BEDMINSTER, NJ - March 1, 2004 - Loral Skynet today announced the availability of occasional use services on its far-reaching Telstar 10 satellite, covering Asia, Australia, parts of Europe and Africa in C-band, and Korea, Taiwan, Macau and China, including Hong Kong, in Ku-band. Loral Skynet is a subsidiary of Loral Space & Communications (OTCBB: LRLSQ).

Loral Skynet's occasional-use service allows its customers to lease fractional transponders on a part-time basis. Offered in 5-minute increments, this service offers a cost-efficient platform for delivering breaking news stories, planned events, or regularly scheduled recurring feeds. Loral Skynet will initially offer satellite capacity on Telstar 10, and expand the service to the new Telstar 18 satellite when it enters service over Asia, presently planned for the second quarter of 2004. Ascent Media Pte. Ltd, through its Singapore facility, will provide satellite booking and access management services, enabling Skynet's customers to package terrestrial services with Telstar satellite capacity. Skynet's occasional use services in Asia will initially be available in C-band, expanding to Ku-band later this year.

"Loral Skynet has successfully offered occasional-use services in North America and Europe for years and we're happy to now bring this service to Asia," said Terry Hart, president, Loral Skynet. "Part-time offerings enable many value-added end-to-end services including videoconferencing, business television, pre- and post-production feeds, broadcast distribution of sports, educational, ethnic and niche programming, special events, Internet and ad delivery."

"We are pleased to work with Loral Skynet," added Jeff Casey, vice president, sales and marketing, Ascent Media. "Our own well-founded depth of knowledge about the Asian market complements the broad coverage offered now by Telstar 10 and soon by Telstar 18. Working together with the Loral Skynet team, our focus will be on customer service, responsiveness, and superior technical support to the region's occasional use market."

In addition to the occasional-use services in Asia on Telstar 10, Loral Skynet provides occasional-use service on Telstar 11 and Telstar 12 in Europe, the Middle East and Africa.

Telstar 10, located at 76.5 degrees East longitude, is equipped with 27 C-band and 24 Ku-band transponders (36 MHz equivalents). The C-band payload provides coverage of Asia, Australia, parts of Europe and Africa. The Ku-band payload covers Korea, Taiwan, Macau and China, including Hong Kong. Telstar 10, which hosts one of the most extensive cable neighborhoods in Asia, distributes cable TV programming, direct-to-home services, telecommunications, as well as Internet and VSAT (very small aperture terminal) services.

Telstar 18 will be located at 138 degrees East longitude. The satellite is equipped with 19 C-band transponders at 36 MHz and 8 Ku-band transponders at 54 MHz. The C-band covers Asia, Australia, New Zealand, the Pacific islands and Hawaii and the Ku-Band reaches China, India, Taiwan, Hong Kong and Korea. Its main markets will be cable programming, direct-to-home broadcasting, Internet and VSAT services within Asia while providing an inter-connect to the US.

Ascent Media Network Services specializes in video distribution and post-production services, with facilities in Los Angeles, CA; New York; NY; Stamford, CT; Minneapolis, MN; London, and Singapore. Channel origination, master control, creative services and transmission are among the many offerings utilized by the major broadcast and cable networks as well as other content providers. In addition, the group provides a full array of engineering and technical services for broadcast, cable, satellite, and corporate clients.

Ascent Media Group is a provider of services to the media entertainment industry, offering clients effective solutions for the creation, management and distribution of content through more than 70 facilities worldwide. A wholly owned subsidiary of Liberty Media Corporation (NYSE: L, LMC.B), Ascent Media Group (www.ascentmedia.com) is headquartered in Santa Monica, CA.

A pioneer in the satellite industry, Loral Skynet continues to deliver the superior service quality and range of satellite solutions that have made it an industry leader for more than 40 years. Through the broad coverage of the Telstar satellite fleet, and in combination with its established hybrid VSAT/fiber global network infrastructure, Skynet is a source for all broadcast, data network, Internet access, IP and systems integration needs. Headquartered in Bedminster, New Jersey, Loral Skynet is dedicated to providing secure, high-quality connectivity and communications. For more information, visit www.loralskynet.com.

In addition to being the parent company of Loral Skynet, Loral Space & Communications is a world-class leader in the design and manufacture of satellites and satellite systems for commercial and government applications through its Space Systems/Loral subsidiary.

This document contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. In addition, Loral Space & Communications Ltd. or its representatives have made or may make forward-looking statements, orally or in writing, which may be included in, but are not limited to, various filings made by Loral with the Securities and Exchange Commission, press releases or oral statements made with the approval of an authorized executive officer of Loral. Actual results could differ materially from those projected or suggested in any forward-looking statements as a result of a wide variety of factors and conditions. These factors include those related to the filing, on July 15, 2003 by Loral and certain of its subsidiaries, of voluntary petitions for reorganization under Chapter 11 of Title 11 of the United States Code in the United States District Court for the Southern District of New York and parallel insolvency proceedings in the Supreme Court of Bermuda in which certain partners of KPMG were appointed as joint provisional liquidators. Additional factors and conditions are also described in the section of Loral's annual report on Form 10-K for the fiscal year ended December 31, 2002, entitled "Certain Factors That May Affect Future Results," and Loral's other filings with the Securities and Exchange Commission. The reader is specifically referred to these documents.