Globalstar announced that the U.S. Bankruptcy Court
has approved all of the company's first day motions, allowing
Globalstar to continue normal course operations and, with the support of the Company's service providers, further assuring uninterrupted telecommunications service
for its customers.
The Court approval, which was granted on February 21, follows Globalstar's filing on February 15 of a voluntary petition under Chapter 11 of the U.S. Bankruptcy Code with the same court.
Globalstar will conduct business as usual with respect to customers, employees and most suppliers. This includes payment of employee salaries and benefits and payment for goods and services provided after February 15, 2002.
As a result, Globalstar will continue its work on finalizing and implementing its new business plan as outlined in last week's announcement, and the company expects to file a complete plan of restructuring with the Court in the coming weeks.