Light Squared Misses Second Radio Spectrum Payment to Inmarsat

Satellite operator, Inmarsat has reported that a further payment due from USA based LTE network, LightSquared has been missed. The company reported a previous non-payment back in February.
A scheduled payment of US$29.6 million that was due on 31 March 2012 has not been made. The payments related to a co-operation agreement by the two companies where LightSquared has access to radio spectrum controlled by Inmarsat.
LightSquared is facing difficulties launching its network in the USA due to complaints that it will interfere with GPS receivers – and as such, the telecoms regulator is currently blocking the company from offering services.
In relation to this non-payment, Inmarsat has today issued a further notice of default to LightSquared under the Cooperation Agreement. This notice triggers a period of 60 calendar days during which LightSquared can remedy the non-payment before Inmarsat is entitled to enforce its rights and remedies under the agreement for payment default, including pre-agreed spectrum arrangements and termination of certain LightSquared rights under the Cooperation Agreement.
Inmarsat does not plan to make any further public statements with regard to non-payment events under the Cooperation Agreement. Although Inmarsat and LightSquared remain in discussions regarding the future of the Cooperation Agreement, Inmarsat said that it cannot provide any assurance that these discussions will result in any further payments being received from LightSquared.
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