Globalstar, Inc. ("Globalstar" or the "Company") announced on June 25, 2012 that it has reached a settlement of its prior disputes with Thales Alenia Space France ("Thales") and has agreed to the terms of a commercial proposal for the purchase of six additional spacecraft from Thales.
The mutual settlement of the prior claims that Globalstar and Thales have against one another ensures that Thales will complete its current work under Phase 2 of the contract and deliver the remaining Batch 4 satellites to Globalstar so that a fourth launch of six satellites can be conducted this year.
In addition, Globalstar and Thales have agreed to the terms of a purchase of six additional second-generation satellites to be constructed by Thales with the construction expected to begin this year. Globalstar and Thales expect to enter into a commercial contract based upon these terms in the near future.
"This agreement both settles the previous disputes between Globalstar and Thales and establishes a clean slate for the program once again such that the parties are now positioned to work as strategic partners for the long-term," said Jay Monroe, Chairman and CEO of Globalstar. "We would like to thank Thales and the French bank group for their hard work over the past several weeks and look forward to working with them as we complete the fourth launch this year and further secure the health of the constellation for the long-term."
About Globalstar, Inc.
Globalstar is a leading provider of mobile satellite voice and data services. Globalstar offers these services to commercial and recreational users in more than 120 countries around the world. The Company's products include mobile and fixed satellite telephones, simplex and duplex satellite data modems and flexible service packages. Many land based and maritime industries benefit from Globalstar with increased productivity from remote areas beyond cellular and landline service. Global customer segments include: oil and gas, government, mining, forestry, commercial fishing, utilities, military, transportation, heavy construction, emergency preparedness, and business continuity as well as individual recreational users. Globalstar data solutions are ideal for various asset and personal tracking, data monitoring and SCADA applications.
For more information regarding Globalstar, please visit Globalstar's web site at www.globalstar.com