Project Baseball

Presentation to the Special Committee

of SkyTerra Communications

September 22, 2009

Exhibit (c)(2)

Indexed Share Price Performance

Gain/(Loss)

Indexed to 100

%

0

20

40

60

80

100

120

140

9/21/08

11/21/08

1/21/09

3/23/09

5/23/09

7/23/09

9/21/0

SKYT

CLWR

ICOG

TSTR

Nasdaq

Sector Trading Update

Last Twelve Months

Project Baseball

2

Source

FactSet

ICOG (67%)

•

Over the last twelve months,

share price performance for the

key sector players has been

mixed

–

CLWR has outperformed due

to positive news regarding

satellite launches and the

likelihood that incremental

funding is available

–

SKYT has rallied from its

lows on the basis of

Harbinger’s funding

commitments

–

ICOG has underperformed as

its subsidiary, ICO North

America, filed for Chapter 11

in May 2009

SKYT (24%)

TSTR (23%)

Nasdaq (6%)

CLWR (20%)

SKYT Stock Price Performance

Last Twelve Months

3

$0

$2

$4

$6

$8

$10

9/21/08

11/21/08

1/21/09

3/21/09

5/21/09

7/21/09

9/21/09

0

200

400

600

800

1,000

1,200

Volume

Price

Share Price

Volume

$

000s

Project Baseball

Note

1.

Premium to current Harbinger Indicative Proposal of $5

2.

52 week high and low are calculated using intra-day prices

9/22/08

SKYT, ICO Global and

Qualcomm sign agreement

enabling integration of

satellite communications

into mass market cellular

handsets and devices

11/10/08

SKYT

announces 3Q

results

8/10/09

SKYT announces 2Q

results

5/1/09

SKYT announces 1Q

results

2/25/09

SKYT announces 4Q

results

8/24/09

SKYT applies for $37MM in

broadband stimulus money

5/27/09

SKYT moves satellite

launch contract from Sea

Launch to International

Launch Services (ISL)

1/1/09

SKYT receives Tranche

1 of

$150MM from

Harbinger

Harbinger Indicative

Proposal = $5.00

4/1/09

SKYT receives Tranche

2 of $175MM from

Harbinger

7/1/09

SKYT receives Tranche

3 of $75MM from Harbinger

Price

Premium

(1)

Current

$3.40

47%

52-Week High

(2)

5.00

0%

52-Week Low

(2)

0.80

525%

LTM Average

2.83

77%

90 Day Average

3.07

63%

30 Day Average

3.22

56%

10 Day Average

3.18

57%

Premium Analysis

Valuation at Selected Prices

SKYT Valuation Matrix

Project Baseball

4

Notes

1.

Represents pro forma debt including Boeing deferral and remaining Harbinger funding tranche due in January 2010

2.

Represents unconsolidated investment in Terrestar of $8MM

3.

Assumes bonds trading at $0.62 and Boeing deferral trades at par

At Market

Analysis at Selected Prices

$MM, unless otherwise noted

$3.40

$4.00

$5.00

$10.00

Premium Over:

Current Stock Price

$3.40

0%

18%

47%

194%

52-Week High

5.00

(32%)

(20%)

0%

100%

52-Week Low

0.80

325%

400%

525%

1150%

Avg. Stock Price—Last 30 Trading Days

3.22

6%

24%

55%

210%

TSO

138

138

138

138

Options Dilution

4

5

6

10

Fully Diluted Shares Outstanding

141

143

144

148

Equity Value

$481

$571

$721

$1,479

Plus: Total Debt

(1)

$1,506

$1,506

$1,506

$1,506

Less: Unconsolidated Investments

(2)

(8)

(8)

(8)

(8)

Aggregate Value for Spectrum Valuation

$1,980

$2,070

$2,219

$2,978

Gross Spectrum (U.S. and Canada)

25

25

25

25

POPs

(MM)

300

300

300

300

MHz-POPs

7,500

7,500

7,500

7,500

Value per MHz-POP (Debt at Book)

