HAC Gets $31 Million Canada Satellite Pact—Hughes News October 2, 1970

For Domestic System

A $31 million contract between TELESAT, Canada and Hughes Aircraft Company was signed Wednesday morning in Ottawa. The System will be one of the first if not the world’s first domestic satellite communications system using satellites in synchronous orbit.

Under the terms of the contract, HAC will supply three spacecraft to implement the space component of TELESAT’s domestic satellite communications system.

First delivery is scheduled for October 1972, with the second and third to be delivered at four-month intervals. Present plans call for launching the first in late 1972 from Cape Kennedy, using a thrust-augmented Thor Delta as the launch vehicle. The start of the commercial operations is planned for early 1973.

Included in the agreement are provisions for performance incentive payments over the full life expectancy of the spacecraft and penalty clauses for late delivery.

Full scale commercial operations are slated to begin with the orbiting of the second satellite by mid-1973. An earth station network, initially of 30 to 40 stations, will range from the main heavy route stations near Victoria, B.C., and Toronto, Ont., to the much smaller stations for communities in Canada’s far north.

Allen Puckett, executive vice president and assistant general manager, signed the contract for Hughes Aircraft, while TELESAT’s President D. A. Golden and Jean Claude Delorme, vice president fo Administration and general counsel, signed for TELESAT.

With Dr. Puckett were HAC’s Albert D. Wheelon, vice president and Group executive of Space and Communications Group; Paul Visher, assistant Group executive; Harold A. Rosen, Satellite Systems Laboratory manager; and Lloyd Harrison, program manager for the Canadian satellites.

With TELESAT officials were representatives of the Northern Electric Company, Ltd., of Montreal, Quebec, and SPAR Aerospace Products, Ltd., of Malton, Ont. Agreements with these two major subcontractors were executed prior to the contract signing between TELESAT and Hughes.

Northern Electric will provide the complete electronics system and SPAR will provide the spacecraft structures and engineering support services.

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