As previously disclosed, Loral Space & Communications, Inc. is restructuring its corporate office as a result of the sale of its former wholly owned subsidiary, Space Systems/Loral, LLC. In connection with the corporate office restructuring, on December 13, 2012, the Board of Directors of the company approved the termination of the employment of Michael B. Targoff as Chief Executive Officer and President effective as of December 14, 2012. Following Mr. Targoffs termination of employment, he will be engaged by the company as a part-time consultant to the Board to assist the Board with respect to strategic matters relating to Telesat and Xtar and oversight of the ViaSat lawsuit.

Also, in connection with the corporate office restructuring, on December 13, 2012, the Board approved the termination of the employment of Richard P. Mastoloni as Senior Vice President, Finance and Treasurer effective as of December 14, 2012. Following Mr. Mastolonis termination of employment, he will be engaged by the company as a part-time consultant to the Board to assist in the transition of treasury functions and for other assignments on an as-needed basis.