Intelsat Loses Another Satellite

Satellite operator Intelsat Ltd. lost a satellite after an unexpected electrical power problem, less than two months after electrical problems ruined another satellite.

The event is the latest blow for the world’s No. 2 communications satellite operator, after a satellite malfunction in November threatened to abort the company’s planned $3.1-billion sale to private equity investors.

Private equity group Zeus Holdings, which has the right to pull out of the deal because of the latest event, is evaluating the effect of the satellite failure, Intelsat said in a statement.

Intelsat said it and Lockheed Martin Corp., the maker of the satellite, were working to identify the cause of the problem.

But the satellite operator said it believed there was no connection between the latest event and the loss of its IA-7 satellite in late November because the two satellites were made by different companies and had different designs.

Intelsat said it expected to record a noncash impairment charge of about $73 million to write off the value of the IS-804 satellite that ran into problems Friday.

From Reuters