10/07/2007

New Satellite to Strengthen Strategic Service Capabilities, Position Company as Global Satellite Operator

-AMOS-4 to be deployed in an orbital slot between 64ºE and 76ºE to service Southeast Asia, Central Asia and Africa
-Company concludes agreement with Israeli government for pre-launch purchase of significant amount of capacity over full life span of AMOS-4
-Funds generated from pre-launch purchase to finance satellite construction costs, reducing capital company needs to raise
-AMOS-4 positions Spacecom as global satellite operator with first rate technology
-AMOS-3, fully financed and in final construction stages, to be launched in Q1 2008, joining AMOS-1 and AMOS-2 at 4°W

Tel Aviv, – 10 July 2007: Spacecom (Tel Aviv Stock Exchange: SCC), the AMOS satellites operator, today announced that it has signed an agreement to build and launch AMOS-4, the newest addition to the AMOS constellation, with Israel Aerospace Industries (IAI). IAI will construct the satellite for approximately US $365 million. AMOS-4 is scheduled to be launched in 2012 with a 12-year lifespan.

"This is a tremendously important achievement for Spacecom. AMOS-4 vaults us forward dramatically with its new capabilities,” said David Pollack, Spacecom president and CEO. “It will enable us to offer enhanced services, reach new regions and drive business expansion. The agreement strengthens IAI’s already proven advanced space capabilities adding to the AMOS series they have constructed.”

Spacecom will pay US $100 million for AMOS-4, with a US $22.5 million first payment scheduled for January 2010 and a $6.25 million final payment upon the satellite’s delivery. The Israeli government will pay Spacecom US $265 million generated from a pre-launch deal to supply it with services on AMOS-4 over the satellite’s full life span.

AMOS-4, located around the 64ºE to 76ºE orbital slot, broadens the range of markets Spacecom can reach and the number of potential clients the company can serve. Spacecom’s current constellation includes AMOS-1 and AMOS-2 operating at 4ºW, an orbital position it will share with AMOS-3 when the satellite launches in early 2008. When AMOS-4 comes online, Spacecom will reach close to 80 percent of the world’s population.

“Spacecom has a successful management and operational track record in financing and accomplishing our goals. By operating a network of satellites with AMOS-4 as an integral element, we will fulfill our long-term objective to become a dominant player in the global satellite communications market,” continued Pollack. “Our growth strategy includes expanding significantly through operations in existing and new markets via the soon to be launched AMOS-3, AMOS-4 and other satellites initiatives we are currently evaluating”

After pre-sold capacity to the Israeli government is utilized, AMOS-4 will have available eight Ku-band transponders of 108 MHz and four high power Ka-band transponders of 218 MHz with steerable beams.

The AMOS-1 and AMOS-2 satellite, co-located at 4°W, create the AMOS platform. They enable Spacecom to provide fully backed-up services, making Spacecom an attractive business partner to Direct-To-Home (DTH) platforms, VSAT networks and digital TV broadcasters in Central and Eastern Europe. AMOS-3 will offer extended coverage areas and enhanced features including Ka-band capabilities and steerable beams.

ABOUT SPACECOM
Space-Communication Ltd. (Spacecom) is the operator of the AMOS satellites, which provide high-quality broadcast and communication services to Europe, the Middle East, and the Atlantic bridge to the United States.  The AMOS satellite constellation, consisting of AMOS-1 and AMOS-2 co-located at the prime orbital position of 4°W, serves Direct-To-Home and other Television platforms in Europe and the Middle East as well as provides a secure and stable transmission to government agencies. The extensive signal strength and prime location makes the AMOS platform particularly suitable for DBS and DTH operators, as well as a wide range of broadcasters, ISPs, telecommunications operators, and network integrators with Internet, voice, data and digital TV services.

Spacecom's AMOS-3 satellite is scheduled to be launched in the beginning of 2008 to the 4°W orbital position, where it will offer extended coverage, as well as new capabilities such as Ka-band and steerable beams with global coverage.
Based in Israel, Spacecom is traded on the Tel-Aviv Stock Exchange (TASE) as SCC. Its major shareholders are Eurocom, Israel Aerospace Industries (IAI), General Satellite Services Co. (GSSC) and Mer Services Group.

For more information please see http://www.amos-spacecom.com
 

Corporate Contact

Ms. Donna Tal, Spacecom
+ 972-3-7551013
donnat@amos-spacecom.com

World Media Contact

Josh Shuman, Shuman & Associates
+1-812-272-2596
joshs@shumanpr.com

US Media Contact

Cory Porter, Sage Communications
+1-703-584-5645
coryp@aboutsage.com