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GLOBALSTAR SIGNS RUSSIAN AGREEMENT

MOSCOW-Globalstar L.P. and Rostelecom JSC have reached an agreement that will allow Russians to gain access to advanced telephony services through Globalstar’s worldwide mobile satellite system beginning in late 1998.

GlobalTel-a joint stock company founded by Rostelecom JSC, the largest Russian telecommunications operator, and Globalstar-will act as the exclusive provider of Globalstar services in Russia.

GlobalTel is the owner and operator of the Globalstar ground segment, and will be responsible for interconnecting the Globalstar system with Russia’s existing wireless infrastructure. GlobalTel will be majority owned by Rostelecom.

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