$0.26

$0.28

$0.30

$0.40

Illustrative Value per MHz-POP (Debt at Market)

(3)

$0.19

$0.21

$0.23

$0.33

$3.75

$0.00

$4.10

$1.65

$2.65

$0.00

$4.10

$2.00

$0.80

$5.00

$4.00

$0.55

$4.40

$0.00

$2.00

$4.00

$6.00

Valuation Summary

$ / Share

SKYT Indicative Valuation

5

12-Month

Trading

Range

(1)

Trading

Comparables

–

Book

(2)

MHz-POP: $0.25 –

$0.26

Premiums

Paid

in

Precedent

Squeeze-Outs

(4)

Squeeze-Out of Majority: 20-30% Premium

(By Existing Minority Owner)

$ / Share

MHz-POP

(2)

Project Baseball

Clearwire

Transaction

(May

7,

2008)

(2)

MHz-POP: $0.24

Current Share

Price

(1)

$3.40

$0.20

ICO

NA

Bankruptcy

(May

15,

2009)

(2)

Harbinger

Indicative

Proposal

$5.00

$2.13

$0.32

PUBLIC MARKET

PRIVATE MARKET

Trading

Comparables

–

Market

(2)(3)

$0.00

MHz-POP: $0.13

(5)

MHz-POP: $0.15 –

$0.21

$3.40

$0.24

$0.28

Squeeze-Out

of

Minority:

10-20%

Premium

(By

Existing

Majority

Owner)

Satellite Business Case

(6)(7)

WACC: 20-30%, 8-10x 2020 Exit Multiple

DISCOUNTED

CASH

FLOW

6-Month

Trading

Range

(1)

Notes

1.

As of 9/21/09 and trading ranges based on intra-day prices

2.

Range based on TSTR current (September 2009) and historical (July 2009) MHz-POP using book value of total debt of approximately $1.3Bn, unconsolidated  investments of $5MM, 

FDSO of 140MM and MHz-POPs of 7,500

3.

Range based on TSTR bank trading levels at par and current (September 2009) and historical (July 2009) bond trading levels of $0.77 and $0.58, respectively 

4.

Reference range based on cash and stock squeeze-out transactions greater than $100MM since 1/1/90; median premiums paid 4 weeks prior to announcement date

5.

$0.13 per MHz-POP calculated under contemplated restructuring plan assuming fully accreted value of the convertible debt of $768MM and 6,000 MHz-POP

6.

Assumes annual cash flows are fully taxed at 40% and NOLs valued separately at between $29MM and $50MM depending on discounting assumptions

7.

Based on 2010 net debt of $1.6Bn and assumes 2010 funding gap of $184MM funded with equity issued at the current share price of $3.40 for PF FDSO of 196MM

Public Market Spectrum Comparables

Project Baseball

6

Notes

1.

Total debt pro forma for Harbinger financing tranche to come in January 2010

2.

Total debt pro forma for ICO North America bankruptcy filing; remaining debt represents capital lease obligation

3.

Assumes all cash is used for satellite construction and launch

4.

Assumes bank trading levels at par and bond trading levels of $0.62 (last traded September 2009) and $0.77 (last traded September 2009) for SKYT and TSTR, respectively

12/31/06

12/31/07

12/31/08

Current

SKYT

$0.34

$0.25

$0.22

$0.26

TSTR

0.27

0.23

0.22

0.26

ICOG

0.28

0.22

0.18

NA

Average

$0.29

$0.24

$0.21

$0.26

Historical Value per MHz-POP

Spectrum Valuation -

Side-by-Side Comparison

$MM, unless otherwise noted

SkyTerra

(1)

TerreStar

ICO Global

(2)

Share Price (as of 09/21/09)

$3.40

$1.69

$0.75

FDSO

141

140

211

Equity Value

$481

$236

$158

Plus: Total Debt

1,506

1,322

18

Less: Unconsolidated Investments

(8)

(5)

