Space Systems/Loral-Built Satellite for SIRIUS XM Radio Successfully Begins Post-Launch Maneuvers

Space Systems/Loral (SS/L), a subsidiary of Loral Space & Communications (Nasdaq:LORL – News) and the leading provider of commercial satellites, today announced that SIRIUS FM-5, a satellite that it provided to SIRIUS XM Radio, America’s satellite radio company, is performing post-launch maneuvers according to plan. The satellite’s solar arrays deployed on schedule early this morning, following yesterday’s successful launch from the Baikonur Space Center in Kazakhstan aboard a Proton Breeze M launch vehicle provided by International Launch Services (ILS). The satellite is scheduled to begin firing its main thruster tomorrow in order to start maneuvering into geosynchronous orbit.

“We’ve seen SIRIUS XM grow from a small start-up to one of the largest radio companies in the world,” said Arnold Friedman, Senior Vice President of Marketing and Sales at Space Systems/Loral. “Having built all of the satellites in the SIRIUS fleet, we appreciate their continued trust and the way they have pushed us to new levels of capability and success, with some of the world’s highest-power satellites.”

SIRIUS FM-5 will be the highest-powered satellite in the SIRIUS fleet, with end-of-life power capability of nearly 20 kilowatts. It has a nine-meter unfurlable reflector, built by Harris Corporation, which allows for broadcast to cars and other small mobile devices. The satellite is based on SS/L’s 1300 space-proven platform, which provides the flexibility to support a broad range of applications and technology advances.

“There is a certain excitement with every satellite launch that I know we share with the Space Systems/Loral team,” said Rob Briskman, Co-founder and Technical Executive of SIRIUS XM Radio. “With this very powerful satellite supplementing our existing constellation, we can assure our listeners of the continued exceptional experience that they have come to expect.”

SIRIUS FM-5 will be the first geostationary satellite in the SIRIUS constellation, which already includes three SS/L built satellites in highly elliptical inclined orbits (HEIOs). The satellite will supplement the existing constellation in providing radio service to the continental U.S. as well as Canada. When SIRIUS FM-5 reaches its geostationary orbital slot at 96 degrees West longitude, there will be 56 Space Systems/Loral GEO satellites on orbit.

“Working with our colleagues at both Space Systems/Loral and SIRIUS XM Radio is always a great experience,” said Frank McKenna, CEO of ILS. “Having launched all of the satellites in the SIRIUS fleet, our three companies have once again demonstrated our leadership and attention to quality and reliability.”

About SIRIUS XM Radio

SIRIUS XM Radio is America’s satellite radio company delivering to subscribers commercial-free music channels, premier sports, news, talk, entertainment, and traffic and weather. SIRIUS XM Radio has content relationships with a broad range of prominent personalities and artists. The company has arrangements with every major automaker, and its products are available at shop.sirius.com and shop.xmradio.com and major retailers nationwide. SIRIUS XM Radio also offers SIRIUS Backseat TV, the first ever live in-vehicle rear seat entertainment.

About Space Systems/Loral

Based in Palo Alto, California, SS/L designs and builds satellites and spacecraft systems for commercial and government customers around the world. As the leading provider of commercial satellites, the company works closely with satellite operators to deliver spacecraft for a broad range of services including direct-to-home television, digital audio radio, broadband Internet, and digital multimedia broadcasting. With more power on orbit than any other satellite manufacturer, SS/L helps customers meet business objectives with advanced solutions based on space-proven heritage designs. For more information, visit www.ssloral.com.

About Loral Space & Communications

Loral Space & Communications is a satellite communications company. Through its Space Systems/Loral subsidiary, the company is a world-class leader in the design and manufacture of satellites and satellite systems for commercial and government applications including direct-to-home television, broadband communications, wireless telephony, weather monitoring, and air traffic management. Loral also owns 64 percent of Telesat, one of the world’s largest providers of satellite services. Telesat operates a fleet of telecommunications satellites used to broadcast video entertainment programming, distribute direct-to-home video and broadband data services, and other value-added communications services. For more information, visit Loral’s web site at www.loral.com.

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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., Space Systems/Loral, Inc. or their 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 the financial statements in Loral’s most recent annual report on Form 10-K and subsequent 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 the global economic downturn, our history of losses and financial covenants in SS/L’s credit agreement; (2) risks associated with satellite manufacturing, including competition, contractual risks, creditworthiness of customers, performance of suppliers and management of our factory and personnel; (3) regulatory risks, such as the effect of U.S. export control and economic sanction laws; and (4) other risks, including litigation. The foregoing list of important factors is not exclusive. Furthermore, Loral and SS/L operate in an industry sector where securities values may be volatile and may be influenced by economic and other factors beyond the control of Loral and SS/L.