COMSAT and U.S. Government propose formation of commercial INTELSAT affiliate.BETHESDA, Md.--(BUSINESS WIRE)--Feb. 15, 1996--COMSAT Corporation and the U.S. Government today agreed on a joint proposal for restructuring restructuring - The transformation from one representation form to another at the same relative abstraction level, while preserving the subject system's external behaviour (functionality and semantics). INTELSAT, the international organization that provides global satellite network services for telecommunications Communicating information, including data, text, pictures, voice and video over long distance. See communications. and broadcasting. The proposal recommends the division of INTELSAT into two separate entities through the creation of a new INTELSAT affiliate company. The new company would be publicly financed and free to pursue new market opportunities throughout the world on a fully commercial and competitive basis. The new company would operate without any special obligations, privileges or immunities. Under the proposal, INTELSAT's assets, including satellites, would be divided almost evenly between the existing organization and the new affiliate company. The existing intergovernmental in·ter·gov·ern·men·tal adj. Being or occurring between two or more governments or divisions of a government. in organization would continue to provide basic public network services as a cooperative. "This proposal will advance not only the broader policy objectives of the U.S. Government, but also the commercial and financial interests of INTELSAT's investors," said COMSAT Comsat: see Communications Satellite Corporation; communications satellite. (COMSAT General Corporation, Bethesda, MD) Formerly Communications Satellite Corporation, COMSAT was a private company that was created by the U.S. president and CEO (1) (Chief Executive Officer) The highest individual in command of an organization. Typically the president of the company, the CEO reports to the Chairman of the Board. Bruce Bruce, Scottish royal family descended from an 11th-century Norman duke, Robert de Brus. He aided William I in his conquest of England (1066) and was given lands in England. L. Crockett. "Together, we hope to demonstrate to our partners in INTELSAT that there are significant benefits in this pro-competitive proposal for developed and developing countries alike. Everyone will win." Initially, the present INTELSAT organization would own all of the stock of the new company. It is proposed that within a year of the creation of the new company, 60 percent of the stock will be sold to external investors and traded on major public exchanges. During the next two years, the Years, The the seven decades of Eleanor Pargiter’s life. [Br. Lit.: Benét, 1109] See : Time proposal calls for an additional 20 percent to be sold to external investors. The funds raised through these offerings will reduce INTELSAT's debt and enhance its ability to provide global connectivity to all countries on a non-discriminatory basis. The proceeds will also provide working capital for the new company. Immediately following the public offerings, all shares not sold to external investors will be distributed to current investors in INTELSAT as repayment of investor capital. Crockett said COMSAT and the U.S. Government believe this concept will be attractive to all INTELSAT members because it addresses four key goals; to preserve and strengthen INTELSAT's ability to provide universal access and global connectivity by satellite on a non-discriminatory basis, to ensure continuity of service for existing users, to promote the broad telecommunications and competition policies embraced by many member countries and to protect the financial interests of INTELSAT's existing investors. "We look forward to working cooperatively with the U.S. Government to convince other members of INTELSAT that this proposal should now be more fully analyzed an·a·lyze tr.v. an·a·lyzed, an·a·lyz·ing, an·a·lyz·es 1. To examine methodically by separating into parts and studying their interrelations. 2. Chemistry To make a chemical analysis of. 3. and developed in the coming months," Crockett continued. "Our hope is that we can achieve a consensus on our proposal for INTELSAT's future structure, present it for adoption at the next Assembly of Parties in 1997 and implement the plan following that meeting." The Assembly of Parties is the meeting of 136 governments who are members of the INTELSAT consortium. COMSAT Corporation is a global provider of communications and entertainment products and services. EDITOR'S NOTE Editor's Note (foaled in 1993 in Kentucky) is an American thoroughbred Stallion racehorse. He was sired by 1992 U.S. Champion 2 YO Colt Forty Niner, who in turn was a son of Champion sire Mr. Prospector and out of the mare, Beware Of The Cat. Trained by D. : Interviews will be provided on request this afternoon with John Mattingly, vice president and general manager, COMSAT World Systems. CONTACT: COMSAT Janet Janet: see Clouet, Jean. JANET - Joint Academic NETwork Dewar, 301/214-3442 Dave Farmer, 301/214-3448 |
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