe the idea would be like a true merger rather than an acquisition of one by the other, including maybe a name change to DiSH Direct. It would have both the combined debts and assets.

While Dish is probably the healthier of the two, I would guess Directv would be the better brand name. That said, combining the debt would seem unhelpful and the only possible benefit of a merger would be to make it easier to revolve debt with the revenue increasing, but the cost is higher debt as well. There would be an added benefit of being the only Sat player makes it easier to sell the idea they'll be around for the recent future. Greater leverage on carriage deals won't matter either, as they've already be written... and duplicate.

Otherwise, I don't see how the two are remotely compatible. They operate on completely different models of business, ie Dish has one and Directv doesn't.

 

[MikeD-C05]

Or some unknown company with deep pockets buys both..like an investment firm...both companies are still profitable...they would be very profitable merged together...no more competition..better bargaining power. Lower operational costs...atleast for awhile

Rearrange the chairs on the deck of the Titanic - comes to mind.