Proceedings of the Workshop - United Nations Office for Outer ...

More documents

Recommendations

Info

144 THE ROLE OF INTERNATIONAL ORGANIZATIONS IN PRIVATIZATIONAND COMMERCIAL USE OF OUTER SPACE• INTELSAT is committed to transforming fromcooperative to private company as necessary forsurvival• First step in INTELSAT restructuring occurredin April 1998 at the Assembly of Parties inBrazil• Created spin-off company New Skies SatellitesN.V. (NSS)• Parties asked for INTELSAT to change• INTELSAT’s Shareholders in April 1999 calledfor further rapid changes to improvecompetitive position• Overwhelmingly endorsed study of privatizationplans• Clear mandate to protect Lifeline ConnectivitiesINTELSAT Privatization: Goals• Continue to fulfill Lifeline ConnectivityObligation (LCO)• Maximize value to customers and shareholders• Offer enhanced services and attractiveterms and conditions• Attract outside investment to expand currentmarkets and enter new growth markets• Improve INTELSAT’s competitive position• Preserve INTELSAT assets in single entity• Same market access as other commercialcompetitorsMarch 1999: The Board Evaluated FourOptions for CommercializationOption 1 Maintain structure, with “liberalinterpretation”Option 2 Maintain structure, amend key provisionsOption 3 Create private INTELSAT with residualIGO to ensure Lifeline ConnectivityObligation (LCO)Option 4 Fully commercial INTELSAT with LCOpreserved in Corporate Commitments.Nine Core Principles• Competitive and Commercially Viable• No Division of Assets• Protect the LCO• Ability to Expand Service Offering• Maximize Customers and Shareholders Value• Ability to Serve Domestic and InternationalMarkets• Adhere to Fair Competition Principles andPractices• Provide Distribution Opportunity for Investors• Ability to Pursue Rand DEleven Business Evaluation Factors• ITU Orbital Registrations• Protection of the LCO• Corporate Governance• Ground Segment Investments• Financing Future Investments• System Access and Distribution Channels• Transfer of Signatory Contracts andObligations• Capital Structure/Liability Limits• Jurisdiction• Landing RightsImpact on Cash Flows and DividendsFive Privatization Models Analyzed byJune 1999 BoardPure Corporate Model (“Model A”)• Full commercial powers• Governance board with fiduciary duty to NewINTELSAT elected by all shareholdersModified Corporate Model (“Model B”)• Full commercial powers
THE ROLE OF INTERNATIONAL ORGANIZATIONS IN PRIVATIZATION 145AND COMMERCIAL USE OF OUTER SPACE• Governance board with some membersrepresenting specific interests but still owingduty to New INTELSAT and all shareholdersSpecial Purpose Corporation (“Model C”)• Full commercial powers• Governance board owing duty to both NewINTELSAT and to specific constituencieswhich directors representCable Consortium Model (“Model D”)• All capacity pre-sold to owners• No growthModified Cable Consortium Model (“ModelE")• INTELSAT today without privileges andimmunitiesJune ‘99 Board’s Conclusion of FiveModel AnalysisConcluded that further analysis must be done onModel B (“Modified Corporation”), andpossibly on Model A (“Pure Corporation”)• Instructed INTELSAT Management to focus onCorporate “New INTELSAT” by developing adetailed business plan of New INTELSAT forthe September ‘99 Board• Developed guiding principles for protection ofcountries which rely on INTELSAT as theirsole communications lifeline to the rest of theworld• Requested a draft transition plan forprivatization for September Board meeting• Requested additional work on issues includinggovernance of New INTELSAT, the LCO, therole of any remaining IGO, and the appropriatejurisdiction of New INTELSAT• Formed a “Special Committee onRestructuring” of the