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Eutelsat Communications Reports Solid First Half 2011-2012 Results

February 16, 2012

PARIS, February 16, 2012 /PRNewswire/ –

        - Revenue growth: +4.6% at EUR602.4 million; +6.0% at constant currency
        - Profitability: EBITDA[1] up 3.4% to EUR478.5 million, generating an
          industry-leading EBITDA margin of 79.4%
        - Group share of net income: net margin at 26%
        - Excellent visibility: Record backlog of EUR5.3 billion up 9.6%
        - Fleet expansion programme on track with two successful satellite launches
        - Successful EUR1.8 billion refinancing of Group debt
        - Financial targets confirmed

Note: This press release contains unaudited condensed consolidated half-year accounts
prepared under IFRS was reviewed by the Audit Committee February 9, 2012 and adopted by
the Board of Directors of Eutelsat Communications on February 16, 2012.

The Board of Directors’ of Eutelsat Communications (ISIN: FR0010221234 – Euronext
Paris: ETL) adopted the financial results for the half-year ended 31 December 2011.

        Six months ended 31 December                     2010    2011   Change
                    Key elements of consolidated income statement
        Revenues                                 EURm   575.9    602.4   +4.6%
        EBITDA                                   EURm   463.0    478.5   +3.4%
        EBITDA margin                              %     80.4     79.4     -1pt
        Group share of net income                EURm   174.4    156.8  -10.1%
        Diluted earnings per share                EUR   0.793    0.713  -10.1%
                 Key elements of consolidated statement of cash flows
        Net cash flows from operating activities EURm   371.0    333.2  -10.2%
        Capital expenditure                      EURm   226.8    241.8   +6.6%
        Operating free cash flows                EURm   245.8[2]  91.4  -62.8%
                         Key elements of financial structure
        Net debt                                 EURm 2,414.8  2,379.6   -1.5%
        Net debt/EBITDA                            X     2.75     2.53
                                       Backlog
        Backlog                                  EURbn    4.9      5.3   +9.6%

Commenting on the half year 2011-2012 results, Michel de Rosen, CEO of Eutelsat
Communications, said: “We delivered solid results in the First Half with 4.6% revenue
growth and an industry-leading EBITDA margin of over 79%. Following the successful entry
into service of two new satellites, that have anchored our market position in the Middle
East, Africa, Central Europe and the Indian Ocean Islands, our order backlog increased
almost 10% to EUR5.3 billion, giving excellent long term visibility and underscoring the
overall resilience of our business. In addition to these operational achievements, the
Group successfully refinanced a significant part of its debt, extending its average
maturity and further diversifying funding sources.

With new in-orbit resources recently entered into service, the Group remains on track
to achieve annual revenues of over EUR1,235 million for the current fiscal year. This
objective is however more challenging in view of the current competitive environment in
some regions and a partial delay in the roll-out of KA-SAT services. The EBITDA target of
over EUR955 million for the current year is confirmed. In addition, the Group reaffirms
its medium term objectives for the three year period from July 2011 to June 2014.”

REVENUE GROWTH CONTINUES

Note: Unless otherwise stated, all growth indicators or comparisons are made against
the previous half year ended December 31, 2010. The share of each application as a
percentage of total revenues is calculated excluding “other revenues” and “non-recurring
revenues”.

Revenues by business application (in millions of euros)

                                                         Change
                                                       (in EUR
        Six months ended December 31    2010     2011    million)    (in %)
        Video Applications             392.1    403.3     +11.3      +2.9%
        Data & Value Added Services    116.9    117.8      +1.0      +0.8%
                       Data Services    93.1     95.2      +2.1      +2.2%
                Value Added Services    23.8     22.7      -1.1      -4.7%
        Multi-usage                     57.3     74.4     +17.1     +29.9%
        Other revenues                   6.9      3.3      -3.6     -52.3%
        Sub-total                      573.2    598.9     +25.8      +4.5%
        Non-recurring revenues           2.7      3.5      +0.8     +30.6%
        Total                          575.9    602.4     +26.6      +4.6%

First half 2011-2012 revenues increased by 4.6%. Excluding non-recurring revenues,
growth was 4.5%. At a constant euro-dollar exchange rate, revenue growth stood at 6.0%.

