FOR IMMEDIATE RELEASE:             News Media contact:
July 31, 2000                                                       Rosemary Kimball at (202) 418-0500

    COMMISSION AUTHORIZES LOCKHEED MARTIN TO TAKE CONTROL OF
                             COMSAT

     The Commission has authorized Comsat Corporation (Comsat) to assign its FCC
licenses and authorizations to Comsat Government Systems, LLC (CGS-LLC), a wholly
owned subsidiary of Lockheed Martin Corporation (Lockheed Martin).  This
authorization will permit the completion of the planned merger of Lockheed Martin and
Comsat. 

Lockheed Martin is a diversified enterprise principally engaged in the research,
design, development, manufacture and integration of advanced-technology systems,
products and services.  Comsat was authorized by the Communications Satellite Act of
1962 (Satellite Act), which called for the formation of a private, for-profit U.S.
communications satellite corporation (Comsat) that would participate in the planning,
construction, ownership, management and operation of an international
telecommunications system that later became known as INTELSAT. Comsat serves as
the U.S. Signatory to INTELSAT, and will continue in that capacity until INTELSAT's
expected privatization in 2001 at which point it will become a shareholder. 

Last September, the Commission authorized Lockheed Martin, through its wholly
owned subsidiary, Regulus, to acquire Comsat Government Services, Inc., a wholly
owned subsidiary of Comsat, and to purchase up to 49 percent of Comsat stock.  At
that time, Lockheed could not purchase more than 49 percent as the Satellite Act
prohibited greater than 50 percent aggregate common carrier ownership in Comsat. 

     On March 17, 2000, Congress enacted the "Open-Market Reorganization for the
Betterment of International Telecommunications Act" (the ORBIT Act).  The ORBIT Act
eliminated the ownership restrictions in the Satellite Act that prevented Lockheed
Martin from acquiring control of Comsat.

     The Commission found that Lockheed Martin's purchase of Comsat is in the
public interest.  In making this finding, the Commission determined that the merger
would not have any adverse impact on the current level of competition in any relevant
market relating to the provision of satellite services.  The Commission also found that
the acquisition of Comsat may have potential efficiencies that will allow the merged
company to compete more effectively in the global telecommunications marketplace. 
Based on the lack of potential competitive harm and beneficial efficiencies resulting
from the transfer, the Commission granted the request to allow Lockheed Martin to
acquire Comsat.  

     Action by the Commission July 27, 2000, by Order and Authorization (FCC 00-
277).  Chairman Kennard, Commissioners Ness, Powell and Tristani with
Commissioner Furchtgott-Roth concurring and issuing a statement.

                                                                  - FCC -
     

International Bureau contacts:     Jim Ball at (202) 418-0427
                         Sasha Field at (202) 418-2064