Globalstar Closes Agreement to Purchase Brazilian Service Provider

Registration Statement for the Shares of Stock Issued as Consideration in the Transaction Declared Effective by the SEC

MILPITAS, Calif. - Globalstar, Inc., announced that it has closed the transaction with Loral Space & Communications Inc. and various affiliated entities to purchase the Brazilian Globalstar independent gateway operator, which owns and operates three satellite gateway ground stations in Brazil. The closing had been contingent on a registration statement for the shares of stock issued as consideration in the transaction being declared effective by the United States Securities and Exchange Commission.

Earlier this year Globalstar received the necessary Agencia Nacional de Telecomunicacoes (ANATEL) regulatory approval. The acquisition paves the way for Globalstar to immediately expand its Simplex data coverage in South America and engage in discussions with potential partners to provide ancillary terrestrial component or ATC-type services in Brazil.

Globalstar will immediately begin managing the Brazilian business and the three gateways located in Brazil. Globalstar has begun installing Simplex data hardware at the gateway located in Petrolina, Brazil. The hardware will permit Globalstar to expand its Simplex data coverage throughout Brazil, into parts of Northeastern Argentina and the nearby Atlantic coastal maritime region. With this expansion Globalstar will be able to offer its customers seamless simplex data coverage in North and South America, stretching from Alaska south to Argentina.