Second quarter revenues (excluding non-recurring revenues) stood at EUR303.6 million,
up 5.6%. Compared with Q1 2011-2012, they rose 2.8%.

Capacity constraints were alleviated with the successful launches of two new
satellites (ATLANTIC BIRD 7 at 7degree(s) West and W3C at 16degree(s)East) although their
entry into service came towards the end of the half year period.

VIDEO APPLICATIONS (67.7% of revenues)

Video Applications recorded growth of 2.9% to EUR403.3 million. Sequential growth from
the first to the second quarter was 3.5% as revenues benefited from additional capacity
provided by the two new satellites located at key video neighbourhoods: 7degree(s) West,
serving the Middle East and North Africa, and 16degree(s) East serving Central Europe and
Indian Ocean Islands. Two other video neighbourhoods, 36degree(s) East and 7degree(s)
East, continued to benefit from the dynamism of these markets. First half revenues were
mainly driven by:

        - The 7degree(s) West video neighbourhood, the leading broadcast market in
          the Middle East and North Africa, was strengthened by the arrival of ATLANTIC BIRD 7
          delivering reinforced and expansion capacity with its wide beam coverage across the
          Middle East and North Africa. It took over the existing video traffic that had been
          developed by ATLANTIC BIRD 4A. Growth reflects, in particular, the signing of new
          leases mostly with strong regional media players, on the wide beam coverage extending
          to Northwest Africa.
        - The 16degree(s) East video neighbourhood was strengthened by the entry into
          service of W3C, as renewal and extension contracts were signed with both public and
          private broadcasters in the regions covering Central Europe and the Indian Ocean
          Islands;
        - The 36degree(s) East position, leads the expansion of satellite television in
          Russia and sub-Saharan Africa benefited from the existing contracts on W7, especially
          from long-time customers, mainly for the Russian DTH market;
        - Finally, the 7degree(s) East neighbourhood, with coverage of the near
          Middle-East, contributed to growth as one anchor customer signed contracts for
          incremental capacity while another renewed contracts on the satellite W3A.

The attractiveness of Eutelsat’s key video neighbourhoods was confirmed by the
increase in TV channels. particularly addressing fastest-growing markets. At 31 December
2011, Eutelsat’s fleet was transmitting a total of 4,173 channels, up 391, from 3,782 the
year before. Over 90% of TV channel growth came from fast growing markets, including North
Africa, the Middle East, Central and Eastern Europe; Russia and Africa. Three key
neighbourhoods recorded double-digit growth in the number TV channels broadcast:

        - 7degree(s) West, where channel count increased by 126 (+34.3%). This
          neighbourhood now broadcasts 493 channels to the Middle East and North Africa;
        - 9degree(s) East saw a 28.9% rise in channels (up 76), bringing program
          offerings on 339 channels to Europe as far east as the Urals;
        - 36degree(s) East, carrying 90 new TV channels (+14.8%), is now Eutelsat's
          second largest video neighbourhood with a total of 697 channels serving Russia and
          sub-Saharan Africa.

High Definition is a confirmed growth driver as the number of HD channels increased
45.1%, bringing the number of HD channels broadcast by the fleet to 283 showing a
penetration rate of 7% up from 5% a year ago.

DATA and VALUE-ADDED SERVICES (19.8% of revenues)

Total revenues for Data and Value-added Services were EUR117.8 million (+0.8%) for the
first half.

The first segment of this activity, Data Services, grew by 2.2% to EUR95.2 million.
This segment has been largely constrained by the lack of available capacity until the
arrival of new in-orbit resources on ATLANTIC BIRD 7 and W3C, with coverage of sub-Saharan
Africa and Northwest Africa. The growth achieved over the period is mainly due to new
contracts and contract renewals on the W2A satellite at 10degree(s) East, for connectivity
between Africa and Europe; ATLANTIC BIRD 3, at the position 5degree(s) West, for services
in Africa; and, W7 at 36degree(s) East, from a spot that includes Europe, the Middle East,
North Africa and Central Asia for interconnection services to business networks, mobile
networks and access to the Internet backbone.

