PR/13/11

SATELLITE BROADBAND CONTRACT FOR GERMANY: SKYLOGIC AND SAT INTERNET SERVICES SEAL AN INITIAL 3-YEAR DEAL ON KA-SAT

Paris, Hanover, March 14, 2011

Skylogic, the broadband subsidiary of Eutelsat Communications (Euronext Paris: ETL), and Sat Internet Services GmbH today sealed a distribution agreement for broadband services using the powerful KA-SAT High Throughput Satellite. The initial three-year broadband utility contract, worth more than €5million, will enable Sat Internet Services to market Eutelsat‘s next generation Tooway™ service to users across Germany. The innovative service, offering download speeds of up to 10 Mbps and upload speeds of up to 4 Mbps, will be available mid-2011 with the entry into service of Eutelsat’s KA-SAT satellite.

There is a significant market opportunity for satellite broadband in Germany: according to figures published by industry analysts of TÜV Rheinland at this month’s CeBIT convention, approximately 770 000 German homes have no broadband access. Up to a further four million homes are constrained by a 2 Mbps service.

Commenting on the selection of Tooway™, Dr. Victor Kühne, Managing Director of Sat Internet Services GmbH, said: “Leading German telecom operators with universal service obligations regard Tooway™ as an ideal complementary solution for delivering broadband Internet in any location. Our objective is to operate Tooway™ for large operators under a white label, alleviating the need for them to deploy a structure to support a satellite-based system for users in often remote locations. This positioning makes Sat Internet Services an ideal partner for operators looking for complementary solutions.” Sat internet Services also successfully opened its web shop activity at CeBIT, with customers taking the opportunity to order the new Tooway™ service to be available through KA-SAT.

Arduino Patacchini, CEO of Skylogic added: “We are delighted to strike this new relationship with Sat Internet Services. Despite the roll-out of high-speed terrestrial broadband infrastructure, Germany faces the same challenge as other European countries to build an inclusive digital economy for all users and enterprises. We are convinced that the performance of Tooway™ through KA-SAT empowers satellite broadband to contribute to achieving this goal.”

Tooway™ will be provided via Eutelsat’s KA-SAT satellite, which was launched in December 2010. As Europe’s first High-Throughput Satellite (HTS), with total capacity of more than 70 Gbps, it is ushering in a new era of competitively-priced satellite-delivered services for homes and businesses across Europe and the Mediterranean Basin. KA-SAT uses next-generation two-way wireless Ka-band spotbeam technology, which lowers the cost of providing high-bandwidth access to the Internet. The complete KA-SAT infrastructure, comprising the satellite and a network of eight gateways across Europe connected to the Internet via a fibre backbone ring, will enter service in mid-2011.

The user equipment for Tooway™ comprises a small satellite dish and a modem connected to the PC via the Ethernet, giving immediate and always-on Internet access following simple installation. The service can also deliver Voice over IP, and Direct-to-Home television.

Tooway™ is delivered across Europe via a network of certified distributors who have the flexibility to offer packages for consumers, home workers and businesses with speeds, volumes and prices to match their local market demands.

For more information: www.tooway.com, www.satinternetservices.de

About Sat Internet Services GmbH 

Sat Internet Services GmbH, a 100% subsidiary of Stratos Media GmbH, is based in Hanover, Germany. The specialist company offers innovative and powerful Internet access systems via satellite. Sat Internet Services is a partner of Europe’s leading satellite operator Eutelsat and will offer the satellite-based next generation Tooway™ broadband service in Germany.

About Eutelsat Communications

Eutelsat Communications (Euronext Paris: ETL, ISIN code: FR0010221234) is the holding company of Eutelsat S.A.. With capacity commercialised on 27 satellites that provide coverage over the entire European continent, as well as the Middle East, Africa, India and significant parts of Asia and the Americas, Eutelsat is one of the world's three leading satellite operators in terms of revenues. At 31 December 2010, Eutelsat’s satellites were broadcasting more than 3,700 television channels to over 200 million cable and satellite homes in Europe, the Middle East and Africa. The Group’s satellites also serve a wide range of fixed and mobile telecommunications services, TV contribution markets, corporate networks, and broadband markets for Internet Service Providers and for transport, maritime and in-flight markets. Eutelsat's broadband subsidiary, Skylogic, markets and operates access to high speed Internet services through teleports in France and Italy that serve enterprises, local communities, government agencies and aid organisations in Europe, Africa, Asia and the Americas. Headquartered in Paris, Eutelsat and its subsidiaries employ 683 commercial, technical and operational employees from 28 countries.

www.eutelsat.com