SES wants Global Eagle debt
October 14, 2020
By Chris Forrester
In-Flight broadband specialists Global Eagle Entertainment (GEE) filed for Chapter 11 bankruptcy reorganisation back in July with around $1.1 billion of debts.
It owed many key operators in the satellite industry considerable sums: SES ($26.6 million), Intelsat ($9.8 million), Abu Dhabi’s YahSat ($3.6 million), Hughes/Echostar ($3.1 million), Telesat ($2.5 million) and Asiasat ($960,000).
The business is continuing to operate although revenue and demand is badly affected by the Coronavirus and lack of air-travel by passengers. October 15th will see the business confirmed by the bankruptcy court as being sold to a group of creditors for $675 million.
SES, however, says that GEE had contracted to pay for 8 transponders on an aging satellite (AMC-1 at 130.1 degrees West) that operates in inclined orbit (this means that the satellite is no longer good for DTH transmissions but is perfectly suited for aircraft, ships and other clients operating beneath the satellite’s footprint).
GEE promised to pay its obligations in three similar payments, and it is the final payment due back in April of $3,360 million which hasn’t been paid.