NEWSReport No. IN 98-8                      INTERNATIONAL ACTION            March 2, 1998
          TRANSFER OF ORION NETWORK SYSTEMS TO LORAL SPACE AND
                         COMMUNICATIONS APPROVED

     The FCC's International Bureau has granted the applications of Loral Space &
Communications Ltd. and Orion Network Systems, Inc. to transfer control of Orion to Loral
Ltd.  This will allow Loral, which serves primarily the domestic telecommunications market,
and Orion, which serves primarily the international telecommunications market, to compete
more effectively in the global telecommunications market.  This should, in turn, result in
wider service offerings and lower prices for consumers.  

     Loral Ltd. has a broad range of satellite interests.  It holds authorizations for two
hybrid C and Ku-band satellites and three fixed-satellite service Ka-band satellites.  One of
its subsidiaries, Loral Skynet, operates the Telstar fleet of fixed-satellite service satellites. 
Loral Ltd. provides primarily domestic service from its in-orbit fixed-satellites.  Loral Ltd.
also has interests in the Globalstar "Big LEO" mobile satellite service  system and in R/L
DBS Company L.L.C., a direct broadcast satellite operator.  In addition, Loral Ltd. owns
one-hundred percent of Space System/Loral, Inc. a leading manufacturer of satellites.  Loral
Ltd. and its affiliates also have several satellite applications pending for 2 GHz, 40 GHz and
"extended Ku-band" satellite systems.  Orion holds authorizations for space stations and
associated earth station facilities providing fixed-satellite service in the international
telecommunications market. 

     The Bureau found that the merger raises no risks of harm to competition in the
domestic or international markets.  The Bureau further found that by creating a global
satellite network capable of providing worldwide integrated satellite communication services,
the merger would promote more effective competition in the global telecommunication
market and result in wider service offerings and lower prices for consumers.  Accordingly,
the Bureau found the merger will service the public interest.

     Action by the Chief, International Bureau by Order and Authorization (DA 98- 409).  
 
                                  - FCC -

     News Media contact:  Rosemary Kimball at (202) 418-0500.
     International Bureau contact:  Karl Kensinger at (202) 418-0773.