StarOne Letter C5 2

LETTER submitted by Star One S.A.

re Satellite Contract Milestone

2009-02-06

This document pretains to SAT-PPL-20071113-00159 for Permitted List on a Satellite Space Stations filing.

IBFS_SATPPL2007111300159_695160

Alfred M. Mamlet                                                                  1330 Connecticut Avenue, NW
202.429.6205                                                                       Washington, DC 20036-1795
amamlet@steptoe.com                                                                          Tel 202.429.3000
                                                                                             Fax 202.429.3902
                                                                                                   steptoe.com




February 6, 2009

BY ELECTRONIC FILING

Ms. Marlene H. Dortch
Secretary
Federal Communications Commission
445 12th Street, SW
Washington, D.C. 20554

Re:    Star One S.A., File No. SAT-PPL-20071113-00159, Call Sign S2742
       Star One C5 Satellite Contract Milestone

Dear Ms. Dortch:

               This letter is being submitted on behalf of Star One S.A. (“Star One”) regarding its
February 7, 2009 contract execution milestone for the Star One C5 satellite. See File No. SAT-PPL-
20071113-00159. As set forth below, Star One is not at this time submitting a non-contingent contract
for the Star One C5 satellite due to its pending modification application, File No. SAT-PPL-
20081205-00225, to replace the Star One C5 satellite with the Star One B1 satellite.

                On February 7, 2008, the International Bureau ("the Bureau") granted Star One S.A.'s
(“Star One's”) Petition for Declaratory Ruling ("the Petition") to add the Star One C5 satellite (to be
located at the 68° W.L. orbital location) to the Space Station Permitted List. See File No. SAT-PPL-
20071113-00159, Call Sign S2742. As part of the Bureau's grant (“the Declaratory Ruling”) and in
accordance with the Commission's Rules, 47 C.F.R. § 25.164, the Bureau set February 7, 2009 as the
contract execution milestone date for the Star One C5 satellite. On March 10, 2008, Star One timely
posted a performance bond for the proposed C5 satellite.

               On March 13, 2008, despite not participating earlier in the proceeding, the Andean
Community submitted a petition for reconsideration of the Bureau's decision to add the Star One C5
authorization to the Permitted Space Station List. Specifically, the Andean Community sought to
protect an old Andean Community network at 67° W.L. with ITU priority in the Ku-band frequencies.


Marlene H. Dortch
February 6, 2009
Page 2


On July 14, 2008, the Commission granted the Andean Community petition by adding a condition to the
Star One C5 Declaratory Ruling. 1 Under that condition, in the event the Andean Community were to
launch their higher priority satellite to 67° W.L. by September 2010, then Star One would be precluded
effectively from operating on the Ku-band frequencies at 68° W.L.

               On December 5, 2008, Star One filed a modification application (incorporated herein by
reference) with the Bureau seeking to modify the Declaratory Ruling in order to substitute the existing
Star One B1 satellite for the proposed C5 satellite. See File No. SAT-PPL-20081205-00225 (filed Dec.
5, 2008). As set forth in that modification application, in light of the lingering uncertainty over the
Andean Community’s true intentions and the impact on Star One’s ultimate ability to make use of the
Ku-band frequencies at the 68° W.L. orbital location, Star One proposed to only provide service to the
United States using the C-band frequencies. To that end, Star One re-deployed the existing C-band Star
One B1 satellite to 68° W.L. pursuant to Brazilian authority, and requested a modification of the
Declaratory Ruling to use the B1 satellite (instead of Star One C5) to provide service to the United
States. 2

                Star One requested that, upon grant of its modification application, the Bureau confirm
that Star One had met all applicable milestones under the Declaratory Ruling, thereby allowing it to
cancel the performance bond it posted pursuant to the Declaratory Ruling. In the event that the Bureau
was not able to grant the modification application prior to February 7, 2009 (the C5 contract execution
milestone date), Star One requested an extension of the Star One C5 contract execution milestone until
14 days after the Bureau ruled on the modification application. See Narrative of B1 Modification
Application at 8 n.23.

                Star One's modification application was put on public notice on January 16, 2009 and
remains pending with the Bureau. See Public Notice Report No. SAT-00573 (rel. Jan. 16, 2009). As a
result, Star One is not in a position at this time to enter into, or submit a copy of, a non-contingent
satellite contract for the Star One C5 satellite. Star One believes that the Star One B1 satellite, which is
operating now at the 68° W.L. orbital location under Brazilian authority, already satisfies each of the
Commission's satellite milestone requirements since it has already been launched and is operating. See
Narrative of B1 Modification Application at 7-8. As Star One has established, prompt action by the
Bureau on the pending modification application will allow Star One to immediately provide competitive
C-band service to consumers in the U.S. Id. Star One has already identified potential customers for the
B1 satellite and has even presented a proposal to AT&T for use of the B1 satellite, if approved by the

       1
           See Star One S.A., Order on Reconsideration, DA 08-1645 (rel. Jul. 14, 2008).
       2
        Upon grant of the modification application, and confirmation that provision of service to the
United States from the Star One B1 satellite is sufficient to meet all of the milestones in the Bureau’s
Declaratory Ruling, Star One will relinquish its U.S. authority to use of the Ku-band frequencies at 68°
W.L.


Marlene H. Dortch
February 6, 2009
Page 3


FCC. In addition, Star One has future plans to further develop service at the 68° W.L. orbital location
by launching an additional satellite capable of covering large portions of the northern and southern
hemispheres. The public interest would be best served by extending the C5 contract execution milestone
to allow Star One’s B1 modification application to be considered rather than insisting on strict
compliance with the Star One C5 milestone. Id.

              Please let us know if you have any questions regarding this submission.



                                                   Sincerely,

                                                   /s/ Alfred M. Mamlet

                                                   Alfred M. Mamlet
                                                   Marc A. Paul

                                                   Counsel to Star One S.A.

cc:    Robert Nelson, International Bureau
       Fern Jarmulnek, International Bureau
       Karl Kensinger, International Bureau
       Kathyrn Medley, International Bureau
       Andrea Kelly, International Bureau
       Stephen Duall, International Bureau
       Jay Whaley, International Bureau
       See attached Certificate of Service


                                        CERTIFICATE OF SERVICE

       I, Marc A. Paul, hereby certify that on February 6, 2009, I caused true and correct copies of the
foregoing letter to be served on the following parties by First Class Mail, postage pre-paid:

                      Maria Del Rosario Guerra
                      Minister of Communications
                      Republic of Colombia
                      c/- Joaquin Restrepo
                      International Affairs Advisor
                      Ministry of Communications
                      Calle 13 X Cra 8a. Ed. Murillo Toro, Piso 4°
                      Bogota, D.C., Colombia

                      Dr. Freddy Ehlers Zurita
                      Secretary General
                      Andean Community of Nations
                      Av. Paseo de la Republica 3895, San Isidro
                      Lima, Peru

                      Ambassador David Gross
                      Coordinator for International Communication and Information Policy
                      Bureau of Economic Energy, and Business Affairs
                      U.S. Department of State
                      2201 C Street, NW Room 6333
                      Washington, D.C. 20520-5820




                                             /s/ Marc A. Paul
                                             Marc A. Paul
                                             Steptoe & Johnson LLP
                                             1330 Connecticut Avenue, N.W.
                                             Washington, D.C. 20036
                                             (202) 429-3000



Document Created: 2009-02-06 16:25:07
Document Modified: 2009-02-06 16:25:07

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