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
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HUGHES POSTPONES JCSAT-6 LAUNCH

EL SEGUNDO, Calif., Aug. 12, 1998 -- Hughes Space and Communications Company has delayed the launch of the JCSAT-6 satellite, because two electronic units experienced problems during prelaunch testing. An investigation is under way, and a power surge caused by lightning during a violent thunderstorm near the satellite processing facility is considered a likely cause. No new launch date has been set.

The satellite was in Florida being prepared for a mid-August launch from Cape Canaveral. Hughes engineers and technicians were conducting routine prelaunch functional tests when both telemetry encoding units (TEUs) on the satellite began performing erratically, as well as some test equipment. The test equipment has been returned to Hughes' factory in El Segundo. The TEUs will be removed from the satellite late this week and examined to determine whether they can be repaired or whether replacement units must be provided.

TEUs collect data about the satellite's health and format it into a digital data stream for transmission to ground controllers. These TEU problems are unrelated to the satellite control processor failures suffered by three on-orbit Hughes-built satellites this summer.

JCSAT-6 is an HS 601 model satellite. It is the sixth communications satellite Hughes has built for Japan Satellite Systems, Inc., of Tokyo. It carries 32 active Ku-band transponders to provide communications and broadcasting services to Japan.

Hughes is the world's leading manufacturer of commercial communications satellites, having built about a third of those in operation. HSC 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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