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Space Systems/Loral Selected By DIRECTV to Build Two Flexible, High-Power Satellites



PALO ALTO, Calif., Oct. 1 /PRNewswire-FirstCall/ -- Space Systems/Loral
(SS/L), a subsidiary of Loral Space & Communications (OTC Bulletin Board:
LRLSQ), announced today that DIRECTV, Inc., El Segundo, Calif., has issued
SS/L authorizations to proceed (ATPs) with the design and construction of two
satellites: DIRECTV 8 and DIRECTV 9S. Aggregate revenue for the construction
of the two satellites will be in excess of $220 million.
"DIRECTV's award represents Loral's second and third orders for commercial
satellite construction this year and a total of 14 for the industry -- a
positive indicator of a resurgence in satellite manufacturing sales," said
Bernard L. Schwartz, chairman and chief executive officer of Loral Space &
Communications. "For Loral, the orders are a significant step forward in the
execution of our business plan under the reorganization process. As satellite
operators resume their normal procurement patterns, we believe SS/L will
benefit as the preferred provider of the most advanced and most reliable
commercial communications satellites available anywhere. We are most
appreciative of DIRECTV's confidence in SS/L's ability to provide
state-of-the-art satellites for its mission critical applications."
The ATPs have been submitted for approval by the Bankruptcy Court.
DIRECTV 8, to be delivered in the late first quarter of 2005, will provide
national coverage from the 101 degrees West longitude orbital slot, DIRECTV's
primary orbital slot. The satellite will also be able to operate from
DIRECTV's orbital slots at 110 and 119 degrees West longitude. The satellite
will carry 16 high-power transponders for high-quality national digital video
services.
DIRECTV 9S, scheduled for delivery in the late second quarter of 2005, is
designed to operate from orbital locations at 101 degrees West longitude or
119 degrees West longitude. As a back-up for DIRECTV's 4S and 7S satellites,
it will be capable of providing up to 54 transponders for high-quality local
and national digital video service broadcast into 27 beams. In an alternate
configuration, the satellite will be capable of providing up to 44
transponders broadcast into 30 beams.
"We selected SS/L to design and manufacture these two advanced satellites
because it was best able to meet our schedule and technical requirements,"
said Jim Butterworth, senior vice president, Communications Systems, DIRECTV,
Inc. "These spacecraft will provide DIRECTV with additional capacity and back-
up capabilities as we continue to build out our network to provide additional
services to our customers that will include more local channel markets and
high-definition programming. We're confident in SS/L's ability to deliver in
accordance with our agreed upon specifications."
With the completion of DIRECTV 8 and DIRECTV 9S, Loral will have
manufactured five -- more than half -- of the satellites in DIRECTV's fleet.
SS/L is currently building DIRECTV 7S, a high-power, spot-beam satellite
scheduled for launch in mid to late first quarter of 2004.
DIRECTV 8 and DIRECTV 9S are based on SS/L's space-proven 1300 satellite
platform, which has an excellent record of reliable operation. The
geostationary 1300 has a designed service life of 15 years and maintains
station-keeping and orbital stability by using bipropellant propulsion and
momentum management systems. A system of high efficiency solar arrays and
lightweight batteries provides uninterrupted electrical power. In all, SS/L
satellites have amassed more than 1000 years of on-orbit service.
DIRECTV is the nation's leading digital multichannel television service
provider with more than 11.8 million customers. DIRECTV and the Cyclone Design
logo are trademarks of DIRECTV, Inc., a unit of Hughes Electronics Corp.
HUGHES is a world-leading provider of digital television entertainment,
broadband services, satellite-based private business networks, and global
video and data broadcasting. The earnings of HUGHES, a unit of General Motors
Corporation, are used to calculate the earnings per share attributable to the
General Motors Class H common stock (NYSE: GMH). For more information, visit
http://www.directv.com