SOURCE: Loral Space & Communications

Loral Space & Communications

December 02, 2014 08:30 ET

Allocation of ViaSat Litigation Settlement Payment Between Loral and MDA/SSL Resolved

Loral to Pay $45 Million and MDA/SSL to Pay $55 Million

NEW YORK, NY--(Marketwired - Dec 2, 2014) - Loral Space & Communications Inc. (NASDAQ: LORL) today announced that during a December 1, 2014 mediation session, Loral and MacDonald, Dettwiler and Associates Ltd. (MDA) agreed that Loral will be responsible for $45 million, and MDA and Loral's former subsidiary, Space Systems/Loral, LLC (SSL), will be responsible for $55 million, of the $100 million ViaSat litigation settlement.

Loral has paid $23.4 million (inclusive of interest) to date toward the ViaSat settlement, and will make additional payments totaling $22.7 million (inclusive of interest) on a quarterly basis through January 2017.

About Loral Space & Communications Inc.
Loral Space & Communications is a satellite communications company. Loral owns 62.8 percent of Telesat Canada, a global operator of telecommunications and direct broadcast satellites used to distribute video entertainment programming, broadband data, and provide access to Internet services and other value-added communications services. For more information, visit Loral's web site at LORL-F

This document contains forward-looking statements within the meaning of the U.S. Private Securities Litigation Reform Act of 1995. When used in this press release, the words "believes," "expects," "plans," "may," "will," "would," "could," "should," "anticipates," "estimates," "project," "intend" or "outlook" or other variations of these words or other similar expressions are intended to identify forward-looking statements and information. In addition, Loral Space & Communications Inc. or its representatives have made or may make forward-looking statements, orally or in writing, which may be included in, but are not limited to, various filings made from time to time with the Securities and Exchange Commission, and press releases or oral statements made with the approval of an authorized executive officer of the company. Actual results may differ materially from anticipated results as a result of certain risks and uncertainties which are described as "Risk Factors" and in the "Commitments and Contingencies" note to our financial statements in the current Form 10-K and in Loral's quarterly reports on Form 10-Q. The reader is specifically referred to these documents, as well as the Company's other filings with the Securities and Exchange Commission.

Risks and uncertainties include but are not limited to (1) risks associated with financial factors, including swings in the global financial markets, increases in interest rates and access to capital; (2) risks associated with satellite services, including dependence on large customers, launch delays and failures, in-orbit failures and competition; (3) regulatory risks, such as the effect of industry and government regulations that affect Telesat; (4) litigation risks; and (5) other risks, including a possible initial public offering at Telesat that could adversely affect the market for our common stock. The foregoing list of important factors is not exclusive. Furthermore, Loral operates in an industry sector where securities values may be volatile and may be influenced by economic and other factors beyond Loral's control.