Loral Space & Communications
Loral Space & Communications Inc. is a satellite communications company headed by Michael B. Targoff and incorporated in Delaware
Delaware is a U.S. state located on the Atlantic Coast in the Mid-Atlantic region of the United States. It is bordered to the south and west by Maryland, and to the north by Pennsylvania...

. The company was formed in 1996 from the remnants of Loral Corporation
Loral Corporation
Loral Corporation was a defense contractor founded in 1948 in New York by William Lorenz and Leon Alpert as Loral Electronics Corporation. The company's name was taken from the first letters of each founder's surname....

 when Loral divested its defense electronics and system integration businesses to Lockheed Martin
Lockheed Martin
Lockheed Martin is an American global aerospace, defense, security, and advanced technology company with worldwide interests. It was formed by the merger of Lockheed Corporation with Martin Marietta in March 1995. It is headquartered in Bethesda, Maryland, in the Washington Metropolitan Area....

 for $9.1 billion. In 2006, Bernard L. Schwartz
Bernard L. Schwartz
Bernard Leon Schwartz was the Chairman of the Board and CEO of Loral Space & Communications, Chairman and CEO of K&F Industries, Inc., Chairman and CEO of Loral Corp., and president and CEO of Globalstar. He retired from Loral and his positions at its various subsidiaries and affiliates as of...

 retired after leading the company for many years.

Loral presently operates satellite manufacturing company Space Systems/Loral
Space Systems/Loral
Space Systems/Loral , of Palo Alto, California, is the wholly owned manufacturing subsidiary of Loral Space & Communications. It was acquired in 1990 for $715 million by Loral Corp. from Ford Motor Company as the Space Systems Division of Ford Aerospace...

 (acquired in 1990 as the Space Systems Division of Ford Aerospace
Ford Aerospace
Ford Aerospace & Communications Corp. was the aerospace and defense business of Ford Motor Company. It consisted of the Space Systems Division and the Western Development Labs .Partial company timeline:*1956 Aeronutronic becomes Ford Motor Company division.*1961 Ford Motor Company...

), and has an investment in Telesat Canada in partnership with the Public Pension Investment Board of Canada. The company also participates in a number of international and domestic joint ventures, including an ownership stake in XTAR
XTAR LLC is a satellite communications company headquartered in Rockville, Maryland, with offices in Madrid, Spain and Palo Alto, California. It is a joint venture between Loral Space & Communications, which owns 56 percent, and HISDESAT, which owns 44 percent. The company is the first U.S...



In January 2002, Loral reached a settlement with the U.S. Government in a case relating to the company’s involvement in a review of a Chinese rocket launch failure in 1996. Loral agreed to pay a civil fine of $14 million to the State Department without admitting or denying the government’s charges.

On July 15, 2003, Loral and certain subsidiaries filed voluntary petitions under Chapter 11
Chapter 11, Title 11, United States Code
Chapter 11 is a chapter of the United States Bankruptcy Code, which permits reorganization under the bankruptcy laws of the United States. Chapter 11 bankruptcy is available to every business, whether organized as a corporation or sole proprietorship, and to individuals, although it is most...

 of the United States Bankruptcy Code
Bankruptcy in the United States
Bankruptcy in the United States is governed under the United States Constitution which authorizes Congress to enact "uniform Laws on the subject of Bankruptcies throughout the United States." Congress has exercised this authority several times since 1801, most recently by adopting the Bankruptcy...

. In conjunction with the filing, Loral announced the sale of its North American satellite fleet to Intelsat
Intelsat, Ltd. is a communications satellite services provider.Originally formed as International Telecommunications Satellite Organization , it was—from 1964 to 2001—an intergovernmental consortium owning and managing a constellation of communications satellites providing international broadcast...

 to help reduce its debt. Loral emerged from Chapter 11 on November 21, 2005.

On October 5, 2007 Loral Space & Communications Inc. and the Public Pension Investment Board of Canada received the final regulatory approval necessary to complete the acquisition of Telesat from BCE Inc. for CAD $3.25 billion. The acquisition closed on October 31, 2007. Loral hold a 64% economic interest and a 331/3% voting interest in Telesat Holdco, the ultimate parent company of the resulting new entity.

At the same time, Telesat Canada merged with Loral Skynet, a subsidiary of Loral Space & Communications. This resulted in the transfer of all of the assets of Loral Skynet to Telesat.

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