0

Aggregate Value for Spectrum Valuation

(3)

$1,980

$1,554

$176

Population (MM)

300

300

0

Assumed Usable Spectrum (MHz)

25

20

0

Population (MM) x Spectrum (MHz)

7,500

6,000

0

Value per MHz-POP (Debt at Book)

$0.26

$0.26

NA

Illustrative Value per MHz-POP (Debt at Market)

(4)

$0.19

$0.21

NA

16%

18%

12%

9%

31%

25%

0%

5%

10%

15%

20%

25%

30%

35%

30%<Ownership<50%

All Deals

Ownership>50%

Median Premium Paid to 4 Weeks Prior to Announcement

%

Premiums Paid Analysis

Completed Cash and Stock Squeeze-Outs Greater than $100MM Since 1990

Project Baseball

7

# of Deals:

75

182

107

27

67

40

All Deals

Investor Deals

(1)

Note

1.

Includes all deals where buyer is a non-strategic buyer (i.e., private equity firm or hedge fund)

DCF Analysis

Based on 2010E –

2019E Cash Flows per Management Plan

Project Baseball

8

•

Key assumptions:

–

Cash on hand sufficient to

fund 2009 cash burn

–

Funding gap addressed with

equity raise at current share

price

–

Cash flows are fully taxed

and NOLs

valued separately

and added to DCF valuation

Notes

1.

Assumes cash flows are fully taxed at 40%

2.

Basedon

FDSO

of

196MM

(54MM

new

shares

issued

at$3.40

to

addressfunding

gap

of

$184MM),

total

debtof

$1.6Bn

andincludes

valueof

NOLs

which

range

from

$29-50MM

depending

on

the

discounting assumptions

3.

Based on 7,500 MHz-POP

$MM

2010E

2011E

2012E

2013E

2014E

2015E

2016E

2017E

2018E

2019E

Revenue

$129

$174

$213

$276

$346

$439

$612

$845

$1,063

$1,222

   % Growth

253%

35%

23%

29%

26%

27%

39%

38%

26%

15%

EBITDA

43

55

45

92

148

220

362

557

739

872

   % Growth

NM

28%

-18%

105%

61%

49%

64%

54%

33%

18%

Less: Cash Taxes

(1)

0

0

0

0

(20)

(49)

(105)

(184)

(256)

(311)

Less: Changes in Working Capital

(13)

86

5

(4)

(10)

(10)

(15)

(20)

(18)

(15)

Less: Capex

(214)

(112)

(8)

(9)

(15)

(11)

(11)

(17)

(13)

(14)

Unlevered Free Cash Flow

(184)

29

41

79

103

151

230

337

452

531

   Cumulative Unlevered Free Cash Flow

(184)

(155)

(114)

(35)

68

218

448

785

1,238

1,769

Cash Flow Summary

2020 Exit Multiple

Discount Rate

8.0x

9.0x

10.0x

20%

$0.12

$0.89

$1.67

Share Price

(2)

$0.22

$0.24

$0.26

Implied MHz-POP

(3)

25%

$0.00

$0.00

$0.00

$0.14

$0.16

$0.17

30%

$0.00

$0.00

$0.00

$0.09

$0.10

$0.11

DCF Senstivity

Analysis

Economic

Voting

Shares and $ in MM

Value

Shares

Harbinger

3rd Party

SKYT

Total

Harbinger

3rd Party

SKYT

Total

Current Ownership

(1)

148

62.3%

0.0%

37.7%

100%

52.0%

0.0%

48.0%

100%

Harbinger Asset Contribution

Inmarsat Equity

$1,143

114

79%

0%

21%

100%

81%

0%

19%

100%

Inmarsat Convertible

42

4

79%

0%

21%

100%

81%

0%

19%

100%

Sub Total

$1,185

119

Inmarsat Offer - Sources

New Debt Financing

$2,400

Fees to Harbinger

(2)

