HUGHES SPACE AND COMMUNICATIONS COMPANY 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.hughespace.com

The engineers at Hughes Space and Communications Company remember exactly where they were, for on July 26, 1963, they quietly made history with the successful launch of Syncom, the world's first geosynchronous communications satellite.

As the world looked elsewhere, the dedicated technologists at Hughes were laying the foundation for what is today a booming industry, and, in the process, established themselves as the world leaders in this evolving technology.

Virtually every man, woman, and child in the world has benefited from the services provided by satellites. And it's likely that most of these services were introduced on Hughes satellites. Whether it is through the advance warning of storms using a weather satellite, the early scout of the Moon's surface to prepare for U.S. astronaut landings, the transmission of critical wartime strategic communications, the immediate transfer of medical information, or simply the luxury of direct-to-home satellite entertainment, Hughes spacecraft systems were there.

Recently, a Hughes satellite was used to deliver the messages of democracy and human rights to more than 800 million Chinese during the live television broadcast of the debate between President Clinton and President Jiang Zemin. While this was an historic event, it is just one example of the powerful reach of communications satellites worldwide.

In short, since 1963, Hughes has built a total of 168 commercial and scientific spacecraft, which excludes classified spacecraft built to support national security, an activity that also spans nearly three decades and is one of which the company is quite proud.

Hughes' commercial and scientific satellites have completed more than 9 million hours of service, the equivalent of 1,000 years on-orbit, more than any other satellite manufacturer in the world.

Hughes has built one in three of the approximately 180 communication satellites in geosynchronous operation today.

With new orders for 11 satellites totaling $1.7 billion in the first half of 1998, the creation of the world's largest satellite factory, and a competent, uncompromising team of 7,500 employees, Hughes Space and Communications Company is dedicated to the same goal it has had for 35 years: to provide the world's best space systems solutions through integrity, excellence, and innovation.

Hughes Space and Communications Company 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.

Hughes Firsts

• 1963 - Syncom launched, becoming first communications satellite in geosynchronous orbit

• 1965 - Early Bird becomes first commercial communications satellite
• 1966 - Surveyor 1 makes first fully controlled soft landing on moon
• 1967 - ATS-3 transmits the first color pictures of Earth taken from synchronous altitude
• 1972 - Anik A, built for Canada, becomes first communications satellite to serve an individual nation
• 1974 - Westar is launched as first U.S. domestic communications satellite
• 1975 - Intelsat IVA is first satellite to reuse frequencies, thereby doubling capacity
• 1976 - Marisat, first maritime communications satellite, links ships on Atlantic, Pacific, and Indian oceans to shore
• 1978 - Pioneer Venus heads for Venus to perform first extensive radar mapping
• 1982 - SBS 3, an HS 376 design, becomes first commercial satellite to be placed into orbit by the Space Shuttle
• 1992 - Optus B is first satellite with domestic mobile service
• 1994 - DBS-1 delivers first digital direct-to-home television broadcasting to North America
• 1995 - First crosslink payload is carried on Milstar satellite
• 1995 - Galileo Probe becomes first spacecraft to penetrate Jupiter's atmosphere
• 1996 - Measat 1 is first commercial communications satellite to use gallium arsenide solar cells
• 1997 - PAS-5 is first commercial communications satellite to use dual-junction gallium arsenide solar cells and a xenon ion propulsion system, XIPs.