BEDMINSTER, NJ - October 19, 2004 - Loral Skynet and Remote Work Central, a provider of telecommuting and teleworking solutions worldwide, today announced an agreement that will provide secure telecommuting and remote access connectivity services to small and medium enterprises, including SOHOs (small and home offices), government and non-government organizations (NGO), using Loral Skynet's SkyReach i200 IP-based service.

With SkyReach, Remote Work Central will offer its customers Internet and email access, and file transfer applications. Using VSAT (very small aperature terminal) satellite technology and Loral's satellite fleet, SkyReach offers two-way Internet connectivity at speeds of 2 Mbps on the forward link and 512 Kbps on the return link. Remote Work Central end-users will have access to a selection of on-site equipment and various bandwidth options to meet specific networking needs.

"The ability of SkyReach to offer high-quality performance with fast upload and download speeds, together with Skynet's 40 years of experience delivering communications services made SkyReach an easy decision to make," said John Willis, chief executive officer of Remote Work Central.

Remote Work Central will initially install 50 sites throughout North America, Latin America and the Caribbean.

"Using state-of-the-art IP technology, SkyReach allows organizations to create an instant network that can connect multiple sites, regardless of geographic location," said Patrick Brant, president, Loral Skynet. "We are happy to be working with Remote Work Central and look forward to implementing the SkyReach solution for its users around the world."

SkyReach is Skynet's two-way broadband IP-based communications service that uses VSAT technology to deliver the full range of IP applications, including: Internet access, Voice over IP (VoIP), streamed media, file transfers (FTP), Virtual Private Networks (VPN) and LAN connectivity. SkyReach offers services that complement existing frame relay and multi-protocol label switching (MPLS) networks, as well as enabling efficient network management.

Remote Work Central is a full service telework solutions provider, enabling people to work anywhere in the world while enjoying full computing functionality, by providing secure and reliable voice, fax, data and video communications, and telework environments regardless of location, whether fixed, transportable, portable or mobile-on land or water. Remote Work Central provides technical consulting and systems integration, secure enterprise and carrier grade fixed, mobile and flyaway satellite communications solutions, connectivity solutions for laptops, wireless engineering services, specialty vehicle manufacturing communications solutions, global mobile and portable communications, and shipboard marine-stabilized antenna broadband solutions. For more information, please visit www.remoteworkcentral.com.

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, in combination with its 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 the Loral Skynet web site at www.loralskynet.com.

In addition to being the parent company of Loral Skynet, Loral Space & Communications (OTCBB: LRLSQ) 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 the company with the Securities and Exchange Commission, press releases or oral statements made with the approval of an authorized executive officer of the company. 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 the company's annual report on Form 10-K for the fiscal year ended December 31, 2003, entitled "Commitments and Contingencies," and the company's other filings with the Securities and Exchange Commission. The reader is specifically referred to these documents.