HUGHES GLOBAL SERVICES, INC. Communications and Customer Relations P.O. Box 92919 (S10/S323) Los Angeles, CA 90009 (310) 364-6363 www.hughespace.com

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HUGHES GLOBAL SERVICES TO SUPPORT ARMY TELEMEDICINE

LOS ANGELES, Nov. 21, 1997 -- Hughes Global Services, Inc., a new Hughes subsidiary created to provide local, state, and federal agencies with access to commercial satellite telecommunications services, has received a $1 million contract from the Army's Tri-Service Organization, the Telemedicine and Advanced Technology Research Center (TATRC) for telemedicine, at Fort Detrick in Frederick, Md. The contract is for 11 transportable very small aperture terminals, or VSATs, and one year's worth of DemandNet^TM bandwidth services to support the organization's telemedicine requirements.

"This is a major step forward in the ability of the military to provide real-time, global telemedicine support to the soldiers in the field," said Ronald V. Swanson, president of Hughes Global Services. "It's also a milestone for Hughes Global Services, because it is the first contract for a commercial product tailored to meet unique government needs which will dramatically reduce the cost it pays for communications."

DemandNet is a dynamically reconfigurable global satellite communications (SATCOM) service. It enables users to establish a network consisting of a standard suite of affordable VSATs and C- or Ku-band space-based communications links. Unlike traditional SATCOM, however, DemandNet is extremely flexible. On a near-real-time, as-needed basis, the bandwidth of the network can be reallocated, expanded or moved within a worldwide satellite constellation. The reconfigurability of DemandNet allows the network to accommodate changes in the nature or tempo of operations, to respond to surges, and to deal with unplanned events.

DemandNet enables rapid deployment of a flexible communications infrastructure. It is ideally suited for areas where terrestrial capabilities cannot support user communications needs. In many applications, DemandNet is also cost-competitive with existing wired solutions. DemandNet's global, bandwidth-on-demand satellite communications service is the first of its kind.

"Using DemandNet, the Army can not only transfer medical data, such as medical records and X-rays, to remote hospitals around the world, but it also will be able to teleconference to discuss diagnoses or consult with other medical professionals. Internet access, remote local area network access, and telephone services are also available," Swanson said.

"There are much broader applications for DemandNet than just cost-effective communications support to the military medical community," Swanson continued. "First, DemandNet could be universally applied to virtually any clinical telemedicine application, military or civilian. Additionally, for other military needs involving surges of bandwidth around the globe, DemandNet may be an ideal, lower-cost solution. We are also exploring the benefits that this capability may have for far-reaching global business operations."

Hughes will provide 11 VSAT terminals, SATCOM user training, and 12 months of full duplex bandwidth services ranging from 64 kbps to as much as 512 kbps and beyond. VSATs use proven, industry-standard commercial off-the-shelf hardware. Terminals support both single- and multiple-carrier operations. Fully redundant configurations are available. Bandwidth management is handled by Hughes from its operations center in El Segundo, Calif.

In addition to DemandNet, Hughes Global Services provides other fixed satellite services, including global access to transponders and bandwidth, VSATs, networks, dedicated and shared hub services, and gateway and teleport access. Digital video broadcast for distance learning, asynchronous training and other purposes, along with regional and global mobile satellite services, also are provided.

Hughes Global Services is a unit of Hughes Electronics Corporation. The earnings of Hughes Electronics are used to calculate the earnings per share attributable to GMH (NYSE symbol) common stock.

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