Study Group: US P&C Insurance Pricing Trend Experts

GLG News^SM Analyses by this Study Group's Leading Experts(?)

Nortel Optical Sweepstakes

August 14, 2009

Analysis by:Ronald Gruia, Program Leader-Emerging Communications Solutions &,

Analysis of:Is Ericsson the Hope for Nortel's MEN? | www.lightreading.com

As Nortel disposes of its business units, gaining market share via acquisition will be an way for vendors in the optical space to give the top two players (Huawei and Alcatel-Lucent) ar run for the money. This article examines the potential suitors for the Nortel MEN unit and their likelihood to bid on these assets, in addition to key considerations for each vendor. The list includes Ciena, Cisco, Ericsson, Fujitsu, Huawei, Infinera, Juniper, Nokia Siemens Networks (NSN) and Tellabs.

Nortel Fire Sale Begins

June 22, 2009

Analysis by:Ronald Gruia, Program Leader-Emerging Communications Solutions &,

Analysis of:Nortel selling wireless unit to Nokia Siemens | finance.yahoo.com

Wireless assets acquired by NSN from Nortel include the CDMA business and LTE IP (Intellectual Property).  NSN gets relationships with operators such as Bell Mobility, VerizonWireless, Sprint Nextel, KDDI, China Telecom. CDMA is still profitable and will have a long tail. NSN also expands its footprint in North America, which represents only ~ 5% of its revenues and this acquisiton will certainly better position the company to tackle one of its Achilles heels. NSN gets Nortel's IP on LTE including SON (Self-Organizing Networks) and ongoing LTE relationships (NT had won KDDI tender and was carrying out a trial at T-Mobile AG); 400/2,500 employees that NSN is getting from Nortel were working on LTE, other 2,100 on CDMA. Who will fill in the void in terms of R&D spend in Canada? NSN will open up a lab and there are rumors that Huawei will expand its presence, but look for more from other entrepreneurs such as Sir Terry Matthews. It will be tough to match Nortel's R&D budget.

AT&T LTE Trial and Its Implications

May 7, 2009

Analysis by:Ronald Gruia, Program Leader-Emerging Communications Solutions &,

Analysis of:Rumor Mill: Did AT&T pick Ericsson, Alca-Lu, Huawei for LTE trial? | www.fiercewireless.com

1- Details of the AT&T LTE buildout begin to emerge
2- Chinese NEVs such as Huawei and ZTE will become forces to be reckoned with in North America.
3- Ramifications to the other NEVs and LTE

NETC Q1 2009 Results & A Forward Look

May 4, 2009

Analysis by:Ronald Gruia, Program Leader-Emerging Communications Solutions &,

Analysis of:Net Serviços: Resilient in a Tough Lat Am Macro Environment | finance.yahoo.com

Earlier this past week, NETC reported solid Q1 2009 results, which while expected by some, were met despite the worsening of macro conditions in Brazil.  In fact, from all Carlos Slim companies reporting this past week (i.e. AMX, TMX, NETC), NETC arguably had the strongest performance.  Issues going forward: Deteriorating macro environment and mitigating an unfavorable decision by the local regulator.

Petronet and RasGas Implement Second Phase of their LNG Price Agreement

December 30, 2008

Analysis by:Andrew Flower, Principal,

Analysis of:RasGas to revise LNG prices for India every month | www.reuters.com

The monthly revision in the LNG price in Petronet's contract with RasGas from January 2009 was agreed when the pricing arrangemnets were finalised in 2001 and will take place routinely. RasGas agreed to  five years of fixed prices ($2.53/MMBtu FOB Qatar) after start-up of deliveries in January 2004 followed by 5 years when the price will move to full oil price indexation. In January 2014, when fully indexed, the price of LNG FOB Qatar will be 12.65% of the oil price as measured by the Japanese Crude Cocktail (JCC). The move to full oil price indexation will be gradual. In January 2009, fifty nine sixtieths of the price will be fixed at $2.53/MMBtu and one sixtieth linked to the average JCC oil price for the previous 12 months. In February it will be fifty-eight sixtieths fixed and two sixtieth oil price linked and so on until January 2014 when it will be entirely oil linked.

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