Global satellite operator Intelsat Voluntarily filed under Chapter 11 Bankruptcy Protection, the company announced late on Wednesday. Intelsat tried position it as a positive moment he sees that he is embarking on a “financial restructuring” project to ensure its future growth, but a bankruptcy statement is rarely a cause for celebration.
The company cites the need for FCC to participate in the calculation of the C-band spectrum for the 5G network created in the USA as one of the factors underlying its registration decisions, as well as in “managing the economic downturn affecting some of its markets caused by COVID-19 global health crisis. ”
Intelsat notes that its current plan does not include any changes to the day-to-day operations of the company or any reduction in the number of employees. The company also said that it received $ 1 billion. USA in the form of the promised new funding, which will be provided in the form of debtor funds, subject to approval by the court. It simply describes any company that plans to continue its business and also goes through bankruptcy proceedings in accordance with Chapter 11.
The company also states that it will continue to launch new satellites, build its terrestrial network and add new services as the process progresses, and that its goal is to undergo a restructuring “as quickly as possible”. The satellite operator refers to GM and American Airlines as models that show their purpose when applying, also having carried out a similar restructuring in the past and appeared with greater financial viability.
The Intelsat bankruptcy petition is not the first noteworthy space company. Pandemic Filing: A Future Global Satellite Internet Provider OneWeb defended Chapter 11 in March,