Motorola Pledges Financial Support to Iridium, Report Says
London, March 20 (Bloomberg) -- Motorola Inc., the US telecommunications group, has pledged financial support to Iridium World Communications Ltd., the hand-held satellite telephone group, as Iridium meets its bankers to discuss a possible breach of its banking covenants, the Financial Times reported, citing Motorola President Bob Growney. Growney said, ''There is no chance of Iridium going under,'' adding that he was confident that a deal could still be reached. Under the covenant agreement, Iridiums $5 billion system, which enables calls between mobile phones anywhere in the world, was supposed to sign up 30,000 subscribers by the end of March; analysts believe there are less than 12,000, the newspaper said.
Iridium said Monday the launch of a Chinese rocket carrying two spare satellites was delayed from mid-March because of technical problems. (The Financial Times, London 3/20 21 www.FT.com)
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