Telesat Announces Redemption of 12.5% Senior Subordinated Notes
OTTAWA, March 28, 2013 (GLOBE NEWSWIRE) -- Telesat Holdings Inc. ("Telesat")
today announced that its wholly-owned subsidiaries, Telesat Canada and Telesat
LLC (the "Co-Issuers"), have notified the trustee under the indenture dated as
of June 30, 2008 (the "Senior Subordinated Indenture") of their election to
redeem any and all of the 12.5% senior subordinated notes due 2017 (the
"Senior Subordinated Notes") outstanding thereunder as of May 1, 2013 (the
"Redemption Date"). The notice specifies that the redemption price will be
equal to 106.25% of the principal amount of the Senior Subordinated Notes
outstanding on the Redemption Date.
As of March 28, 2013, the outstanding principal amount of the Senior
Subordinated Notes is approximately US$217 million.The Co-Issuers expect to
deposit cash with the trustee in an amount sufficient to redeem the
outstanding Senior Subordinated Notes on the Redemption Date prior to the date
thereof.The Co-Issuers intend to pay the installment of interest on the
Senior Subordinated Notes that is due to be paid on the Redemption Date in the
usual manner to holders of such notes registered at the close of business on
the relevant record date.
Forward-Looking Statements Safe Harbor
This news release contains statements that are not based on historical fact
and are "forward-looking statements" within the meaning of the Private
Securities Litigation Reform Act of 1995. When used in this news release, the
words "will", "expect", "intend" or other variations of these words or other
similar expressions are intended to identify forward-looking statements and
information. Actual results may differ materially from the expectations
expressed or implied in the forward-looking statements as a result of known
and unknown risks and uncertainties. Detailed information about some of
Telesat's known risks and uncertainties is included in the "Risk Factors"
section of Telesat's Annual Report for the fiscal year ended December 31,
2012, initially filed with the United States Securities and Exchange
Commission (the "SEC") on February 21, 2013 and amended on February 26, 2013.
These filings can be obtained on the SEC's website at http://www.sec.gov.
Known risks and uncertainties include but are not limited to: risks associated
with operating satellites and providing satellite services, including
satellite construction or launch delays, launch failures, in-orbit failures or
impaired satellite performance, volatility in exchange rates and risks
associated with domestic and foreign government regulation. The foregoing list
of important factors is not exhaustive.The information contained in this news
release reflects Telesat's beliefs, assumptions, intentions, plans and
expectations as of the date of this news release. Except as required by law,
Telesat disclaims any obligation or undertaking to update or revise the
About Telesat (www.telesat.com)
Telesat is a leading global fixed satellite services operator providing
reliable and secure satellite-delivered communications solutions worldwide to
broadcast, telecom, corporate and government customers. Headquartered in
Ottawa, Canada, with offices and facilities around the world, Telesat's
state-of-the-art fleet consists of 13 satellites and the Canadian payload on
ViaSat-1, plus one satellite awaiting launch. Telesat also manages the
operations of additional satellites for third parties.Privately held,
Telesat's principal shareholders are Canada's Public Sector Pension Investment
Board and Loral Space & Communications Inc. (Nasdaq:LORL).
CONTACT: Michael Bolitho, Telesat, +1 (613) 748-8700 ext. 2336
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