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SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
PURSUANT TO SECTION 13 OR 15(d) OF
THE SECURITIES EXCHANGE ACT OF 1934
Date of Report (Date of earliest event reported):
January 7, 1999
LORAL SPACE & COMMUNICATIONS LTD.
(Exact name of registrant as specified in its charter)
Islands of Bermuda 1-14180 13-3867424
(State or other (Commission (IRS Employer
jurisdiction of File Number) Identification
incorporation) Number
c/o Loral SpaceCom Corporation,
600 Third Avenue, New York, New York 10016
(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code:
(212) 697-1105
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Item 5. Other Events.
On January 7, 1999, Loral Space & Communications Ltd.
("Loral") announced that it plans to sell $350 million of Senior Notes due 2006
in an offering exempt from registration.
Loral, which owns, directly or indirectly, approximately 42%
of Globalstar, L.P. on a fully-diluted basis, expects to apply a portion of the
proceeds from the sale of the notes towards the purchase of $150,000,000 of
Convertible Preferred Stock of Globalstar Telecommunications Limited to maintain
its approximate percentage ownership, with the remaining proceeds to be used for
general corporate purposes, including investment in Loral's core businesses
(which may include additional investments in Globalstar), and to pursue
satellite service opportunities worldwide.
The press release of the registrant dated January 7, 1999, a
copy of which is attached hereto as Exhibit 99.1 is hereby incorporated by
reference.
Item 7. Financial Statements, Pro Forma Financial Information and
Exhibits.
(c) Exhibits.
Exhibit 99.1 Press Release of Loral Space & Communications Ltd.
dated January 7, 1999
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SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of
1934, the registrant has duly caused this report to be signed on its behalf by
the undersigned hereunto duly authorized.
LORAL SPACE & COMMUNICATIONS LTD.
(Registrant)
Date: January 8, 1999 By: /s/ Eric J. Zahler
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Eric J. Zahler
Senior Vice President, General
Counsel and Secretary
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EXHIBIT INDEX
Exhibit Description
Exhibit 99.1 Press Release of Loral Space and Communications Ltd. dated
January 7, 1999
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Contact: Jeanette Clonan
(212) 338-5658
LORAL TO SELL $350,000,000 OF SENIOR NOTES
IN A RULE 144A OFFERING
NEW YORK - January 7, 1999 - Loral Space & Communications announced today that
it plans to sell $350 million of Senior Notes due 2006 in an offering exempt
from registration.
Loral intends to apply the proceeds from the sale of the notes towards the
purchase of $150,000,000 of Convertible Preferred Stock of Globalstar
Telecommunications Limited, with the remaining proceeds to be used for general
corporate purposes, including investment in Loral's core businesses, to pursue
emerging satellite service opportunities worldwide and possible acquisitions.
The Notes will be offered only to qualified institutional buyers pursuant to
Rule 144A, to certain persons in offshore transactions pursuant to Regulation S
under the Securities Act of 1933 and to certain accredited investors. The Notes
have not been registered under the Securities Act of 1933 and may not be offered
or sold in the United States absent registration or an applicable exemption from
registration requirements. This press release does not constitute an offer to
sell or the solicitation of any offer to buy the securities.
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