Under the terms of the agreement, Columbia will cease operation of the TDRS-4 spacecraft at the 319 degrees E/41 degrees W location by 15 May 1998. In its place, Columbia will take title to the Intelsat 515 spacecraft, to be renamed Columbia 515, and begin operating that satellite by 1 April 1998 at 322.5 degrees E/37.5 degrees W. Columbia will lease back to Intelsat at no charge a number of transponders on the Columbia 515 satellite.

In announcing today's agreement, Intelsat Director General and Chief Executive Officer, Irving Goldstein, said, ``We're delighted to achieve an amicable resolution of this issue and we're ready to provide service immediately on the Intelsat 806 once the satellite becomes operational.''

The Intelsat 806 spacecraft will be launched in March 1998 for operation at 319.5 degrees E. It is a ``hot bird'' for Latin America broadcasters and Intelsat already has a strong community of customers for the satellite.

Columbia Communications President and Chief Operating Officer, Ken Gross, said, ``Today's agreement with Intelsat enables us to serve our growing customer base as we prepare for the launch of two new satellites by 2001. From its new location at 37.5 degrees W, the Columbia 515 satellite will provide excellent coverage of North and South America, Europe, and Africa at aggressively low prices.''