You Won't Hear Loral Singing The Pentagon Blues

When a company makes a secondary-share offering, its stock usually goes south, particularly if the shares being sold are owned by insiders. So when Loral, a high-tech company that makes electronic-warfare systems, offered 3 million shares at 53 3/4 on June 24, the Street expected the Big Board stock to dive--especially since the offered shares were owned by a group of Lehman Brothers partnerships. But instead of falling, the shares flew up, hitting a new high of 61 1/4 on July 12.

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