The International Bureau of the Federal Communications Commission (FCC) has granted MSS operator Globalstar authority to operate its second-generation satellites within the United States. This authority will become effective once Globalstar completes…
The International Bureau of the Federal Communications Commission (FCC) has granted MSS operator Globalstar authority to operate its second-generation satellites within the United States. This authority will become effective once Globalstar completes registering the constellation with France, which is expected to occur in the near future.
Once the French registration process is completed, Globalstar will immediately activate its ground and mobile stations in North America to begin communicating with the new satellites. The first batch of six satellites of its secondgeneration constellation were launched on 19 October 2010, with four of those currently operational and the remaining two expected to reach their operational planes shortly.
A further six satellites are due to be launched by a Soyuz rocket in May with two additional launches of six satellites per launch within 60-90 days of this launch.
The FCC’s decision coincided with Globalstar announcing that it had reached an agreement with its senior lenders to amend an obligation under the Coface-backed US$586.3m senior secured credit facility to secure a US ground station operating licence by 28 February 2011. The parties agreed to extend this requirement 31 March 2011, with a further 90-day period in which it could operate an initial special temporary authority if it had not secured the full operating licence.
Globalstar’s talks with potential investors delays 10-K filing
The delay in receiving both the FCC approval and the necessary amendment to the credit facility was one of the principle reasons why Globalstar was unable to file its 10-K annual report for 2010 within the prescribed time period.
The other reason was that Globalstar said that it was in talks with potential investors over raising additional capital for the company.
