Globalstar, Inc. Announces Annual and Fourth Quarter Results for 2007

Key 2007 annual highlights included;

* Launch of eight satellites
* Acceleration of second-generation satellite deliveries
* Commitments to construct gateways in Asia and Africa
* Finalization of contract to launch second-generation satellites beginning next year
* Introduction of the SPOT Satellite Messenger
* Signing of ATC implementation agreement with Open Range Communications
* Continued subscriber growth

MILPITAS, Calif., - Globalstar, Inc. a leading provider of mobile satellite voice and data services to businesses, government and individuals, announced its financial and operational results for the three and twelve month periods ended December 31, 2007.

2007 Major Operational Company Highlights:

* In April the Company signed an agreement with Thales Alenia Space (formerly Alcatel Alenia Space) to provide upgrades to the Globalstar satellite control network facilities, which are required to support the 15-year planned mission duration of the Globalstar second-generation satellite constellation.

* Globalstar launched a total of eight spare satellites during the year to enhance service quality for voice and duplex data customers. These satellites will also be integrated into the second-generation constellation scheduled for launch beginning in the second half of 2009.

* In May Globalstar entered into an agreement with Singapore Telecommunications Limited to construct a gateway and expand Globalstar's satellite coverage throughout parts of Southeast Asia. Construction of the Singapore Gateway began in October 2007.

* During the summer Globalstar expanded its satellite Simplex data coverage to include all of Australia, New Zealand and the surrounding maritime region.

* In September Globalstar signed a launch agreement with Arianespace for the launch of Globalstar's second-generation satellite constellation beginning in the second half of 2009.

* In September Globalstar signed an agreement with Radyne Corporation business unit AeroAstro, to purchase Appliques to further expand Globalstar's Simplex data geographic coverage in Asia and Latin America.

* In October Globalstar entered into an agreement with Open Range Communications, Inc. permitting Open Range to deploy service in rural markets under Globalstar's Ancillary Terrestrial Component (ATC) authority. The agreement is contingent on various conditions, including Globalstar's receipt of final authority from the Federal Communications Commission (FCC) to use an expanded portion of its licensed spectrum for ATC and Open Range's securing financing for its system.

* In early November the FCC released a Notice of Proposed Rule Making proposing to expand Globalstar's authorized spectrum for ATC services in the United States from the current 11 MHz to as much as 19.275 MHz.

* In November Globalstar's subsidiary SPOT Inc. announced the availability of the SPOT Satellite Messenger(tm), a revolutionary and affordable satellite consumer product designed to address the safety concerns of people around the world. SPOT messaging and tracking functions enable users to send messages to friends, family or emergency responders, and enabling the subscriber and his or her designated friends, family and employer to track the location of the SPOT Satellite Messenger on Google Maps(tm).

* In December Globalstar signed an agreement with Globaltouch West Africa Limited for Globaltouch to offer Globalstar satellite voice and data services in Nigeria and parts of Western Africa and for Globalstar to purchase a minority investment in Globaltouch. A new satellite gateway ground station will be located in Kaduna, Nigeria and will be owned and operated by Globaltouch.

* In December Thermo Funding Company LLC and Globalstar entered into an amended and restated credit agreement, pursuant to which Globalstar may borrow up to $150 million of which $50 million was drawn at year end and the balance was borrowed in January and February of 2008.

"In 2007 we continued to demonstrate customer growth by adding over 21,300 new subscribers throughout the year, thus remaining the largest North American-based MSS provider," said Jay Monroe, Chairman and CEO of Globalstar, Inc. Mr. Monroe added, "Signing the contract for next year's scheduled launches of our initial second-generation satellites takes us another step closer to offering our customers advanced Globalstar products and services while planning the future of our long-term space segment through to at least 2025."

Mr. Monroe continued, "As we predicted, 2007 saw a number of major Simplex data integrator product announcements, including the introduction of the SPOT Satellite Messenger. We were overwhelmed by the way the outdoor recreational and general media have received the unveiling of this award-winning, revolutionary and affordable satellite consumer personal location and messaging device, and we anticipate further integrated Simplex products to be introduced in the future."

Service Revenue for the fourth quarter of 2007 was $19.6 million compared to $22.2 million during the same period of 2006. During the fourth quarter of 2007, Globalstar recorded an operating loss of $7.8 million and Adjusted EBITDA of $3.9 million, compared to operating income of $1.1 million and Adjusted EBITDA of $10.0 million during the same period in 2006. Net loss for the fourth quarter of 2007 was $16.3 million, compared to a net loss of $0.7 million in the same period of 2006. The larger loss in the fourth quarter of 2007 was due primarily to non-cash charges of approximately $8.1 million related to the assumption of our credit facility by Thermo Funding, a non-cash stock compensation expense of $4.2 million, and a non-cash impairment charge related to certain first-generation inventory of approximately $1.9 million. Revenue was impacted by lower retail ARPU (average revenue per unit) related to the introduction of new lower priced airtime rate plans designed to retain customers and issues relating to the performance of our current satellite constellation for two-way communications services, and lower equipment sales. In addition, Globalstar also recorded an income tax expense of approximately $2.7 million. (For details concerning the calculation of Adjusted EBITDA, please see the chart titled "Definition of Terms and Reconciliation of Non-GAAP Financial Measures" found later in this release.)

Service Revenue for the year ended December 31, 2007 was $78.3 million compared to $92.0 million during 2006. During 2007 Globalstar recorded an operating loss of $24.6 million and Adjusted EBITDA of $21.8 million, compared to operating income of $15.7 million and Adjusted EBITDA of $33.8 million during 2006. Net loss in 2007 was $27.9 million compared to net income of $23.6 million in 2006. Results for the year ended December 31, 2007 included a $19.1 million non-cash asset impairment charge related to our first-generation inventory, a non-cash stock compensation expense of approximately $9.6 million, a non-cash charge of $8.1 million related to the assumption of our credit facility by Thermo Funding and lower ARPU previously mentioned. In addition, in 2006, we recognized a $14.1 million net deferred tax benefit.

Total revenue in the fourth quarter of 2007 was $23.7 million compared to $29.2 million during the same period in 2006. Total revenue in the year ended December 31, 2007 was $98.4 million compared to $136.7 million during 2006. Adjusted Revenue (adjusted for the Company's annual rate plans) in the fourth quarter was $24.4 million compared to $32.3 million during the same period in 2006. Total Adjusted Revenue (adjusted for the Company's annual rate plans) in the year ended December 31, 2007 was $102.2 million compared to $144.6 million during 2006. These decreases are attributable primarily to lower equipment sales and decreased ARPU in 2007 compared to 2006.