Revenues for Value Added Services stood at EUR22.7 million, down 4.7%. This
comparison, which masks the growth of Tooway (TM) services, Internet access, is due to an
unfavorable comparison with the first half of 2010-2011 which was boosted by a contract
with the SNCF (French railway) and by lower sales of D-Star terminals.

The first half of 2011-2012 marked seven months since the entry into service of the
KA-SAT satellite and the commercial launch of the new generation Tooway(TM) broadband
service which addresses households in Europe and the Mediterranean Basin unserved or
underserved by terrestrial networks. Revenues to date have been built mainly through a
network of expert distributors and resellers in targeted regions, mainly Western Europe,
and are starting to benefit from contracts from larger distributors with national reach.
The first half has proven Tooway(TM)’s technological performance on the consumer offering,
as demonstrated by the positive user feedback received from distributors.

Marketing of professional services on KA-SAT, which notably include enterprise
networks, began a slow rollout in the seven months following entry into service of the
satellite, mainly due to the fact that these offers did not benefit from the pre-KA-SAT
development phase.

MULTI-USAGE (12.5% of revenues)

Multi-usage activity, which includes short-term contracts to governments and
administrations who buy transponder capacity from commercial operators to meet specific
needs in certain regions, recorded another half year increase of 29.9%, to EUR74.4
million. This performance reflects the full effect of contracts signed last year.

At constant currencies revenue growth in Multi-usage stood at 35%.

OTHER AND NON-RECURRING REVENUES

Other revenues (EUR3.3 million) and non-recurring (EUR3.5 million) revenues stood at a
combined EUR6.8 million at 31 December 2011. Other revenues comprise contributions from
activity related to service contracts with partners, some sale of equipment and the
Group’s foreign exchange hedging programme. Non-recurring revenues included a late
delivery indemnity for the W3C satellite.

OPERATIONAL AND LEASED TRANSPONDERS

As of 31 December 2011, the number of operational transponders on Eutelsat’s fleet of
29 satellites stood at 801, an increase of 22.7% compared to December 31, 2010. The
majority of this additional capacity relates to the new KA-SAT programme or allocated to
two recently opened orbital positions, 3degree(s) East and 48degree(s) East.

Fleet evolution

                                  December 31,     December 31,
                                      2010             2011
        Operational
        transponders                  653              801*
        Leased transponders           590              610
        Fill rate                    90.4%            76.1%

* Includes 82 KA-SAT spots as transponder equivalents.

BACKLOG INCREASES LONG TERM VISIBILITY

The backlog increased by nearly 10% to reach a record high of EUR5,339 million,
compared to 31 December 2010

This reinforces the Group’s long-term visibility on revenues and operating cash flows.
At 31 December 2011, the backlog represented a weighted average residual life of contracts
of 7.3 years. The backlog is equivalent to approximately 4.6 times annual revenues for FY
2010-2011.

Backlog key indicators:

        December 31                                       2009     2010     2011
        Value of contracts (in billions of euros)          4.2      4.9      5.3
        Weighted average residual life of contracts (in
        years)                                             8.2      7.9      7.3
        Share of Video Applications                       92.5%    92.3%    93.0%

The backlog represents future revenues from capacity lease agreements (including
contracts for satellites not yet delivered). These capacity lease agreements can be for
the entire operational life of the satellites.

HIGH profitability levels maintained

EBITDA remained high, delivering a margin of 79.4%

Group EBITDA amounted to EUR478.5 million, up 3.4% from last year. The EBITDA margin
of 79.4% remains industry-leading among FSS (Fixed Satellite Services) operators and
reflects Eutelsat’s strong commercial performance coupled with effective cost control.

