Inmarsat's next-generation dual-mode satellite handset and GSM cellular telephone. The contract, which expands EMS's market focus beyond aeronautical broadband, is for approximately $26 million.

The new telephone will support both terrestrial GSM and GMR-2+ satellite television operation, and employing an omni antenna will detect regardless of whether a user is in a cellular coverage area and, if not, automatically switch to the worldwide satellite network. As component of Inmarsat's phased rollout on the support, the style will also allow Inmarsat to much better manage Inmarsat's I-4 spot-beam allocations.

"Inmarsat has always believed in the importance of powerful partnerships in its pursuit of delivering world-wide cellular communications and getting a one-stop provider of mobile voice and broadband satellite communications," says Andrew Sukawaty, Chairman and CEO of Inmarsat. "EMS's proven expertise in satellite communications technology produced them the ideal selection to develop this second-generation product. The combination of the third I-4 satellite launch in early 2008 and this dual-mode handset will permit us to continue our planned roll-out on the world-wide scale."

Making use of state-of-the-art technology developed and integrated by EMS, the cell phone will be built around a core module that can be incorporated into other terminals for cell software. Providing worldwide reach, lower cost, a little form-factor, GPS functionality, and both GSM and satellite modes, the core module is anticipated for being ideally suited for maritime, land, military and possibly even aeronautical software.

"Developing this new satellite mobile phone is a crucial opportunity for EMS," says EMS Technologies' President and CEO, Paul Domorski. "We are evolving our proven mobile sat phone communications technologies for significant new markets. These include corporate and small- to medium-sized enterprises, as well as regional markets composed of individual users and remote field workers. Leveraging our expertise, we are taking another step in achieving our vision of ubiquitous mobile communications, moreover we really be grateful for Inmarsat's confidence in our capabilities."

EMS SATCOM Vice President & General Manager Gary Hebb said, "We have assembled international team for this development. Our Tewkesbury (U.K.), Adelaide (Australia) and Ottawa (Ontario) offices, along with subcontractors on three continents, will all have roles in this project. This opportunity instantly puts our investment in DSpace to work, by making use of its high-performance satellite-modem expertise. Beyond the development of the cell phone itself, and with the experience we gain in style for high volumes, we expect to develop a wide range of specialized products making use of the core module."

The new mobile phone will offer voice, 2. four kbps data services, and text messaging. The current phase of Inmarsat's satellite phone service is focused on the Asia, Middle East and also Africa regions.

About Inmarsat

Inmarsat plc (LSE:ISAT) is the leading provider of global mobile satellite phone communications. Since 1979, Inmarsat has been giving useful voice and high-speed data communications to authorities, businesses and other organisations, with a range of services that could be used on land, at sea or in the air. The company's services are delivered through a worldwide network of much more than 500 distribution partners and service providers operating in 180 countries. For your year ended December 31, 2006, Inmarsat plc had total revenue of US$500.1 million.

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