Pegasus Satellite Television Sells Satellite Assets to DIRECTV, Inc.
BALA CYNWYD, PA -- -- 08/27/2004 -- Pegasus Satellite Communications, Inc., a wholly-owned subsidiary of Pegasus Communications Corporation (NASDAQ: PGTV), announced today that its subsidiary, Pegasus Satellite Television, Inc., completed the sale of Pegasus Satellite Television’s satellite television assets to DIRECTV, Inc. for a purchase price of $938 million, including $875 million cash, subject to certain closing adjustments, pursuant to the terms of an Asset Purchase Agreement dated as of August 2, 2004 between certain subsidiaries of Pegasus Satellite Communications, Inc. and DIRECTV, Inc. Following the closing, Pegasus Satellite Television will continue to provide certain services to DIRECTV, Inc. for a limited period of time to assure uninterrupted delivery of DIRECTV programming to Pegasus Satellite Television’s former subscribers while these subscribers are being transitioned over to DIRECTV, Inc. DIRECTV, Inc. expects to complete the migration between 30 and 45 days.
Miller Buckfire Lewis Ying & Co., LLC served as investment banker to Pegasus Satellite Communications in connection with the sale to DIRECTV.
About Pegasus Communications
Pegasus Communications Corporation is the parent company of Pegasus Satellite Communications; Pegasus Development Corporation, which holds Ka band satellite licenses granted by the FCC and intellectual property rights licensed from Personalized Media Communications LLC; Pegasus Guard Band LLC, which holds FCC licenses to provide terrestrial communications services in the 700 MHZ spectrum covering areas of the United States including approximately 180 million people (POPS); and Pegasus Rural Broadband LLC, which provides wireless broadband Internet access in rural areas.
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