Operating expenses amounted to EUR123.9 million, up 9.8%, mainly reflecting the
increase in resources dedicated to reinforcing the Group’s overall commercial activity
including the development of services such as Tooway(TM) and KabelKiosk.

Net margin at 26% despite a non-recurring item

Impacted by a non-recurring item related to the Group’s debt refinancing, Group share
of net income stood at EUR156.8 million a decline of EUR17.6 million (-10.1%), reflecting:

        - An increase of EUR21.4 million in financial expenses, linked to the
          non-recurring impact of the partial de-qualification of the existing interest rate
          swap for EUR23.4 million following the refinancing of the Group's debt;
        - An increase of EUR4.6 million in corporate tax, mainly due to the 5% increase
          of the French corporate tax rate;
        - Income from associates was down EUR6.0 million to EUR5.2 million.

Extract from the consolidated income statement (in millions of euros)[3]

        Six months ended December 31                    2010     2011     Change
        Revenues                                       575.9    602.4      +4.6%
        Operating expenses[4]                         (112.9)  (123.9)     +9.8%
        EBITDA                                         463.0    478.5      +3.4%
        Depreciation and amortisation[5]              (142.4)  (153.0)     +7.4%
        Other operating income (expenses)               (0.9)       -       N/S
        Operating income                               319.7    325.5      +1.8%
        Financial result                               (53.5)   (66.9)    +25.0%
        Income tax expense                             (94.8)   (99.3)     +4.8%
        Income from associates                          11.2      5.2     -53.3%
        Portion of net income attributable to
        non-controlling interests                       (8.2)    (7.7)     -5.5%
        Group share of net income                      174.4    156.8     -10.1%

NET CASH FLOWS FROM OPERATING ACTIVITIES

Net cash flows from operating activities amounted to EUR333 million (55.3% of
revenues)

The Group saw a decline of EUR37.8 million (-10.2%) in net cash flows from operating
activities at EUR333 million, representing 55.3% of revenues.

This decline was mainly due to higher tax payments (+EUR49.7 millions compared to
previous year) resulting from the increase in net profit before tax in FY10-11 compared to
FY09-10. The increase in working capital was related to some late payments from large
telecom operators, which were settled in early January this year.

Operating free cash flow amounted to EUR91.4 million, a decline on the previous year
which was linked to non-recurring items including the first insurance receipts from the
loss of the W3B satellite; and the reduction in the equity holding in Solaris, for a total
of EUR161.6 million. Without these two non-recurring items, operating free cash flow would
have increased 8.6%.

Refinancing of Eutelsat Communications’ indebtedness and strengthened financial
position

Based on the sound financial performance of Eutelsat Communications, Moody’s upgraded
its ratings on 20 October 2011. The long term issuer rating of Eutelsat S.A. is now Baa2
and the debt instruments issued at Eutelsat Communications S.A. are rated Baa3. Both
ratings have a stable outlook.

In December 2011, the Group successfully refinanced the EUR1,465 million Term Loan and
EUR300 million Revolving Credit Facility at the holding company level, both due in June
2013. The refinancing comprises:

        - EUR800 million new senior unsecured Term Loan and EUR200 million Revolving
          Credit Facility, both maturing in December 2016, issued by Eutelsat Communications
          S.A.
        - EUR800 million senior unsecured bonds bearing a coupon of 5.00%, maturing in
          January 2019, issued by Eutelsat S.A.

Of the EUR1,465 million existing Term Loan, EUR800 million were still outstanding in
the accounts closed at 31 December 2011. This outstanding amount was fully repaid on 6
January 2012 when EUR800 million were drawn on the new facilities.

As a result of the refinancing, the average maturity of the Group’s debt was increased
to 5.1 years[6] from 3.8 years at 30 June 2011. The group has diversified its sources from
100% bank debt at 31 December 2009 to 65% bond debt at 31 December 2011.

The average cost of debt drawn by the Group was 4.48% (after hedging) in the first six
months of the 2011-2012 fiscal year.

