Space Systems/Loral-Built DIRECTV 8 Satellite Succesfully Launched

PALO ALTO — May 23, 2005 — DIRECTV 8, a high-power direct broadcast satellite (DBS) built for The DIRECTV Group, Inc., El Segundo, Calif. by Space Systems/Loral (SS/L), was successfully launched yesterday at 10:59 am PDT. The satellite was sent into space from the Baikonur Cosmodrome in Kazakhstan aboard a Proton M/Breeze M launch vehicle provided by International Launch Services (ILS).

"Loral is proud to provide its fourth DIRECTV satellite designed to deliver expanded services to DIRECTV’s growing customer base,” said Bernard L. Schwartz, chairman and CEO, Loral Space & Communications. “SS/L’s unique ability to offer the most advanced and reliable satellites, using innovative technologies, has won the confidence of operators like DIRECTV. This state-of-the-art satellite was completed a full two months ahead of schedule, an accomplishment rarely seen in the satellite industry, and we look forward to continuing our strong relationship with DIRECTV as we prepare to deliver DIRECTV 9S later this year for launch in 2006."

From its orbital slot at 101 degrees West longitude, the hybrid Ku/Ka-band DIRECTV 8 satellite is designed to maintain high quality, high-power DBS service to existing DIRECTV customers. The satellite will provide selectable medium- and high-power Ku-band broadcast services to the U.S. on up to 16 high-power transponders, optimized to support the current and next generation higher coding rate services that DIRECTV provides.

The Ka-band payload will use the full 1,000 MHz of Ka-band communications bandwidth available to link DIRECTV facilities as part of DIRECTV’s dramatic infrastructure development for the upcoming launch of local digital and high-definition services in the Ka-band.

DIRECTV 8 is designed to provide over 8,200 watts of DC power at the end of its 12-year mission life. The satellite is based on SS/L’s space-proven 1300 platform, which has an excellent record of reliable operation. Its high efficiency solar arrays and lightweight batteries are designed to provide uninterrupted electrical power. In all, SS/L satellites have amassed nearly 1,200 years of reliable on-orbit service.

DIRECTV is the nation’s leading and fastest-growing digital multichannel television service provider with more than 14.4 million customers. DIRECTV and the Cyclone Design logo are registered trademarks of DIRECTV, Inc. DIRECTV (NYSE: DTV) is a world-leading provider of digital multichannel television entertainment services and is approximately 34 percent owned by News Corporation. For more information, visit www.directv.com.

Space Systems/Loral, a subsidiary of Loral Space & Communications (OTCBB: LRLSQ), is a premier designer, manufacturer, and integrator of powerful satellites and satellite systems. SS/L also provides a range of related services that include mission control operations and procurement of launch services. Based in Palo Alto, Calif., the company has an international base of commercial and governmental customers whose applications include broadband digital communications, direct-to-home broadcast, defense communications, environmental monitoring, and air traffic control. SS/L satellites have amassed more than 1,100 years of reliable on-orbit service. SS/L is ISO 9001:2000 certified. For more information, visit www.ssloral.com.

Loral Space & Communications is a satellite communications company. In addition to Space Systems/Loral, through its Skynet subsidiary Loral owns and operates a fleet of telecommunications satellites used to broadcast video entertainment programming, and for broadband data transmission, Internet services and other value-added communications services. For more information, visit Loral's web site at www.loral.com.

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This document contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. In addition, Loral Space & Communications Ltd. or its representatives have made or may make forward-looking statements, orally or in writing, which may be included in, but are not limited to, various filings made by the company with the Securities and Exchange Commission, press releases or oral statements made with the approval of an authorized executive officer of the company. Actual results could differ materially from those projected or suggested in any forward-looking statements as a result of a wide variety of factors and conditions. These factors include those related to the filing, on July 15, 2003 by Loral and certain of its subsidiaries, of voluntary petitions for reorganization under chapter 11 of title 11 of the United States Code in the United States District Court for the Southern District of New York and parallel insolvency proceedings in the Supreme Court of Bermuda in which certain partners of KPMG were appointed as joint provisional liquidators. Additional factors and conditions are also described in the section of the company's annual report on Form 10-K for the fiscal year ended December 31, 2004, entitled "Commitments and Contingencies," and the company's other filings with the Securities and Exchange Commission. The reader is specifically referred to these documents.