spacetoday.net: Loral reports first quarter loss

Posted: Fri, May 16, 2003, 12:33 AM ET (0433 GMT)
Loral Space and Communications, a satellite manufacturer and operator, reported an increased loss in its first quarter this week. The company had a net loss of $51.6 million in the quarter, compared to $31.8 million for the same quarter of 2002 (excluding a one-time accounting charge in that quarter.) Despite the increased loss, company officials said they believe the company's finances were stabilizing, and noted the company still has over $100 million in cash on hand. The satellite manufacturing division, Space Systems/Loral, had no new commercial satellite orders in the quarter, but the company believes that it will win up to five such orders this year. Loral is also in the middle of litigation with French satellite manufacturer Alcatel after breaking up a partnership between the two. While Loral could, in the worst case scenario, have to pay Alcatel up to $350 million, Loral officials said they believe that is unlikely even if Loral loses the case.