The net debt to EBITDA ratio for the first half was 2.53 times, compared to 2.75 times
at 31 December 2010 and 2.37 times at 30 June 2011.

Net debt to EBITDA ratio

        As of December 31                                    2010        2011
        Net debt at the beginning of the
        period                                   EURm       2,424        2,198
        Net debt at the end of the period        EURm       2,415        2,380
        Net debt / EBITDA (Last twelve months)     X        2.75x        2.53x

Net debt includes all bank debt, bonds and all liabilities from long-term lease
agreements, less cash and cash equivalents (net of bank overdraft).

OUTLOOK CONFIRMED

Solid Medium-term growth outlook

The Group continues to target revenues of above EUR1,235 million for fiscal year
2011-2012, with growth accelerating in the subsequent two years to deliver a 3-year CAGR
above 7% for the three year period ending June 30, 2014.

Objective of high level profitability

EBITDA for the current year should be above EUR955 million and the EBITDA margin
should be above 77% for each fiscal year until June 2014.

Active and targeted investment policy

The Group will pursue the next phase of an active and targeted investment policy, with
average capital expenditure of EUR550 million per annum each fiscal year until 2014.

Sound financial structure

In order to maintain its sound financial structure the Group continues to target a net
debt to EBITDA ratio below 3.5x, which allows it to keep its investment grade credit
ratings attributed by Moody’s and Standard & Poor’s.

Attractive shareholder remuneration

Over the fiscal years 2011-2012 to 2013-2014, the Group is committed to share its
profits with its shareholders, targeting a pay-out ratio in the range of 50% to 75% of
Group share of net income.

FLEET DEPLOYMENT plan UPDATE

Eutelsat continues to actively pursue its investment programme to address demand for
capacity in markets with high growth potential, including in Central Europe, the Middle
East and Africa, and for bridging connectivity to Asia and Latin America.

        - After the successful entry into service of ATLANTIC BIRD 7 and W3C, two
          satellites were also redeployed to new orbital positions in order to develop new
          markets:
        - EUTELSAT 3C, having completed its mission at 7degree(s) West as ATLANTIC BIRD
          4A, has now been redeployed to 3degree(s) East to address data and telecoms markets in
          Europe and South-West Asia.
        - EUTELSAT 48B (formerly W2M), was redeployed from 16degree(s) East to
          48degree(s) East, to reinforce capacity at this orbital position for markets in
          Central Europe, and Asia.

An additional six satellites are currently under construction and scheduled to be
launched between fourth quarter (calendar) 2012 and second half (calendar) 2014.

        - Scheduled for launch in Q4 2012 by Arianespace, W6A will replace the W6
          satellite will bring 50% more capacity to 21.5degree(s) East, a core neighbourhood for
          data, professional video and government services across Europe, North Africa, the
          Middle East and Central Asia.
        - Scheduled for launch in Q4 2012 by Sea Launch, W5A will replace W5 will more
          than double Eutelsat's current capacity at 70.5degree(s) East to serve a range of
          professional applications that include government services, broadband access, GSM
          backhauling and professional video exchanges in Europe, Africa and Central and
          South-East Asia.
        - EUROBIRD 2A is being built in the framework of a partnership with ictQATAR,
          representing the state of Qatar. Its mission will be to replace the EUROBIRD 2
          satellite at 25.5degree(s) East to diversify resources at this orbital position by
          expanding Ku-band capacity and introducing Ka-band capacity;
        - W3D will be co-positioned with W3A satellite at 7degree(s) East. It will
          increase in-orbit security and inject new capacity to capture business opportunities
          in Europe, the Middle East, Africa and Central Asia;
        - EUTELSAT 3B will reinforce capacity at 3degree(s)East to cover Europe, Africa,
          the Middle East and Central Asia as well as parts of South America, notably Brazil.
          This orbital position was opened in 2011 by the leased satellite EUTELSAT 3A.
        - EUTELSAT 9B will significantly expand and diversify resources at its
          9degree(s) East location which addresses high-growth video markets across Europe. Its
          close proximity to Eutelsat's flagship HOT BIRD satellites at 13degree(s) East also
          gives satellite viewers the opportunity to increase viewing choice through a dual-feed
          antenna.

