8-K

 

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549

FORM 8-K

CURRENT REPORT

Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

Date of Report (Date of Earliest Event Reported): February 23, 2005

Loral Space & Communications Ltd
__________________________________________
(Exact name of registrant as specified in its charter)

Bermuda	1-14180	13-3867424
_____________________ (State or other jurisdiction	_____________ (Commission	______________ (I.R.S. Employer
of incorporation)	File Number)	Identification No.)
600 Third Avenue, New York, New York		10016
_________________________________ (Address of principal executive offices)		___________ (Zip Code)

Registrant’s telephone number, including area code: (212) 697-1105

Not Applicable
______________________________________________
Former name or former address, if changed since last report

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

[  ]  Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
[  ]  Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
[  ]  Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
[  ]  Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Item 8.01. Other Events.

On February 23, 2005, Loral Space & Communications Ltd. ("the Company") announced that its subsidiary, Space Systems/Loral, Inc., had been selected by PanAmsat Corporation to build Galaxy 18, a new Fixed Satellite Service (FSS) satellite.

On February 23, 2005, the Company also announced that it agreed to sell its BTV product line to dbsXmedia, Inc., subject to bankruptcy court approval.

A copy of the Galaxy 18 press release and the dbsXmedia press release is attached hereto as Exhibit 99.1 and 99.2, respectively.

Item 9.01. Financial Statements and Exhibits.

(c) Exhibits.

Exhibit 99.1 February 23, 2005 Press Release re: Galaxy 18 FSS satellite.

Exhibit 99.2 February 23, 2005 Press Release re: sale of BTV product line to dbsXmedia.

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

	Loral Space & Communications Ltd
February 28, 2005	By:	Janet Yeung
		Name: Janet Yeung
		Title: Vice President and Assistant Secretary

Exhibit Index

Exhibit No.	Description
99.1	February 23, 2005 Press Release re: Galaxy 18 FSS satellite
99.2	February 23, 2005 Press Release re: sale of BTV product line to dbsXmedia

EX-99.1

3825 Fabian Way, Palo Alto, CA 94303

Contact: John McCarthy
(212) 338-5345

SPACE SYSTEMS/LORAL SELECTED TO BUILD
PANAMSAT’S GALAXY 18 SATELLITE

Sixth Major Satellite Award for SS/L in Last 13 Months

PALO ALTO, Calif. – February 23, 2005 – Space Systems/Loral (SS/L) today announced that it has been selected by PanAmSat Corporation, Wilton, Conn., to build Galaxy 18, a new Fixed Satellite Service (FSS) satellite that will deliver 10 kilowatts of power over a 15-year lifetime.

“We are pleased to once again be selected by PanAmSat to build an important piece of its global network,” said Patrick DeWitt, president, Space Systems/Loral. “Because of SS/L’s cost-effective integration of advanced satellite features with high performance, space-proven technology, PanAmSat will be able to deliver highly competitive and reliable services to their customers.”

The satellite’s hybrid communications payload will carry a total of 48 operating transponders, including 24 high-power Ku-band and 24 C-band transponders. The satellite is designed to operate from PanAmSat’s 123 degrees West orbital location. The contract is subject to standard bankruptcy court approval.

When delivered in 2007, Galaxy 18 will become PanAmSat’s newest satellite covering the contiguous United States, Alaska, Hawaii, and Puerto Rico, in addition to Canada and Mexico, and will be the fifth spacecraft built for PanAmSat by SS/L. Galaxy 16 is also under construction at SS/L’s facility in Palo Alto, California and is planned for delivery in 2006.

The satellite is based on SS/L’s flight-proven, 1300, geostationary satellite platform, which has a long and proven record of reliable operation. Currently, there are 48 SS/L 1300 satellites on orbit, performing a variety of critical communications functions.

