EchoStar Places Offering of $2 Billion in Senior Notes

EchoStar Corporation (NASDAQ: SATS) today announced that its subsidiary, EH Holding Corporation, has priced an offering of $1.1 billion aggregate principal amount of senior secured notes at an issue price of 100 percent (the "Secured Notes") and $900 million aggregate principal amount of senior unsecured notes at an issue price of 100 percent (the "Unsecured Notes" and, together with the Secured Notes, the "Notes"). The Secured Notes will be issued as 6 1/2% Senior Secured Notes due 2019, and the Unsecured Notes will be issued as 7 5/8% Senior Notes due 2021. The net proceeds of the offering are intended to be used to fund a portion of the purchase price and related fees and expenses for EchoStar's previously announced acquisition of Hughes Communications, Inc., and the remainder will be used to fund the repayment or redemption of certain outstanding indebtedness of Hughes Communications and its wholly-owned subsidiary, Hughes Network Systems, LLC. EH Holding Corporation will initially deposit the gross proceeds from the offering of the Notes into escrow upon the closing of the offering.