Following the implementation of this new phase of the Company’s fleet expansion and
re-deployment programme, transponder capacity is set to increase by 20% in the guidance
period (June 2011 to June 2014).

RECENT EVENTS

Disposal of a 16.1% stake in Eutelsat Communications by Abertis Telecom

On 13 January 2012, Abertis Telecom announced the completion of a process of
accelerated placement with qualified investors of a 16.1% stake in Eutelsat Communications
shares. Following the completion of the placement, Abertis holds a 15.35% stake in the
share capital of Eutelsat Communications making it the Group’s second largest shareholder
behind the Fonds Strategique d’Investissement – FSI.

CORPORATE GOVERNANCE

The Ordinary and Extraordinary Annual General Meeting of Shareholders of Eutelsat
Communications was held on November 8, 2011 in Paris under the chairmanship of Giuliano
Berretta, Chairman of the Board. The accounts for fiscal year 2010-2011 were approved, as
well as all resolutions put to the vote.

The Annual General Meeting of Shareholders also approved the proposal to distribute
0.90 euro per share, an increase of 18.4% over the previous year. This distribution, which
represents a pay-out ratio of 58% of Group share of net income, was paid on November 22,
2011.

The Annual General Meeting of Shareholders ratified the cooptations as new directors
of the Fonds Strategique d’Investissement (FSI), replacing CDC Infrastructure, and Abertis
Telecom, replacing Carlos Espinos Gomez. It also renewed their offices, together with the
one of Bertrand Mabille. The Annual General Meeting also decided to appoint Abertis
Infraestructuras SA, Tradia Telecom SA and Retevision I SA, as well as Jean-Paul Brillaud
and Jean-Martin Folz as Directors.

The Board of Directors, who met on the same day, has designated Jean-Martin Folz as
Chairman of the Board.

Board of Directors meeting 16 February 2012

The Board of Directors, during its meeting on 16 February 2012, accepted the
resignations of the seats held by Retevision I S.A., represented by Andrea Luminari, and
Tradia Telecom S.A., represented by Tobias Martinez Gimeno.

The total number of directors now stands at 10, of which four are independent.

Documentation

Consolidated accounts are available at http://www.eutelsat.com/investors/index.html

Results presentation for Analysts and Investors

Eutelsat Communications will hold an analysts and investors meeting in english on
Friday 17 February 2012 to present its financial results for the half year 2011-2012. The
meeting will take place at Group headquarters, 70 rue Balard, 75015 Paris, starting at
9.30am Paris time.

You can also follow this presentation, in English, by conference call on live. It can
be accessed via the following telephone numbers:

        - 01-70-48-01-66 (from France)
        - +44(0)20-7784-1036 (from Europe)
        - +1-212-444-0895 (from USA)

A replay of the call will be available from February 17, 2012 at 8:00pm (Paris time)
to February 24, 2012 midnight (Paris time), by dialling:

        - 01-74-20-28-00 (from France)
        - +44-(0)20-7111-1244 (from Europe)
        - +1-347-366-9565 (from USA)

Access code: 2292470#

There will be webcast live from the home page of the Investor Relations section at

http://www.eutelsat.com

Financial calendar

The financial calendar below is provided for information purposes only. It is subject
to change and will be regularly updated.

