August 28, 2016 8:28 AM ET

Diversified Telecommunication Services

Company Overview of Hughes Satellite Systems Corporation

Company Overview

Hughes Satellite Systems Corporation, together with its subsidiaries, provides satellite operations, video delivery solutions, and broadband satellite technologies and services for home and office, delivering network technologies, managed services, and solutions for enterprises and governments. It operates in two segments, Hughes and EchoStar Satellite Services. The Hughes segment offers satellite broadband Internet access to North American consumers; and broadband network services and equipment to the United States and international enterprise markets. This segment also provides managed services to large enterprises; and solutions to customers for mobile satellite systems. The EchoStar Sate...

100 Inverness Terrace East

Englewood, CO 80112

United States

Phone:

303-706-4000

Key Executives for Hughes Satellite Systems Corporation

Chief Executive Officer, President and Director
Age: 67
Chief Financial Officer, Principal Accounting Officer, Executive Vice President and Treasurer
Age: 59
Executive Vice President of Dish Network
Age: 52
Executive Vice President, General Counsel, Secretary and Director
Age: 49
Executive Vice President, General Counsel and Secretary of Echostar Satellite Services L.L.C.
Age: 48
Compensation as of Fiscal Year 2016.

Hughes Satellite Systems Corporation Key Developments

Hughes Satellite Systems Corporation Announces Issuance of $750 Million Aggregate Principal Amount of its 5.250% Senior Secured Notes Due 2026

On July 27, 2016, Hughes Satellite Systems Corporation (HSSC), a subsidiary of EchoStar Corporation, entered into an indenture (the Secured Indenture), among HSSC, the guarantors named on the signature pages thereto (the Guarantors), U.S. Bank National Association, as trustee (the Trustee) and Wells Fargo Bank, National Association, as collateral agent (the Collateral Agent), relating to HSSC's issuance of $750 million aggregate principal amount of its 5.250% Senior Secured Notes due 2026 (the Secured Notes) at an issue price of 100.0%. On the same date, HSSC also entered into an indenture (the Unsecured Indenture and, together with the Secured Indenture, the Indentures), among HSSC, the Guarantors and the Trustee, relating to HSSC's issuance of $750 million aggregate principal amount of its 6.625% Senior Notes due 2026 at an issue price of 100.0% (the Unsecured Notes and, together with the Secured Notes, the Notes). On July 27, 2016, HSSC issued $750 million aggregate principal amount of Secured Notes pursuant to the Secured Indenture at an issue price of 100.0% and $750 million aggregate principal amount of Unsecured Notes pursuant to the Unsecured Indenture at an issue price of 100.0%. HSSC placed the Notes in a private placement under Rule 144A and Regulation S under the Securities Act of 1933, as amended. The Secured Notes bear interest at a rate of 5.250% per annum and mature on August 1, 2026, and the Unsecured Notes bear interest at a rate of 6.625% per annum and mature on August 1, 2026. Interest on the Notes will be payable semi-annually on February 1 and August 1 of each year, starting on February 1, 2017, to the holders of record of such Notes at the close of business on January 15 or July 15, respectively, preceding such interest payment date. The Secured Notes are HSSC's secured senior obligations and, pursuant to the Security Agreement, dated as of June 8, 2011 and as supplemented (the Security Agreement), among HSSC, the Guarantors and the Collateral Agent (as further supplemented by the Additional Secured Party Joinder, dated as of July 27, 2016 (the Joinder), among the Trustee, the Collateral Agent and HSSC), are secured by security interests in substantially all existing and future tangible and intangible assets of HSSC and the Guarantors on a first priority basis, subject to certain exceptions, equally and ratably with the $990 million in aggregate principal amount outstanding of HSSC's 6 % Senior Secured Notes due 2019. The Unsecured Notes are HSSC's unsecured senior obligations and rank equally with all of HSSC's existing and future unsubordinated indebtedness and are effectively junior to any secured indebtedness up to the value of the assets securing such indebtedness. The guarantees in respect of the Secured Notes rank equally with all of the Guarantors' existing and future unsubordinated indebtedness and are effectively senior to such Guarantors' existing and future obligations to the extent of the value of the assets securing the Secured Notes.

Hughes Satellite Systems Corporation Places Offering of $1.5 Billion in Senior Notes

Hughes Satellite Systems Corporation placed an offering of $750 million aggregate principal amount of 5.250% Senior Secured Notes due 2026 at an issue price of 100.0% and $750 million aggregate principal amount of 6.625% Senior Notes due 2026 at an issue price of 100.0%. The net proceeds of the offering are intended to be used for capital expenditures, working capital and other general corporate purposes. The offering is expected to close on July 27, 2016, subject to customary conditions.

Hughes Satellite Systems Corporation Provides Earnings Guidance for the Second Quarter and Six Months Ended June 30, 2016

Hughes Satellite Systems Corporation provided earnings guidance for the second quarter and six months ended June 30, 2016. For the three months ended June 30, 2016, the company expects revenue to be in the range of approximately $432 million to $450 million and income before income taxes to be in the range of approximately $55 million to $61 million. For the three months ended June 30, 2016, the company expects EBITDA to be in the range of approximately $190 million to $200 million. Net interest expense to be in the range of $33,688 to $35,416, depreciation and amortization to be in the range of $101,199 to $103,411 and income before income taxes to be in the range of $55,454 to $61,292. For the six months ended June 30, 2016, the company expects revenue to be in the range of approximately $861 million to $879 million and income before income taxes to be in the range of approximately $110 million to $115 million. For the six months ended June 30, 2016 the company expects EBITDA to be in the range of approximately $382 million to $392 million. Net interest expense to be in the range of $69,805 to $71,533, depreciation and amortization to be in the range of $203,568 to $205,780 and income before income taxes to be in the range of $109,525 to $115,363.

Similar Private Companies By Industry

Company Name Region
1 Com, Inc. United States
1-800-RECONEX, Inc. United States
123.Net Inc. United States
1800Prepaid United States
1TDS.com, L.L.C. United States

Recent Private Companies Transactions

Type
Date
Target
No transactions available in the past 12 months.
 

The information and data displayed in this profile are created and managed by Capital IQ, a Standard & Poor's company. Bloomberg.com does not create or control the content. For inquiries, please contact Capital IQ directly by clicking here.

Stock Quotes

Market data is delayed at least 15 minutes.

Company Lookup

Most Searched Private Companies

Company Name Geographic Region
Lawyers Committee for Civil Rights Under Law United States
NYC2012, Inc. United States
Bertelsmann AG Europe
Rush University United States
The Advertising Council, Inc. United States

Sponsored Financial Commentaries

Sponsored Links

Request Profile Update

Only a company representative may request an update for the company profile. Documentation will be required.

To contact Hughes Satellite Systems Corporation, please visit --. Company data is provided by Capital IQ. Please use this form to report any data issues.

Please enter your information in the following field(s):
Update Needed*

All data changes require verification from public sources. Please include the correct value or values and a source where we can verify.

Your requested update has been submitted

Our data partners will research the update request and update the information on this page if necessary. Research and follow-up could take several weeks. If you have questions, you can contact them at bwwebmaster@businessweek.com.