HUGHES GLOBAL SERVICES, INC. Communications and Customer Relations P.O. Box 92919 (S10/S323) Los Angeles, CA 90009 Media Relations (310) 364-6363 Investor Relations (310) 662-9688 www.hughesglobal.com

HGS-1 is the satellite that was launched last Christmas Day and, because of a malfunctioning launch vehicle, was left in an unusable, highly elliptical orbit. Hughes Global Services, Inc., (HGS) has obtained title to the fully functional satellite, an HS 601HP model built by Hughes Space and Communications Company. Hughes made spaceflight history last month by sending HGS-1 around the moon, using lunar gravity to improve the resulting orbit once the satellite returned to Earth. It was the first commercial mission to the moon. Hughes is sending the satellite around the moon again this month to further improve the orbit. No further lunar trips are planned.

At 7:40 p.m. PDT Monday, small thrusters on the satellite were fired for half an hour, giving the satellite a small change in velocity. The gentle boost went perfectly, and was sufficient to send HGS-1 on a 15-day loop around Earth and out to the moon.

HGS-1 is expected to pass near the moon again around 9:30 a.m. PDT Saturday. Lunar gravity will give the satellite's trajectory, or flight path, another twist and send it back to Earth. On June 11, Hughes controllers will reposition the satellite for its final orbit. A retro burn June 14 will slow it down and allow it to enter near-Earth orbit. A series of maneuvers over the next few days will settle it into circular geosynchronous orbit, 22,300 miles (36,000 km) above the equator. HGS-1's final position will be determined after Hughes finds customers for its services.

When HGS obtained title to the satellite, it agreed to try to find revenue-producing uses for the satellite and to share profits with the insurers. A consortium of 27 insurers had owned the satellite after the original mission was declared a total loss. HGS' primary business is packaging satellite communications services for governmental entities, although it is actively seeking commercial interest in the entire satellite as well.

"With the orbital improvements obtained by this second lunar rendezvous, I expect a great deal of interest in this brand-new, high-power satellite," said Mark Schwene, HGS vice president. "I'm looking forward to talking to potential customers for the satellite."

HGS-1 made its first swing around the moon May 13. It was a first-of-its-kind mission, and the flyby went almost exactly as predicted by Hughes orbital analysts. On May 16, as the satellite approached Earth, Hughes mission controllers slowed it down by firing the on-board rocket motor, which exerts a thrust of 110 pounds. This put the satellite into a looping 15-day orbit around Earth with an apogee -- the farthest distance from the Earth -- of about 303,000 miles (488,000 km). The moon is about 250,000 miles away (402,000 km).

The maneuver Monday used the satellite's small thrusters, which exert only 5 pounds of force, to nudge the satellite into position for its second lunar flyby. On Saturday the spacecraft will pass the moon's surface from a distance of nearly 21,300 miles (34,300 km), which is about 5.5 times farther than the initial lunar encounter. An additional firing of the rocket motor is planned for the morning of June 11, to further position the satellite for its final orbit. Rocket motor burns on June 14, 16 and 17 are planned to settle HGS-1 into geosynchronous orbit over the Pacific Ocean, where it will be "parked" until customers and a final orbital location are determined.

Hughes Global Services is a subsidiary of Hughes Space and Communications Company (HSC), the world's leading manufacturer of geostationary commercial communications satellites. Scientists and engineers from both HGS and HSC are taking part in the mission. Both companies are units of Hughes Electronics Corporation. PanAmSat Corporation, of which Hughes Electronics is the majority owner, has been providing critical command and tracking support for the mission through its ground station in Fillmore, Calif.

The earnings of Hughes Electronics are used to calculate the earnings per share attributable to GMH (NYSE symbol) common stock.