The only reason that the roaming will occur from Europe to the US first is billing systems. DT/T mobile's systems can take the call detail records presented as outcollects from clearing houses and just rate them @.89e according to system ID. Voicestream has to develop that process from scratch (European tax structure and US tax structures are very different so that we'll never see a single T-mobile billing system.
the signal to buy DT shares is when Ron Sommer is kicked out the door.
This may take a while as Ron is a "Beamter" and to kick out a top "Beamter" in Germany is more difficult still, than kicking out normal mortals, who destroy capital as if it would go out of style. (Schrempp is a good example)
I know DT has a lot to do before they become profitible, and I know they have a lot of unfinished business, but over-all, I think this is a pretty good place to be. We've got a bumpy road ahead of us, but I'm sticking with it. The upside potential is just far to good to ignore.
Thanks for your thoughts with which I agree. Unfortunately unlike you I got in too high. I was convinced that VSTR and PTEL were takeover candidates because they run GSM. I just got the timing wrong. Oh well. C'est la vie! I also still hold MICT, but Canadian regs make a takeover by a foreign company almost impossible. Still they are the roaming partner when North of the border.
Regarding the mutual funds and the length of time they hold DT, I read that there were stipulations that prevented the immediate dumping of DT when the deal was completed. I would assume that some of the mutual funds(knowing there were restrictions) dumped prior to the completion of the deal so they wouldn't be in violation of their charter to hold American stocks only. But, as I said, this is just an assumption on my part. Does seem reasonable though.
I'm going to hold onto my DT. I also believe that DT has far more potential for the upside than it does for much additional decrease. If they ever get around to reducing their debt, that should account for at least 20%-25% increase to say nothing of a better market environment in general. With Dr. Sommers under fire, I'm hoping for some additional strategic alliances to pop up before the years end.
According to the Reuters article I gained 18 cents a share by chosing the cash option but lost 2 cents in stock for a net of 16 cents. Much better than the nickle I had hoped for. I think any damage to DT done by taking over
Vstr and the anticpated drop from flowback seems to have already been priced into DT. I assure DT stockholders that they won't regret having taken in VSTR. I am now long on DT.
Thanks for making such a convincing and carefully articulated argument for the all-cash option. The extra 18 cents a share will help finance the French vacation I'm about to take. (Maybe I'll feel comfortable moving from 1* hotels to 2* hotels.)
My Ericsson T28 will be on. We'll see how she works.