Back From the Dead - News Briefs - Brief Article

Telecommunications, Feb, 2002

More than a year after purchasing the assets of bankrupt satellite communications provider Iridium, Iridium Satellite is still trying to clear up lingering confusion about its financial status. Free of the debt and legal problems of its predecessor, the new Iridium says it has been offering commercial voice and data services since last summer, and that a recent independent study found its constellation of satellites will be able to deliver services through mid-2010.

But not all satellite communications companies are as optimistic. Citing overcapacity in the telecom industry and deteriorating economic conditions in Latin America, Lockheed Martin said it will exit the telecom business. Lockheed will retain parts of its Global Telecom subsidiary, but sell its large stakes in Intelsat, Inmarsat and New Skies NV.