Winnipeg Free Press

Winnipeg Free Press (Newspaper) - September 21, 1998, Winnipeg, Manitoba Lockheed Comsat Deal creates one Stop global shop by Tim smart the Washington Post Washington defence giant Lockheed Martin corp. Said yesterday it would buy satellite services provider Comsat corp. In a $2.7-billion Deal that creates a one Stop global communications company. The merger agreement by the companies boards Calls for Lockheed to pay $1.3 billion in Cash for 49 per cent of Comsat with the remainder of Comsat s shares acquired through an Exchange of Lockheed Stock Worth an additional $1.4 billion. The Stock part of the transaction is contingent on the passage of legislation pending in Congress to remove restrictions on the ownership of Comsat Stock by outsiders. The announcement ends a period of speculation Over the Fate of Comsat which was created in the 1960s As the . Signatory to Intelsat an International consortium of nations that operate a satellite network. Executives of both companies said they did not anticipate any layoffs because of the transaction. Comsat has 1,700 employees about half of whom Are in the Washington Region while Lockheed employs 170,000 people in locations around the world. The two Headquarters Are across the Street from each other in Bethesda my. Comsat s Stock had risen in recent weeks on speculation it would be the subject of a merger bid with Lockheed Martin often mentioned As the Likely suitor. The Purchase Price equal to $45.50 a share is one third higher than the $34.121/2 closing Price Friday of Comsat shares on the new York Stock Exchange. We think it is a very very fair offering said John Sponyoe chief executive of a Lockheed subsidiary formed last month to buy companies in the satellite business. Sponyoe s unit will be merged into Comsat As part of the Deal. The satellite communications Industry is in the midst of a consolidation with companies that make and launch satellites moving to offer the services associated with sending data and voice transmissions. Comsat a publicly held company was seen by Industry experts As vulnerable to a takeover because of its relatively Small size and its quasi governmental history. There has been a push in Congress and among governments to privatize commercial Satel--4iteservices. Intelsat a 143-member organization handles International phone Calls. The m Canada wide b across Canada we re making it easier for canadians to get out on the Road september 30 1998 Chevy Silverado extended cab 4x4  255 he vortex v8 engine  4 Speed automatic with overdrive  air tilt cruise  Power locks windows i terrors  4 wheel Abs brakes  cd player  Remote keyless entry  3rd door  Locking differential  aluminium wheels smart lease Security Deposit with Only 800 Down Over 2,000 regular and extended cabs to choose from per month/36 month smart lease huge selection at your Chevrolet 0ldsm0bile dealers. You should know this based on a 36 month lease. Annual Kilometre limit is 20,000 pm $0.12 per excess Kilometre. A minimum Down payment of $800 required. Total obligation is $15,164. Olhorn lease options available. Fran dog on approved Mac credit Only. Down and or Security Deposit May be required. Monthly payment and Cost of borrowing will vary depending on amount borrowed and Down payment Trade. Example $10,000 at 1.9% apr for 48 months the monthly payment is $216.51 for 48 months. Cost of borrowing is $392.48. Total obligation to $10,382.48. Al nudes freight excludes License insurance and taxes. Dealer Trade May be necessary. Dealer May sell or lease for less. Offer applies to 1998 new or demonstrator models of Chevy full size Silverado extended cab 4x4 pickup 1sc equipped As described and applies to qualified retail customers in Manitoba Only. T1.9% financing available on All 1998 new or demonstrator cd pickups except Crew cabs models. Limited time offer which May not be combined with other of Ftp. See dealer for conditions and details is a trademark of general motors Bank licensed user of dark. Chevrolet own Mobile consortium has plans to privatize through a Public Stock offering of a new company that would own five of the 25 Intelsat satellites. This is something we be been looking at for some time Sponyoe said. It s very very key to our strategy of becoming a global player in this in june Lockheed bought the satellite network of inter sputnik from the russian government. The acquisition of Comsat would bring together Lockheed s capabilities As a satellite manufacturer and provider of launch services with Comsat s skill in providing digital data voice and video services. Russians Send pc the station Bills into orbit by Kathy Sawyer the Washington Post Washington Nasa will ask Congress and the White House for approval to buy up to $660 million Worth of goods and services from the russian space Agency Over the next four years scrambling to Salvage plans to build an International space station with the russians. The Short term goal is to prevent further costly delays in the .-led project scheduled to Start construction in orbit in november by ensuring that russian space workers get paid. Over the Long term despite deepening political and economic turmoil in Russia officials said key administration and congressional officials agree that it would be costlier to abandon the russians than to provide the bailout. Nasa has notified Congress and the White House budget office that it wants to buy $60 million Worth of future russian space vehicles other equipment and expertise using existing Nasa funds by the end of this month and another $40 million Worth by the end of the year Joseph Rothen Berg chief of Nasa s office of space flight confirmed yesterday. The Money is intended to provide an emergency infusion of funds to keep russian space vehicles and other hardware vital to the space station moving off Assembly lines. Russian space Agency chief Yuri Koptev recently told . Officials he s out of Money Rothenberg said. With an influx of dollars however Koptev has indicated that the service module a key russian component already 98 percent completed could be ready by next july a 21/2-month slip in its scheduled completion Date. The $40 million would be the first instalment of up to $150 million a year that Nasa will also ask to pay Over the next four years of space station construction. That would cover about half the anticipated annual russian Cost for the project Rothenberg said. We can t be sure they la come up with the other half though he said. If they Don to we need to be prepared to go Forward. In 1993, the Clinton administration moved to bring America s former cold War adversary into the huge International project As a major partner along with 14 other nations that have invested several billions dollars. The Orbital outpost is designed to Lay the groundwork for future human exploration of space As Well As to conduct Basic scientific research on weightlessness. It is to weigh about a million pounds and occupy five times the volume of the aging russian space station Mir. While much of the initial hardware has been built work has virtually halted in Russia on unmanned Progress transport vehicles soyuz escape capsules and other equipment that will be needed in coming years. Congressional sceptics of the russian relationship for years have been urging Nasa to develop a better backup plan in Case the russians failed to deliver on their commitments. But Nasa administrator Daniel Goldin has Long acknowledged that the project would be difficult. It s not Gonna be pretty but we re going to pull it off he said in an interview last week. f it 02963 for monday sept. 21,1998 ;