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

[nelson61]

Even if he gets a loan(s), investors, whatever, the debt is not going away, trading in what they owe now for a possible higher form of interest debt later.

Unless, which frequently occurs, those holding the debt choose to take the haircut and get some type of ownership participation in the business.
Sunk money has little or no recoverable value, but the wireless business in general will only continue to expand.

 

[Juan]

The big problem is the mobile numbers. They can't afford to be losing revenue there if that is the direction the company is supposed to be heading. I think Echostar needs a cell phone guy very near the helm to manage that.

Cell phones are dead a buried...they need a wireless internet guy...that's where the growth is but alas 5g sucks

 

[telstar_1]

Charlie came into mobile with it already a well-mature industry. There's fierce competition in rates. The situation is completely unlike when he got into satellite- C-band and then DBS

 

[Scott Greczkowski]

Charlie needs to understand there is no compelling reason for ANYONE to switch to his network.

I want a DISH 5G phone, but my T Mobile is great already (and cheaper)

 

[navychop]

I still think we was planning other uses, like vehicle to vehicle communications, or navigation data, etc.

 

[Scott Greczkowski]

I still think we was planning other uses, like vehicle to vehicle communications, or navigation data, etc.

They are trying to do a bunch of private things with it for commercial use such as IOT. The home market is just a small piece of their 5G puzzle.

 

[Scott Greczkowski]

EchoStar's profits fall as its debts loom - RCR Wireless News

EchoStar's profits were down and it is working to secure financing for $2 billion in debt that comes due in November.

www.rcrwireless.com

Sent from my iPhone using Tapatalk

 

[CSM]

Was their plan to build out 5g, then phase out satellite build out their 5g network and switch to streaming with Sling TV and revamp Sling TV? If so, I still wonder why they contracted out for another new satellite? Unless their plan was to still have both satellite and streaming?

It's funny how a long time ago it was Dish Network was going to bail out DirecTV.

 

[Scott Greczkowski]

Satellite will be around for a long time, not everyone can do broadband... not everyone wants IPTV.

I know many people who have gone back to satellite after trying online. It just works better.

Even in my household we tried all of the services and my wife wanted to stay with DISH, she loves the Hopper 3... and I believe she is correct, there is nothing better out there.

 

[syphix]

Satellite will be around for a long time, not everyone can do broadband... not everyone wants IPTV.

I know many people who have gone back to satellite after trying online. It just works better.

Even in my household we tried all of the services and my wife wanted to stay with DISH, she loves the Hopper 3... and I believe she is correct, there is nothing better out there.

That may be true about YOUR generation (and generations older than you and me), but younger generations are more and more turning to different sources for entertainment and information than linear television. Fast forward 20-30 years and I don’t see any more live, linear TV channels other than news and sports. All other channels WILL (in my opinion) stop linear live tv channels in favor of on demand/streaming of their content - rural & broadband deprived viewers be damned. There will be just too few of them remaining to support it.

 

[Scott Greczkowski]

Yeah but your talking 20 - 30 years. Even the new satellites on order will be offline by then.

 

[CSM]

Actually, Dish only has one on order. If they go bankrupt, how will they pay to launch that?

 

[telstar_1]

Trade tech secrets to china.

 

[dishdude]

That may be true about YOUR generation (and generations older than you and me), but younger generations are more and more turning to different sources for entertainment and information than linear television. Fast forward 20-30 years and I don’t see any more live, linear TV channels other than news and sports. All other channels WILL (in my opinion) stop linear live tv channels in favor of on demand/streaming of their content - rural & broadband deprived viewers be damned. There will be just too few of them remaining to support it.

I agree but I think it's going to happen within the next couple of years.

 

[Bruce]

Unless, which frequently occurs, those holding the debt choose to take the haircut and get some type of ownership participation in the business.

That only handles the bond issue, Echostar does not have enough $$$ to fund 4th quarter operations, even without paying the bond, they said so themselves in the report.

 

[telstar_1]

How much $$$ does charlie have that he sucked out of the business over the years

 

[primestar31]

How much $$$ does charlie have that he sucked out of the business over the years

About $1.7 billion I'd say.

 

[nelson61]

That only handles the bond issue, Echostar does not have enough $$$ to fund 4th quarter operations, even without paying the bond, they said so themselves in the report.

In bailouts, along with forgiving debt or converting it to an ownership stake, the bondholders frequently inject additional cash into the business to fund continuing operations.

 

[Bruce]

In bailouts, along with forgiving debt or converting it to an ownership stake, the bondholders frequently inject additional cash into the business to fund continuing operations.

So they will have to give more of their money, after losing hope of ever getting back any of the money that was already invested, but will get a piece of a company, who’s value gets less and less with every reported quarter.

Market Cap of Echostar is a little over $4 Billion
Debt is over $24 Billion.
Total liabilities is over $35 Billion.
Share Price was 20 on Thursday, dropped to 15.5 today.

EchoStar (SATS) - Total debt

Current and historical total debt on balance sheet for EchoStar

companiesmarketcap.com

 

[nelson61]

We will know in about 100 days or sooner