Intelsat Announces Pricing of Senior Notes

21 May 2013

Intelsat S.A. announced that its subsidiary, Intelsat Jackson Holdings S.A. (“Intelsat Jackson”), priced $2,000,000,000 aggregate principal amount of 5 1/2% senior notes due 2023 (the “2023 notes”) at an offering price of 100% and $635,000,000 aggregate principal amount of 6 5/8% senior notes due 2022 (the “2022 notes” and collectively with the 2023 notes, the “notes”) at an offering price of 106.25%. The 2022 notes will provide an effective yield of 5.76%.

The notes offering is expected to close on June 5, 2013, subject to certain conditions.

The 2023 notes will be guaranteed by certain of Intelsat Jackson’s parent companies and subsidiaries.

The 2022 notes will be issued under the same indenture as Intelsat Jackson’s existing 6 5/8% Senior Notes due 2022. Intelsat Jackson’s obligations under the 2022 notes will be guaranteed by certain of its parent companies. The 2022 notes will not be guaranteed by Intelsat Jackson’s subsidiaries.

The net proceeds from the sale of the 2023 notes are expected to be used by Intelsat Jackson to repay all amounts outstanding (approximately $868 million principal amount) under its two senior unsecured credit agreements.

In addition, Intelsat Jackson expects to use the net proceeds from the sale of the notes, together with other available cash, to make a dividend to Intelsat (Luxembourg) S.A., which will use such funds to redeem all of its 11 1/4% Senior Notes due 2017 in its previously announced redemption on June 12, 2013. The remaining net proceeds are expected to be used to pay related fees and expenses and for general corporate purposes.