128

13

80%

0%

20%

100%

82%

0%

18%

100%

Non-Harbinger SKYT Equity

100

10

77%

0%

23%

100%

78%

0%

22%

100%

New 3rd Party Equity Required

1,855

185

47%

39%

14%

100%

41%

48%

11%

100%

Total Offer Sources

$4,483

208

Inmarsat Offer - Uses

Non-Harbinger Inmarsat Equity Value

$2,825

Non-Harbinger Inmarsat Net Debt

(3)

1,350

Fees + 1.6 GHz Share Issuance

(4)

228

Est. Change of Control Premiums

(5)

80

Total Offer Uses

$4,483

Pro Forma Ownership

475

47.1%

39.1%

13.9%

100%

40.6%

48.1%

11.3%

100%

Pro Forma Ownership Analysis

Pro Forma Ownership Implications

Assumes Transaction as Contemplated by Existing MCSA

Project Baseball

9

•

Assumptions under existing

MCSA:

–

100% cash proposal for

Inmarsat at £5.35

–

SKYT share price at $10

–

New debt raised limited to

$2.4Bn

–

Any additional requirements

financed with 3    party equity

–

$ / £

exchange rate of 1.62

•

Assumptions under modified

MCSA

–

100% cash proposal for

Inmarsat

raised

to

£6.06

(6)

Modified MCSA Price for SKYT

$3.00

$4.00

$5.00

$6.00

$10.00

Economic

5.8%

6.9%

8.0%

9.0%

12.5%

Voting

4.5%

5.3%

6.1%

6.9%

10.0%

SKYT Ownership Under Illustrative Modified MCSA

Notes

1.

Includes

all

options

and

warrants

using

treasury

method

based

on

SKYT

offer

price

of

$10

2.

Includes

1.6

GHz

spectrum

share

issuance

of

$103MM

and

$25MM

sponsor

fee

to

Harbinger

3.

Excludes Inmarsat convertible of $42MM (owned by Harbinger)

4.

Includes Harbinger sponsor fee of $25MM, 1.6 GHz spectrum share issuance of $103MM and transaction-related fees of $100MM

5.

Includes estimated change of control premiums of $7MM on debt and make-whole of $72MM for convertible debt

6.

Represents 10% premium to current share price as of 9/21/09, which is same premium to current on date of original MCSA

rd

PF'09E EBITDA

$569

EBITDA Mult.

9.0x

Implied AV

$5,121

MHz - POP Value

$0.20

PF MHz - POPs

13,500

Implied Spectrum Value

$2,700

Total Aggregate Value

$7,821

PF Net Debt

(4,041)

PF Equity Value

$3,780

PF Shares

902

PF Share Price

$4.19

Disc. at Cost of Equity 25%

PV of PF Share Price

$3.35

Illustrative Calculation

Pro Forma Trading Analysis

Based on Modified MCSA: £6.06 ISAT Base Price and $5 SKYT Share Price

Project Baseball

10

8.0x

8.7x

9.7x

9.0x

7.8x

7.9x

0

4

8

12

ISAT

Eutelsat

SES

'09E Mult.

'10E Mult.

FSS Comparable Trading

x

Pro Forma Trading Analysis

Inmarsat

Implied

Spectrum Value (MHz-POP)

'09E EBITDA

Agg.

$0.15

$0.20

$0.25

Multiple

Value

(1)

$2,025

$2,700

$3,375

Implied

Spectrum

Value

(2)

8.0x

$4,552

$6,577

$7,252

$7,927

PF Aggregate Value

2,536

3,211

3,886

PF

Equity

Value

(3)

$2.25

$2.85

$3.44

PV

of

PF

Share

Price

(4)

(55%)

(43%)

(31%)

Prem. / (Disc.) to Harbinger Offer Price of $5

9.0x

$5,121

$7,146

$7,821

$8,496

3,105

3,780

4,455

$2.75

$3.35

$3.95

(45%)

(33%)

(21%)

10.0x

$5,690

$7,715

$8,390

$9,065

3,674

4,349

5,024

$3.26

$3.86

$4.45

(35%)

(23%)

(11%)

Notes

1.

