, a partnership of telecommunications service providers and equipment makers, reported a third-quarter loss of $211.2 million before preferred dividends. Separately, a report indicated that founding partner
Loral Space & Communications
cut off new financial support for the venture in which it owns a 40% stake.
The loss equaled $3.54 for each unit of partnership interest. The loss applicable to common shareholders of
was $97.5 million, or $1 a share. Analysts expected the loss applicable to common shareholders to come in at 90 cents a share, according to
First Call/Thomson Financial
In the year-ago period, the partnership lost $41 million, while the loss applicable to Globalstar Telecommunications common shareholders totaled $16.8 million, or 20 cents a share.
Gross service revenue for the third quarter totaled $1 million, compared with $483,000 in the second quarter. The company didn't record any revenue in the year-ago third quarter.
During the quarter, five of Globalstar's founding partners purchased $56 million in equity from the company. The company is also in the process of raising additional funds through a $105 million share purchase agreement with
. On Sept. 30, Globalstar had $286 million in cash, which is sufficient to fund Globalstar through May.
In addition to Loral, other members of the partnership include
Shares of Globalstar Telecommunications were recently down $3.38, or 56.3%, to $2.63.