<PAGE>
Prospectus Supplement No. 1 Filed Pursuant to Rule 424(b)(3)
dated April 14, 2000 Registration No. 333-32668
(to Prospectus dated April 6, 2000) Cusip No. 705904 50 6
[GRAPHIC OMITTED]
PEGASUS COMMUNICATIONS CORPORATION
3,000,000 Shares of 6 1/2% Series C Convertible Preferred Stock
and
the Shares of Class A Common Stock Issuable upon Conversion of the Series C
Convertible Preferred Stock
--------------------------
The following table supplements and amends the information set forth on
pages 36 to 41 in the prospectus under Selling Security Holders with respect to
certain Series C convertible preferred stock selling security holders and the
number of shares of Series C convertible preferred stock beneficially owned by
such holders that may be offered and sold pursuant to the prospectus dated April
6, 2000. This prospectus supplement is not complete without, and may not be
delivered or utilized except in connection with, the prospectus.
<TABLE>
<CAPTION>
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PERCENTAGE OF
NUMBER OF SHARES OF SERIES C PERCENTAGE OF
SERIES C CONVERTIBLE NUMBER OF SHARES OF CLASS CLASS A COMMON
CONVERTIBLE PREFERRED PREFERRED STOCK A COMMON STOCK THAT MAY STOCK
NAME STOCK THAT MAY BE SOLD OUTSTANDING BE SOLD (1) OUTSTANDING (2)
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<S> <C> <C> <C> <C>
Forest Alternative Strategies Fund 1,000 * 784 *
II LP Series A5I
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Forest Alternative Strategies Fund 500 * 392 *
II LP Series A5M
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Forest Fulcrum Fund LP 5,500 * 4,313 *
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Forest Global Convertible Fund 26,500 * 20,783 *
Series A5
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LLT Limited 3,300 * 2,588 *
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Mainstay Convertible Fund 45,000 1.5% 35,293 *
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R2 Investments, LDC 35,000 1.2% 27,540 *
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Retail Clerks Pension Trust #2 20,000 * 15,686 *
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Sylvan IMA Ltd. 15,000 * 11,764 *
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</TABLE>
* less than 1%
(1) Assumes conversion of all of the holder's Series C convertible preferred
stock at a conversion price of $127.50 per share of Class A common stock.
However, this conversion price will be subject to adjustment as described
under Description of Series C Convertible Preferred Stock--Conversion
Rights. As a result, the amount of Class A common stock issuable upon
conversion of the notes may increase or decrease in the future.
(2) Calculated based on Rule 13d-3(d)(i) of the Exchange Act using 15,977,932
shares of Class A common stock outstanding as of April 13, 2000. In
calculating this amount, we treated as outstanding the number of shares of
Class A common stock issuable upon conversion of all of that particular
holder's Series C convertible preferred stock. However, we did not assume
the conversion of any other holder's Series C convertible preferred stock.
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Because the selling security holders listed above and in the prospectus
under the caption Selling Security Holders may, pursuant to the prospectus, as
supplemented, offer all or some portion of the Series C convertible preferred
stock, no estimate can be given as to the amount of Series C convertible
preferred stock that will be held by the selling security holders upon
termination of any such sales.
Furthermore, the selling security holders identified in the table set
forth in the prospectus under the caption Selling Security Holders may have
sold, transferred or otherwise disposed of all or a portion of their Series C
convertible preferred stock or Class A common stock since the date on which they
provided us with information regarding their Series C convertible preferred
stock or Class A common stock, and we have not made any independent inquiries as
to the foregoing.
Unless otherwise noted, all information provided in this prospectus
supplement is as of April 13, 2000.