        - May 10, 2012: financial report for third quarter ended March 31, 2012
        - July 30, 2012: earnings for the full year ended June 30, 2012
        - October 25, 2012: financial report for the first quarter ended September 30,
          2012
        - November 8, 2012: Annual General Shareholders Meeting

About Eutelsat Communications

Eutelsat Communications (Euronext Paris: ETL, ISIN code: FR0010221234) is the holding
company of Eutelsat S.A.. With capacity commercialised on 29 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. As of 31 December 2011, Eutelsat’s satellites
were broadcasting more than 4,150 television channels. More than 1,100 channels are
broadcast via its HOT BIRD video neighbourhood at 13 degrees East alone which serves over
120 million cable and satellite homes in Europe, the Middle East and North 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 just over 700 commercial, technical and
operational professionals from 30 countries.

http://www.eutelsat.com

Appendix

Quarterly revenues by business application

                                           3 months ended
        In millions of
        euros          31/12/2010 31/03/2011 30/06/2011 30/09/2011 31/12/2011
        Video
        Applications     196.5      198.5      195.9      198.2      205.1
        Data &
        Value-Added
        Services          58.0       58.9       58.3       59.6       58.2
        ............of
            which Data
              Services    45.9       47.3       47.6       48.3       46.8
        ......of which
           Value-Added
              Services    12.1       11.5       10.7       11.3       11.4
        Multi-usage       28.6       32.6       35.6       36.2       38.2
        Other revenues     4.5        3.2        7.3        1.3        2.0
        Sub-total        287.5      293.2      297.1      295.4      303.6
        Non-recurring
        revenues           2.7        2.0          -          -        3.5
        Total            290.2      295.2      297.1      295.4      307.1

Change in net debt (in millions of euros)

                                                 Half-year  Full-year   Half-year
                                                  ending      ending     ending
        Period ending                           31/12/2010  30/06/2011 31/12/2011
        Net cash flows from operating
        activities                                 371.0       816.8       333.2
        Capital expenditure                       (226.8)     (485.9)     (241.8)
        Insurance indemnity on property and
        equipment                                  101.6       235.1           -
        Operating free cash flows                  245.8       566.0        91.4
        Interest and other fees paid. net          (37.4)     (109.3)      (34.6)
        Acquisition of non-controlling
        interests                                   (6.7)       (7.8)       (0.8)
        Distributions to shareholders
        (including non-controlling interests)     (177.1)     (177.1)     (223.8)
        Acquisition of treasury shares             (13.0)      (13.7)       (3.1)
        Other                                       (2.0)      (31.6)      (10.9)
        Decrease (increase) in net debt              9.6       226.5      (181.8)

Channels at video neighbourhoods serving Central and Eastern Europe, Russia, Middle
East, Africa

        Orbital
        position        Markets                   31/12/2009 31/12/2010 31/12/2011
        7degree(s)West  North Africa, Middle East     275        367        493
        7degree(s)East  Turkey                        191        197        210
                        Central Europe, Indian
        16degree(s)East Ocean islands                 410        455        527
        36degree(s)East Russia, Africa                454        607        697
        Total                                       1,330      1,626      1,927

Estimated satellite launch schedule

        Satellite            Estimated launch      Transponders
        W6A                       Q4 2012              40 Ku
        W5A                       Q4 2012              48 Ku
        W3D                       Q1 2013           53 Ku/3 Ka
        EUROBIRD 2A*              H1 2013           16 Ku/7 Ka
        EUTELSAT 3B               H1 2014         51 (Ku, Ka, C)
        EUTELSAT 9B               H2 2014           Up to 60 Ku

Note: Satellites generally enter into service one to two months after launch. *
Partnership satellite with ictQATAR, transponders indicated for Eutelsat portion only.

1. EBITDA is defined as operating income before depreciation and amortisation,
impairments and other operating income/(expenses)

2. Included exceptional cash items totalling EUR161.6 million relating to the first
payments received from insurers from the loss of the W3B satellite and an equity
investment reduction.

3. For more detail, please refer to Group condensed consolidated half-year accounts at

http://www.eutelsat.com.

4. “Operating expenses” is defined as the sum of operating costs plus selling, general
& administrative expenses.

5. Comprises amortisation expense of EUR22.2 million corresponding to the intangible
asset “Customer Contracts and Relationships” identified during the acquisition of Eutelsat
S.A. by Eutelsat Communications.

6. Based on the maturity of the new credit facilities put in place in December 2011
and drawn in January 2012.

SOURCE Eutelsat Communications


Source: PR Newswire