High-capacity Hybrid Satellite Will Be Thirty-Second SS/L-Built Spacecraft Delivered To Intelsat

NEW YORK – November 1, 2004 – PALO ALTO, Calif. – November 1, 2004 – Space Systems/Loral (SS/L) announced today that, pursuant to the contract entered into in March 2004, it has reached agreement with Intelsat LLC for the design of Intelsat Americas-9 (IA-9), a high-power, C- and Ku-band satellite that will provide service to North America, Central America and the Caribbean. SS/L has been authorized to proceed on the manufacture of IA-9 immediately.

“Throughout Intelsat and SS/L’s long history of collaboration on satellite projects, the two teams have worked closely to make each satellite a premier communications platform for Intelsat’s customers,” said Pat DeWitt, president of SS/L. “SS/L is pleased to once again be working together on the latest in satellite technology with the Intelsat teams in Washington, D.C., Palo Alto and Bermuda.”

The satellite’s hybrid C- and Ku-band communications payload carries a total of 44 operating transponders, selectable among 62 discrete frequencies, providing a total of 1,944 MHz of downlink capacity. Coverage areas are provided by fixed C- and Ku-band antennas, in addition to an adjustable Ku-band spot beam that can be positioned anywhere on the earth’s surface visible from the satellite’s orbital position. The satellite is designed to operate from any of Intelsat’s orbital locations from 77 degrees West longitude to 129 degrees West longitude.

“SS/L has a strong history with Intelsat,” according to Intelsat Global Services Corporation president, Kevin Mulloy. “The satellites built in SS/L’s Palo Alto factory have provided Intelsat with dynamic and robust capacity around the world. SS/L’s satellites allow Intelsat to offer its customers unparalleled communications flexibility and services.”

The satellite is scheduled for delivery to Intelsat in 2007 and has a design life of 13 years. IA-9 will become Intelsat’s newest satellite covering North America and the thirty-second spacecraft built by SS/L for the international satellite services provider. The Loral-built Intelsat Americas-8 is currently scheduled for launch in December 2004.

The satellite is based on SS/L’s space-proven 1300 geostationary satellite platform, which has a long and proven record of reliable operation. Currently, there are 47 SS/L 1300 satellites on-orbit, performing a variety of critical communications functions.

As a global communications leader with 40 years of experience, Intelsat helps service providers, broadcasters, corporations and governments deliver information and entertainment anywhere in the world, instantly, securely and reliably. Intelsat’s global reach and expanding solutions portfolio enable customers to enhance their communications networks, venture into new markets and grow their businesses with confidence. For more information, visit www.intelsat.com .

Space Systems/Loral, a subsidiary of Loral Space & Communications (OTCBB: LRLSQ), is a premier designer, manufacturer, and integrator of powerful satellites and satellite systems. SS/L also provides a range of related services that include mission control operations and procurement of launch services. Based in Palo Alto, Calif., the company has an international base of commercial and governmental customers whose applications include broadband digital communications, direct-to-home broadcast, defense communications, environmental monitoring, and air traffic control. SS/L satellites have amassed more than 1,100 years of reliable on-orbit service. SS/L is ISO 9001:2000 certified. For more information, visit the Space Systems/Loral web site.

Loral Space & Communications is a satellite communications company. In addition to Space Systems/Loral, through its Skynet subsidiary Loral owns and operates a fleet of telecommunications satellites used to broadcast video entertainment programming, and for broadband data transmission, Internet services and other value-added communications services.

This document contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. In addition, Loral Space & Communications Ltd. 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 by the company with the Securities and Exchange Commission, press releases or oral statements made with the approval of an authorized executive officer of the company. Actual results could differ materially from those projected or suggested in any forward-looking statements as a result of a wide variety of factors and conditions. These factors include those related to the filing, on July 15, 2003 by Loral and certain of its subsidiaries, of voluntary petitions for reorganization under chapter 11 of title 11 of the United States Code in the United States District Court for the Southern District of New York and parallel insolvency proceedings in the Supreme Court of Bermuda in which certain partners of KPMG were appointed as joint provisional liquidators. Additional factors and conditions are also described in the section of the company’s annual report on Form 10-K for the fiscal year ended December 31, 2003, entitled “Commitments and Contingencies,” and the company’s other filings with the Securities and Exchange Commission. The reader is specifically referred to these documents.

Contact:

Jeanette Clonan or John McCarthy

Loral Space & Communications

212/697-1105