Written on 26 May 2020
SES will make substantial investments with U.S. companies to meet accelerated clearing goal and support U.S.'s global leadership in 5G while protecting critical broadcast services
Luxembourg, 26 May 2020 - SES, the leader in global content connectivity solutions, elects today to clear a portion of the C-band spectrum in the United States in accordance with the accelerated timeline detailed in the U.S. Federal Communications Commission (FCC) Order published in the Federal Register on 23 April 2020. SES will file the election later today, ahead of the 29 May FCC deadline.
Accelerated clearing, including the migration of existing customers, is an important and resource-intensive process for the current C-band users. The SES Board of Directors has approved an investment envelope of USD 1.6 billion which includes the procurement and launch of new satellites and other equipment and services - expenses that are reimbursable through the program Clearinghouse. SES intends to place the vast majority of this investment with U.S. suppliers.
In line with SES's firm commitment to maintaining investment grade status, the company has secured deferred payment terms with the vendors taking part in the satellite programs associated with the accelerated clearing, ahead of reimbursement by the Clearinghouse. SES intends to meet the deadlines envisaged in the FCC Order, which entitles SES to receive up to USD 3.97 billion in accelerated relocation payments.
From the outset of this proceeding, SES has supported accelerated clearing of a portion of the C-band spectrum, as well as the Commission's objective of quickly driving 5G leadership with the use of this spectrum while also protecting the spectrum's current users.
Under the Order, the accelerated clearing is contingent on elections to clear having been made by eligible satellite operators representing at least 80% of accelerated relocation payments. SES's decision to elect is a critical component in achieving this.
While SES is firmly supportive of accelerated clearing per the FCC Order, the company opposes the potential sunsetting of its 300 MHz C-band rights by December 2025 in the unlikely event that accelerated clearing does not proceed as outlined in the Order. As a strictly precautionary measure, SES intends to file today a petition for review with the reviewing court to preserve its rights should the accelerated clearing option no longer be available.
About SES SES has a bold vision to deliver amazing experiences everywhere on earth by distributing the highest quality video content and providing seamless connectivity around the world. As the leader in global content connectivity solutions, SES operates the world's only multi-orbit constellation of satellites with the unique combination of global coverage and high performance, including the commercially-proven, low-latency Medium Earth Orbit O3b system. By leveraging a vast and intelligent, cloud-enabled network, SES is able to deliver high-quality connectivity solutions anywhere on land, at sea or in the air, and is a trusted partner to the world's leading telecommunications companies, mobile network operators, governments, connectivity and cloud service providers, broadcasters, video platform operators and content owners. SES's video network carries over 8,300 channels and has an unparalleled reach of over 355 million households, delivering managed media services for both linear and non-linear content. The company is listed on Paris and Luxembourg stock exchanges (Ticker: SESG). Further information is available at: www.ses.com
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Written on 26 May 2020 
