Globalstar to Launch Eight Low Earth Orbit Satellites in 2007

[BGonaSTICK]

Globalstar, Inc. (Nasdaq: GSAT) said it would launch a total of eight satellites this year to augment the company's current first-generation LEO (low earth orbit) satellite constellation. It is also preparing to begin launching its second-generation Globalstar II satellites in 2009.

The first of these launches, scheduled for May 21, will orbit four Globalstar first-generation ground spare satellites. Four more satellites will be launched later this year. Globalstar is investing over $110 million in these two launches.

Globalstar plans to use its current constellation plus these additional eight first-generation satellites as it manages the transition through to the launch of the Globalstar II second-generation constellation, which is expected to begin in late 2009. Globalstar will launch 48 satellites to integrate with and eventually replace its first generation system that provides satellite voice and data services to more than 120 countries around the world.

Both launch missions this year will be conducted by the Russian-European launch services company Starsem (Arianespace, Astrium, Roscosmos, Samara Space Center) from the Baikonur Cosmodrome in Kazakhstan. Globalstar will once again be using the Soyuz launch vehicle, which Starsem used to successfully launch 24 Globalstar satellites from Baikonur in 1999. A Globalstar launch team is now at Baikonur to perform the preflight preparations needed prior to integrating the satellites with the launch vehicle.

"Now that the launch team has arrived at the Cosmodrome, I would like to thank Starsem and its contractors as well as Space Systems/Loral, the prime contractor for the first generation satellites, and their sub-contractor Thales Alenia Space, for facilitating the smooth and flawless deliveries of the launch vehicle and the spacecraft," said Megan Fitzgerald, Globalstar senior vice president, Strategic Initiatives and Space Operations.

Jean-Yves Le Gall, Starsem and Arianespace chairman and Chief Executive Officer, also noted his satisfaction. "With the arrival of the Globalstar satellites to Baikonur, joining the Soyuz launch vehicle from TsSKB-Samara, the Fregat upper stage from NPO-Lavotchkin and the satellites dispenser from Astrium, I am very pleased to welcome once again the entire Globalstar team to the Starsem launch facilities. We are proud to have the chance to perform Soyuz launches 7 and 8 for Globalstar and look forward to our continued participation in the Globalstar success."

Last February, Thales Alenia Space won an $880 million contract to provide Globalstar’s second-generation satellite constellation. As prime contractor, Thales Alenia Space will design, manufacture and deliver 48 LEO Globalstar satellites, as well as launch support services prior to and during the launches and mission operations support.

With a launch mass of some 700 kg and an end-of-life power of 1.7 kW, Globalstar satellites will be fitted with 32 transponders in C-band, S-band and L-band. Starting in 2009, six to eight Globalstar satellites will be launched at the same time and will have a lifetime of 15 years.

The agreement will involve Thales Alenia Space's production sites in France, Italy, Spain and Belgium. Globalstar's second-generation satellites will be assembled and integrated in Thales Alenia’s facility in Rome. The payloads will be provided by the company's facility in Toulouse, France; the structures as well as the thermal subsystems being provided by its facility in Cannes, France.

Also last February, Canadian space hardware maker Com Dev International, Ltd. (TSX:CDV) received authorization from Thales Alenia Space to develop advanced electronics for the Globalstar-2 satellite program in a deal worth $3.5 million.

In December 2006, Globalstar revealed that many of its satellites were experiencing an anomaly resulting in degraded performance of the amplifiers for the S-band satellite communications antenna. Globalstar concluded that the rate of degradation of the amplifiers had accelerated, and said that unless remedied by 2008, the problem will have a significant adverse impact on the company’s ability to provide uninterrupted two-way voice and data services on a continuous basis in any given location.

Globalstar said it has managed the degradation of the S-band antenna amplifiers in various technical ways, as well as by placing into service spare satellites already in orbit and moving unimpaired satellites to key orbital positions. It emphasized, however, the problem does not affect adversely the company’s Simplex satellite data services.