Based on Inmarsat ’09E EBITDA of $569MM per selected Wall Street estimates

2.

Based on 13,500 MHz-POPs (25 MHz at 300MM POPs for SKYT and 20 MHz at 300MM POPs for Inmarsat) 

3.

Based on PF net debt of $4.0Bn (existing SKYT total debt of $1.8Bn which reflects fully accreted value of Harbinger debt, and PF Inmarsat net debt

of $2.2Bn)

4.

Based on a WACC of 25% discounted 12 months and 902MM PF shares based on revised MCSA prices of $5 per share for SKYT and £6.06 per

share for ISAT

Discussion of SkyTerra Alternatives

11

Project Baseball

SKYT Alternatives

SKYT Implications

1. Cash Preservation Scenario

                                                                                                   under a cash

preservation scenario that still enables SkyTerra to meet its regulatory milestones

Likely does not provide sufficient time to complete a transaction with Inmarsat nor

provide for a sale of the company to another strategic buyer

                                                                                                    to provide spectrum-

based financing in the interim

                                                                                           absent a transaction with

Inmarsat or a carrier agreement

2. Sale of the Company

Not likely in advance of 

Capital markets environment and carrier strategic focus / need for near-term

spectrum make a strategic sale unlikely

3. Restructuring of SkyTerra’s Liabilities

Equitizing or otherwise restructuring the cash liabilities associated with the senior

secured and senior unsecured indebtedness                                                                  

Must include settlement with Boeing for the 2010 payments

A workable restructuring that materially extends SkyTerra’s funding runway must

also include a

Limited potential for an “all-in” restructuring of the secured and unsecured notes

and Boeing liabilities, combined with cost reductions, to provide for funding

runway through the end of 2011

Certain options to provide for extending funding runway beyond the end of 2011

(absent incremental debt or equity funding)        

Unclear whether debt capital markets will be available

Unclear ability to secure additional equity-funding

end of base case funding runway through the end of 2010

does not provide for enough extension

of funding runway

substantial reduction of non-satellite operating expenses

may have adverse impact on ability

to meet required regulatory milestones

Funding runway is projected to be exhausted in Q1’11 

absent a broader solution for the Boeing liabilities

Cash Forecast at SkyTerra

Based on Management Projections and Assumes Cash Preservation Scenario

12

Project Baseball

•

Under a cash preservation

scenario, SKYT could extend

the funding runway to Q1’11

–

Scenario assumes significant

cost reductions in all areas

outside of satellite related

programs while still achieving

regulatory milestones

•

SKYT has significant cash

obligations starting in Q4’10

–

Cash interest on the 14.0%,

16.5% and 18.0% Notes and

cash payment for Boeing

deferrals

•

In 2010 and 2011, cash interest

and Boeing payments account

for ~$348MM or ~53% of

SKYT’s cash obligations

2009E

2010E Quarterly

2010E

2011E Quarterly

2011E

$MM

Annual

Q1/10

Q2/10

Q3/10

Q4/10

Annual

Q1/11

Q2/11

Q3/11

Q4/11

Annual

Sources & Uses

Revenue

$40

$10

$10

$10

$9

$38

$8

$8

$8

$8

$31

Harbinger Transaction

400

100

0

0

0

100

0

0

0

0

0

Total Sources

440

110

10

10

9

138

8

8

8

8

31

Operating Expenses

(221)

(75)

(38)

(52)

(16)

(181)

(80)

(32)

(12)

(14)

(138)

Cash Interest

0

0

0

0

(53)

(53)

0

(52)

(60)

(52)

(165)

Boeing Payments

(82)

(11)

(11)

24

(124)

(122)

(2)

(2)

(2)

(2)

(8)

Total Uses

($303)

($87)

($49)

($28)

($192)

($356)

($82)

($86)

($74)

($68)

($310)

