Loral Space & Communications has agreed to sell its satellite manufacturing business to rival MacDonald, Dettwiler and Associates. The latter will pay USD 774 million for Space Systems/Loral (SS/L), plus USD 101 million for real estate associated with the business. Loral will also receive cash dividends and other payments from SS/L of USD 112 million plus an incremental USD 5.8 million per month from March to closing of the transaction. Loral agreed to retain principal responsibility for the ViaSat litigation. The sale is expected to close later this year, pending regulatory clearance. Loral said it will look at returning the proceeds of the sale to shareholders.