Board to work withINTELSAT Management on these issues• Made recommendations for adoption by theupcoming Assembly of Parties in October 1999including:• Recognition of the importance ofcontinuity of service and that aprecondition to privatization is theacquisition of landing rights for NewINTELSAT in a significant number ofcountries• Grant New INTELSAT landing rights forall existing and planned services• Recognize the importance of Signatoriesand Parties not foreclosing, or seeking toforeclose, landing rights to NewINTELSAT’s competitorsIn ConclusionPrivatization: Seamless TransitionIn the areas of Governance:• Governance structure for a privatizedINTELSAT must include a voice for smallerownersContinuity of Service:• Sales and marketing, operational and technicalresources would continue to be in place withprivatization of INTELSATLanding Rights:• When single privatization option selected, IMcan begin process of ensuring landing rightsare in placeEnforcement of LCO Protections• Upon its inception, New INTELSAT willhonor all existing commitments• LCO qualifying countries have the addedoption of accepting the LCO arrangements• LCO arrangements will be legally binding onNew INTELSAT• LCO obligations will be enshrined in thecharter documents of New INTELSAT
Page 3 and 4:
ST/SPACE/2Office for Outer Space Af
Page 5:
IntroductionThe Workshop on Space L
Page 11 and 12:
CONCLUSIONS AND PROPOSALS OF THEWOR
Page 13:
3between public and private law and
Page 16 and 17:
6provide for the application of int
Page 18 and 19:
8obstacles that impede ratification
Page 21 and 22:
SESSION ONEExisting United Nations
Page 23 and 24:
EXISTING UNITED NATIONS TREATIES: S
Page 25 and 26:
Page 27 and 28:
Page 29 and 30:
Page 31 and 32:
Page 33 and 34:
Page 35 and 36:
Page 37 and 38:
Page 39:
EXPANDING GLOBAL LAUNCH SERVICESSES
Page 42 and 43:
36 EXPANDING GLOBAL LAUNCH SERVICES
Page 44 and 45:
Page 46 and 47:
Page 48 and 49:
Page 50 and 51:
Page 52 and 53:
Page 54 and 55:
48low earth orbit. This commercial
Page 56 and 57:
Page 58 and 59:
Page 60 and 61:
Page 62 and 63:
Page 64 and 65:
Page 67:
EXPANDING GLOBAL COMMUNICATIONS SER
Page 70 and 71:
64 EXPANDING GLOBAL COMMUNICATIONS
Page 72 and 73:
Page 74 and 75:
Page 76 and 77:
Page 78 and 79:
Page 80 and 81:
Page 82 and 83:
Page 84 and 85:
Page 86 and 87:
Page 88 and 89:
Page 90 and 91:
Page 92 and 93:
Page 94 and 95:
Page 96 and 97:
EXPANDING GLOBAL COMMUNICATIONS SER
Page 98 and 99:
Page 100 and 101: A resource management/administratio
Page 103 and 104: SESSION FOURExpanding Global Remote
Page 105 and 106: EXPANDING GLOBAL REMOTE SENSING SER
Page 135: THE ROLES OF INTERNATIONAL ORGANIZA
Page 138 and 139: 132 THE ROLE OF INTERNATIONAL ORGAN
Page 161 and 162: SESSION SIXExpanding Global Navigat
Page 163 and 164: EXPANDING GLOBAL NAVIGATION SERVICE
Page 185: POSSIBLE INTERNATIONAL REGULATORYFR
Page 188 and 189: 182 POSSIBLE INTERNATIONAL REGULATO
Page 200 and 201:
POSSIBLE INTERNATIONAL REGULATORY F
Page 203 and 204:
SESSION EIGHTMaintaining the Space
Page 205 and 206:
MAINTAINING THE SPACE ENVIRONMENT 1
Page 207 and 208:
Page 209 and 210:
Page 211 and 212:
Page 213 and 214:
Page 215 and 216:
Page 217 and 218:
Page 219 and 220:
Page 221 and 222:
Page 223:
Page 226 and 227:
220Session 3: Wednesday. 21 July. 1
Page 229 and 230:
223Annex IITHIRD UNITED NATIONS CON
Page 231 and 232:
225No Name Address E-Mail27. Ersfel
Page 233 and 234:
227No Name Address E-Mail57. Koloso
Page 235 and 236:
229No Name Address E-Mail86. Noack,
Page 237 and 238:
231No Name Address E-Mail117. Steph
show all

Proceedings of the Workshop - United Nations Office for Outer ...

You also want an ePaper? Increase the reach of your titles

Delete template?

Save as template?