joerogaine
05-21-2008, 06:58 PM
I read this in the paper today. I thought that some might find it interesting. My only question is whether or not there is a Nimiq 3 satellite.
New Telesat satellite could face delays
Bert Hill, The Ottawa Citizen
Published: Wednesday, May 21, 2008
Troubles at a Russian launch site could push the flight of a new Nimiq satellite into 2009, increasing pressure on Telesat Canada and its U.S. owner.
Loral Space and Communications chief executive Michael Targoff told a stormy shareholder meeting yesterday "we hope that the Nimiq 4 would go up by the end of the year, certainly in the first quarter."
The satellite was originally expected to be launched early this year but a failure of a Russian Proton launch rocket put the Telesat launch off schedule.
Last month, Mr. Targoff said the launch was two to six months away.
The Nimiq 4, which will support Bell Expressvu high-definition traffic, and the Nimiq 5, now under construction, are fully leased to broadcast and other customers.
Together with a Loral satellite also under construction, they should generate $210 million in annual revenues.
Mr. Targoff said the revenues will let Loral reduce debt and improve financial performance.
"Our business strategy with Telesat is very simple. We are going to ... harvest the growth."
But until that happens, Loral is facing tough pressure from investors and analysts to turn around flagging fortunes.
Many were exasperated at the annual meeting of the New York City-based company with the rising losses driven in part by complicated financial deals that support the Loral-Telesat combination.
The stock hit a 52-week low of $17.60 yesterday after it reported bigger losses. The stock close at $20.21, down 41 per cent so far this year.
Loral, which got a 64-per-cent financial interest in Telesat through a $3.25-billion takeover, has been rocked by unhappy shareholders lawsuits since the company emerged from bankruptcy in 2005.
A Canadian public sector pension plan and other investors control the majority of Telesat board seats in an unusual structure forced by Canadian ownership rules.
Loral reported that Telesat had revenues of $166.5 million in the first quarter ending in March and a loss of $92.6 million on restructuring and other costs related to the takeover.
While the combination of Telesat and Loral satellites, which created the fourth-biggest global fleet, is causing pain, there are also big issues in Loral's satellite construction business.
Angry investors quizzed Mr. Targoff on costs, losses and the need to raise more funds.
He said Loral is being hurt because "we're the only manufacturers among the five in the world that can't rely on (government subsidization)."
In the first quarter ending in March, Loral sales rose 66 per cent to $386 million U.S. But losses jumped 78 per cent to $77.2 million.
New Telesat satellite could face delays
Bert Hill, The Ottawa Citizen
Published: Wednesday, May 21, 2008
Troubles at a Russian launch site could push the flight of a new Nimiq satellite into 2009, increasing pressure on Telesat Canada and its U.S. owner.
Loral Space and Communications chief executive Michael Targoff told a stormy shareholder meeting yesterday "we hope that the Nimiq 4 would go up by the end of the year, certainly in the first quarter."
The satellite was originally expected to be launched early this year but a failure of a Russian Proton launch rocket put the Telesat launch off schedule.
Last month, Mr. Targoff said the launch was two to six months away.
The Nimiq 4, which will support Bell Expressvu high-definition traffic, and the Nimiq 5, now under construction, are fully leased to broadcast and other customers.
Together with a Loral satellite also under construction, they should generate $210 million in annual revenues.
Mr. Targoff said the revenues will let Loral reduce debt and improve financial performance.
"Our business strategy with Telesat is very simple. We are going to ... harvest the growth."
But until that happens, Loral is facing tough pressure from investors and analysts to turn around flagging fortunes.
Many were exasperated at the annual meeting of the New York City-based company with the rising losses driven in part by complicated financial deals that support the Loral-Telesat combination.
The stock hit a 52-week low of $17.60 yesterday after it reported bigger losses. The stock close at $20.21, down 41 per cent so far this year.
Loral, which got a 64-per-cent financial interest in Telesat through a $3.25-billion takeover, has been rocked by unhappy shareholders lawsuits since the company emerged from bankruptcy in 2005.
A Canadian public sector pension plan and other investors control the majority of Telesat board seats in an unusual structure forced by Canadian ownership rules.
Loral reported that Telesat had revenues of $166.5 million in the first quarter ending in March and a loss of $92.6 million on restructuring and other costs related to the takeover.
While the combination of Telesat and Loral satellites, which created the fourth-biggest global fleet, is causing pain, there are also big issues in Loral's satellite construction business.
Angry investors quizzed Mr. Targoff on costs, losses and the need to raise more funds.
He said Loral is being hurt because "we're the only manufacturers among the five in the world that can't rely on (government subsidization)."
In the first quarter ending in March, Loral sales rose 66 per cent to $386 million U.S. But losses jumped 78 per cent to $77.2 million.