3200 Zanker Road
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Tel: (408) 933-4434
Fax: (408) 933-4100
E-mail: john.cunningham@globalstar.com
| News For Immediate Release |
| Contact: Jeanette Clonan (212) 338-5658 |
Globalstar To Sell $325,000,000 of
10-3/4% Senior Notes in a Rule 144a Offering
Offering Completes Expected Financing Requirements for Globalstar System
NEW YORK, October 23, 1997 — Globalstar, L.P. announced today that it has entered into an agreement to sell $325,000,000 of 10-3/4% senior notes due 2004 in an offering exempt from registration.
The net proceeds of the offering will be used for the continued construction and deployment of Globalstar's worldwide low-earth-orbit satellite-based digital telecommunications system, scheduled for service initiation in late 1998. With the completion of this offering, Globalstar has raised a total of $2.6 billion, which represents 100 percent of Globalstar's expected financing requirement for completion of the Globalstar system and commencement of worldwide operations.
The notes have not been registered under the Securities Act of 1933 and may not be bought or sold in the United States absent registration or an applicable exemption from the registration requirements of the Securities Act and applicable state securities laws.
The common stock of Globalstar Telecommunications Limited, a Bermuda company, is listed on the NASDAQ National Market under the symbol "GSTRF."
