Bloomberg News

Inmarsat Says Further LightSquared Payments ‘Highly Uncertain’

April 03, 2012

Inmarsat Plc (ISAT), the biggest provider of satellite services to the maritime industry, said payments from LightSquared Inc. (SKYT:US) related to a spectrum-cooperation accord remain “highly uncertain.”

LightSquared failed to pay Inmarsat $29.6 million due March 31, triggering a notice of default under the terms of their cooperation accord, the London-based company said in a statement today. LightSquared had already missed a payment of $56.3 million in February.

“Further payments under the cooperation agreement remain highly uncertain,” Inmarsat said in the statement, adding that a “material” one is due tomorrow.

The U.K. company said last month it couldn’t predict whether it will receive outstanding payments from Philip Falcone’s LightSquared, the U.S. company struggling to gain approval for a wireless service.

Under the companies’ agreement, Inmarsat is giving LightSquared access to part of its spectrum. LightSquared, backed by Falcone’s Harbinger Capital Partners hedge fund, said March 30 that regulators should help find a resolution to interference concerns rather than block the proposed wireless service. The U.S. Federal Communications Commission said in February that it would block LightSquared after the Obama administration found the service would disrupt navigation gear.

Inmarsat said today it doesn’t plan to make any more public statements related to non-payment events under the cooperation accord. Inmarsat said it remains in discussions regarding the future of the accord.

To contact the reporter on this story: Chiara Remondini in Milan at cremondini@bloomberg.net

To contact the editor responsible for this story: Kenneth Wong at kwong11@bloomberg.net


Toyota's Hydrogen Man
LIMITED-TIME OFFER SUBSCRIBE NOW
 
blog comments powered by Disqus