Through its owned and operated fleet of 23 satellites, PanAmSat is a leading global provider of video, broadcasting and network distribution and delivery services. In total, the company’s in-orbit fleet is capable of reaching over 98 percent of the world’s population through cable television systems, broadcast affiliates, direct-to-home operators, Internet service providers and telecommunications companies. In addition, PanAmSat supports the largest concentration of satellite-based business networks in the U.S., as well as specialized communications services in remote areas throughout the world. For more information, visit the company’s web site at www.panamsat.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 www.ssloral.com.

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. For more information, visit Loral’s web site at www.loral.com.

# # #

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:
John McCarthy
(212) 338-5345

LORAL SKYNET SELECTS DBSXMEDIA, PART OF ARIEL WAY,
AS PURCHASER OF BTV PRODUCT LINE

Specialist provider is selected as winning bidder

BEDMINSTER, NJ — February 23, 2005 — Loral Skynet today announced that it has selected dbsXmedia, part of the Ariel Way, Inc. group of companies, to assume the management and further development of Loral Skynet’s traditional business television services (BTV), subject to certain closing conditions, including bankruptcy court approval.

Under the terms of the transaction, dbsXmedia will acquire Loral Skynet’s BTV client base in exchange for cash, stock in the company of its funding partner, Ariel Way, Inc., and ongoing contracts for infrastructure support from Loral Skynet. The ownership transition will leave unchanged the services for current customers under an agreement that maintains the existing teleport and satellite infrastructure provided by Loral Skynet. dbsXmedia has agreed that some of the employees of Loral Skynet’s BTV group will transfer to dbsXmedia’s new offices in Plymouth, England and Frederick, Maryland. This highly experienced team will take over the daily operations of customers’ corporate communications networks, ensuring seamless, high quality service.

“dbsXmedia’s management team, dedication to effective corporate communications networks, and financial backing make it the ideal partner for both Loral Skynet and our BTV customers,” said Patrick Brant, president, Loral Skynet. ”And, the divesture of the BTV business allows Loral Skynet to focus on its core fixed satellite and network services businesses.”

“We aim to provide the BTV client base with both continuity and rapid improvements to the overall service offer,” said David Howgill, CEO, dbsXmedia. “Loral Skynet will provide the core of our services infrastructure; we will provide the know-how, technology and service — the combination of which allows us to provide state-of-the-art solutions for video, radio and digital signage solutions for the corporate and retail world.”

About dbsXmedia

dbsXmedia aims to provide communication infrastructure and integrated multimedia services to corporations throughout the United States and Europe. dbsXmedia is part of the Ariel Way, Inc. group of companies (OTCBB:NFDV). dbsXmedia’s executive management has over 25 years of experience in the video and transmission industry. dbsXmedia will operate from offices in the United States and United Kingdom, providing industry leading solutions for BTV, digital signage and interactive media delivered over a combination of satellite, terrestrial and wireless networks.

Ariel Way is a technology and services company providing highly secure global communications solutions. The company is focused on developing innovative and secure technologies, acquiring and growing advanced emerging technology companies and national and global communications service providers. The company also intends to create strategic alliances with companies offering complementary product lines and services. Ariel Way’s technology development effort includes highly secure communications solutions and services. For more information, visit www.dbsXmedia.com or www.arielway.com.

About Loral Skynet

A pioneer in the satellite industry, Loral Skynet delivers the superior service quality and range of satellite solutions that have made it an industry leader for more than 40 years. Through the broad coverage of the Telstar satellite fleet, in combination with its hybrid VSAT/fiber global network infrastructure, Skynet meets the needs of companies around the world for broadcast and data network services, Internet access, IP and systems integration. Headquartered in Bedminster, New Jersey, Loral Skynet is dedicated to providing secure, high-quality connectivity and communications. For more information, visit the Loral Skynet web site at www.loralskynet.com.

In addition to being the parent company of Loral Skynet, Loral Space & Communications (OTC BB: LRLSQ) is a world-class leader in the design and manufacture of satellites and satellite systems for commercial and government applications through its Space Systems/Loral subsidiary. For more information, visit the Loral Space & Communications web site at www.loral.com.

# # #

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.