Cash Position Summary

Beginning Cash Balance

$112

$249

$272

$233

$215

$249

$31

($43)

($121)

($187)

$31

Change in Cash

137

23

(39)

(18)

(183)

(218)

(74)

(78)

(66)

(61)

(279)

Ending Cash Balance

$249

$272

$233

$215

$31

$31

($43)

($121)

($187)

($248)

($248)

SKYT Cash Forecast

2.8

18.7

24.5

0.1

8.5

4.5

0

5

10

15

20

25

30

35

40

45

Existing Spectrum

700 MHz Spectrum

Spectrum Holdings (U.S. Carriers)

Bn MHz-POPs

Sale of Company: Potential Strategic Interest

13

27.2

29.0

2.9

> 42.0

15.4

3.3

(1)

Source

SNL Financial Database

Notes

1.

Includes spectrum acquired from Aloha Partners

2.

Represents T-Mobile USA spectrum ownership

(2)

•

Carriers focused on continued

rollout of AWS and 700 MHz

spectrum to improve 2.5G/3G

network coverage

–

Broad LTE rollout not

forecast until 2011/2012 or

beyond

–

Unclear short-or-medium

term need for additional

spectrum from ATC players

Near-Term Supply of Spectrum

Block

Size

(MHz)

Source

Band

AWS-3

20

FCC

AWS

J-Block

20

FCC

AWS

D-Block

10

FCC

700MHz

B-Block

20

SpectrumCo

AWS

MSS-1

20

ICO/McCaw

S

MSS-2

20

TerreStar/

Ergen

S

Project Baseball

Limited Equity Recovery in a SkyTerra Liquidation

14

Project Baseball

Notes

1.

Based on fully accreted value of debt claims

2.

Based on 7,500MM MHz-POP (300MM POPs and 25 MHz)

3.

Based on current share price of SKYT as of 9/21/09 and FDSO of 141MM

4.

Based on on

FDSO of 141MM

Illustrative Waterfall Recovery Analysis

Assumed Value per MHz-POP

Maturity

Claim

$0.05

$0.10

$0.15

$0.20

$0.25

$MM

Date

Amount

(1)

$375

$750

$1,125

$1,500

$1,875

Implied AV

(2)

Boeing Claim

$120

14.0% Sr

Sec Disc Notes

4/1/2013

750

Senior Secured Creditors

$870

43%

86%

100%

100%

100%

Recovery Rate

16.5% Sr

Unsec

Notes

5/1/2013

280

18.0% Sr

Unsec

Notes

7/1/2013

664

Senior Unsecured Creditors

$944

0%

0%

27%

67%

100%

Recovery Rate

Equity Holders

(3)

$481

0%

0%

0%

0%

13%

Recovery Rate

Implied EV Per Share

(4)

$0.00

$0.00

$0.00

$0.00

$0.43

Project Baseball

15

Appendix A

Additional Information

Precedent U.S. Spectrum Prices

ADDITIONAL INFORMATION

16

Notes

1.

Represents auction completion date

2.

The FCC exchanged the PCS G Block for Nextel’s lower 800 MHz SMR licenses

3.

NextWave

sold its spectrum to T-Mobile USA, MetroPCS, ACS Wireless and Atlantic Wireless

Project Baseball

0.54

0.32

0.24

0.15

0.48

0.65

1.29

1.66

2.10

2.77

4.00

0.0

0.5

1.0

1.5

2.0

2.5

3.0

3.5

4.0

Auction 15

(Satellite Radio)

Auction 35

(PCS C & F)

Auction 8

(Satellite TV)

G Block

Auction 73 (700

MHz)

Auction 58

(Broadband

PCS)

Auction 66

(AWS)

Auction 4 (PCS

A & B)

Auction 11

(PCS D, E, F)

Auction 23

(LMDS)

Auction 30  

(39 GHz)  

Historical $/MHz-POP Auction Pricing

Spectrum Prices

($)

Source

New America Foundation: “The Citizen’s Guide to the Airwaves”; FCC

Bands:

700 MHz

1.9 -

2.0 GHz

1.9 GHz

1.9 -

2.0 GHz

1.7 -

2.1 GHz

1.9 -

2.0 GHz

1.9 -

2.0 GHz

Date      :

1/26/01

3/18/08

2/15/05

9/18/06

3/13/95

1/14/97

N/A

(2)

2320 -

2345 MHz

12.2 -17.5 GHz

27.5

-

31.3

GHz

38.6

-

40.0

GHz

5/12/99

5/8/00

4/2/97

1/25/96

$0.25

$1.06

$0.00

$0.50

$1.00

$1.50

AT&T / Aloha

NextWave /

Various

Precedent Spectrum

Transactions

Bands:

1.7-2.1 GHz

Date:

7/25/08

700 MHz

10/9/07

(3)

(1)

ADDITIONAL INFORMATION

Inmarsat Stock Price Performance

Last Twelve Months

17

3.00

3.50

4.00

4.50

5.00

5.50

6.00

9/21/08

11/21/08

1/21/09

3/21/09

5/21/09

7/21/09

9/21/09

0

2,000

4,000

6,000

8,000

10,000

12,000

14,000

16,000

18,000

Volume

Price

Share Price

Volume

£

000s

Project Baseball

MCSA Price =

£5.35

1.

Premium to £5.35 MCSA Price

11/10/08

Inmarsat announces Q3 results

above consensus with full-year

revenue growth ahead of target

range

4/15/09

Inmarsat completes

acquisition of Stratos

Global

7/2/09

Inmarsat completes investment in

SkyWave

Mobile Communications

4/24/09

Inmarsat recommends final

dividend of $0.1820 per

ordinary share

7/16/09

Inmarsat signs new

$500MM senior credit facility

8/10/2009

Inmarsat reports 2009

interim results

1

9/11/2009

Inmarsat was named as

Mobile Satellite Services

(MSS) Operator of the Year

at the Annual Awards for

Excellence in Satellite

Management

Premium Analysis

Research Price Targets

9/22/08

Hart-Scott-Rodino

waiting period associated

with the SkyTerra

/ Harbinger offer expired

without any action from the U.S. Department

of Justice.  No second request was issued

Target

Premium to

MCSA

(1)

BAS-ML (9/10/09)

£6.80

27%

GS (8/27/09)

7.14

33%

CS (8/26/09)

6.00

12%

JPM (7/31/09)

5.60

5%

UBS (7/3/09)

6.35

19%

Price

Prem

/ (Dis)

(1)

Current

£5.51

3%

52-Week High

6.14

15%

52-Week Low

3.00

(44%)

LTM Average

4.73

(12%)

90 Day Average

5.32

(1%)

30 Day Average

5.29

(1%)

10 Day Average

5.49

3%

Credit Markets, While Improving, Remain Challenged

ADDITIONAL INFORMATION

18

0

5

10

15

20

25

30

Mar-08

Apr-08

May-08

Jun-08

Jul-08

Aug-08

Oct-08

Nov-08

Dec-08

Jan-09

Feb-09

Mar-09

May-09

Jun-09

Jul-09

Sep-09

BB Index

B Index

CCC Index

Telecom

Yield Performance

Yield

%

Source

Yield Book, Advantage Data

Source

Advantage Data, Yield Book

Notes

1.

Index stats since December 2001

2.

Current as of September 2009

•

Although the high yield market

has recently opened for certain

“B”

and “CCC”

names, the

focus has been on known and

seasoned issuers

Project Baseball

16-Mar-08

Bear Stearns sold to

JPMorgan

15-Sep-08

Lehman Brothers files for

bankruptcy 

Yield Stats

(1)

Issue

Current

(2)

High

Low

Avg.

BB Index

8.36

14.61

7.53

9.98

B Index

10.61

20.93

10.16

13.83

CCC Index

15.49

29.49

13.42

19.61

Telecom

9.54

15.53

8.53

11.10