January 15, 1997
                                        Vol. 0 - No. 2
                                        By subscription only

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                  THE ORBITAL REPORT ON-LINE

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             Space Executive's Weekly News Digest


This is an experimental issue of Takyon International's latest
on-line newsletter. OReOL is intended to cover space industry's
news and market trend and provide the necessary background
information for immediate analysis.

         Please feel free to contact us for any comment.


=== HEADLINES ===

* NASA's Space Shuttle Endeavour was successfully launched from
Kennedy Space Center, Florida, at 09:27:23 UT on January 12 for
the STS-81 mission. The orbiter vehicle, which carries a double
Spacehab module in its cargo bay, docked with Russia's Mir space
station at 01:54 UT on January 15. The US spacecraft brings
2,710 kg of goods to the station and will retrieve 1,072 kg of
materials. Astronaut Jerry Linenger will replace John Blaha
onboard the station. He is the fourth NASA astronaut to perform
a long duration stay in Mir within the US$400-million Shuttle-
Mir program.

* France may support a revival of the Cluster mission at ESA's
next council meeting in late February, Mr. Francois Fillon,
=46rench minister in charge of space affairs, told OReOL on
January 14. The  four Cluster satellites were destroyed in
Ariane 5's maiden flight failure on June 4, 1996, and ESA has
issued a plan to recover the mission by building a fifth satel-
lite from spare parts with three more brand new spacecraft.
France and Italy opposed the concept for budgetary reasons. 'The
agency's latest proposal, which does no longer include a signi-
ficant increase of the funding contribution from member states,
is very interesting', said Mr. Fillon. The approval of the
revived Cluster might result in the postponement of some future
science missions such as the Far InfraRed Space Telescope
(FIRST) and the Cobras-Samba cosmic ray observatory.

* AT&T Skynet's Telstar 401 communication satellite (24C, 24Ku)
suffered a major failure at 11:15 UT on January 11, loosing all
telemetry and communication links whilst performing a station
keeping maneuver. AT&T Skynet, owner of the satellite, and
Lockheed Martin Astro Space, its manufacturer, are investigating
the failure. Services for customers having contracted with
safety clauses have been transferred to Telstar 402R. Additional
capacity is seek for the other customers in case the service
cannot be restored. Telstar 401's twin, Telstar 402, was lost
minutes after its launch on September 9, 1994, due to an explo-
sion in its attitude and orbit control system. AT&T is in the
process of selling its Skynet activity, including four Telstar
satellites, to Loral Space.


=== BUSINESS ===

* Intelsat has signed a contract worth about US$100 million with
Matra Marconi Space (MMS), of Velizy, France, for the procure-
ment of the Intelsat K-TV direct broadcasting satellite (30Ku).
The 3,250-kg satellite, to be based on MMS' Eurostar 3000 bus,
will be launched in late 1998 to a 95=B0E orbital slot. This pro-
curement, approved by Intelsat's board in December, was strongly
opposed by US operators and satellite industry.

* The proposed merger between Aerospatiale's satellite business
in Cannes and Daimler-Benz Aerospace's Dornier Satellitensysteme
in Friedrichshafen is 'currently on hold', Mr. Yves Michot,
chairman & CEO of Aerospatiale, said on January 13. Among the
reasons to stop the merger process, Mr. Michot mentioned pro-
blems with the missile counterpart of the deal with DASA, as
well as the delay in the funding of the German part of the
Helios 2 military observation satellite program.

* NASA has selected 349 research proposals among 2,367 bids for
negotiation of Phase 1 contracts within the Small Business Inno-
vation Research (SBIR) program. Contracts worth up US$70,000
each will be awarded for 6-month feasibility studies. Total
amount awarded will be about US$24 million. A Phase 2 selection
is planned for November.

* Orbital Sciences Corp. confirms the signature, on December 23,
of a launch contract worth an estimated US$22 million with the
Korea Aerospace Research Institute (KARI) to loft the 420-kg
Korea Multipurpose Satellite (Kompsat) on a Taurus vehicle in
mid-1999.

* Pyrospace and Pyromeca, two French manufacturers of pyro-
technic devices will merge into a new company to be called PKS.
France's state-owned Societe Nationale des Poudres et Explosifs
(SNPE), which owns 20% of Pyrospace and 92.2% of Pyromeca, will
be PKS main shareholder.


=== MARKETS ===

* The launch of the first three Iridium low-Earth orbit mobile
telephony satellites, initially planned for January 8, was post-
poned four times in four days due to an anomaly in a ground
satellite telemetry software, the loss of a microwave link to
range instrumentation, problems with the initiation of the
launch pad water suppression system and finally the thermal
protection blanket on the vehicle's first stage separating from
the liquid oxygen tank. The launch is now set for January 19 at
the earliest. This initial trio will serve to test satellite
command and control capabilities as well as basic hardware and
software functionality. Subscriber terminals will be tested
later this year when more satellites are available in orbit. The
66-satellite Iridium constellation is planned to provide global
handheld telephony services beginning in late 1998. Iridium LLC,
a consortium of 17 investor organizations has raised
US$2.65 billion to date to fund the system. Cost to completion
is estimated at about US$5 billion.

* The 11-year old Spot 1 satellite resumed operational service
on January 13, to fill the gap caused by the loss of Spot 3 on
November 14, 1996. CNES and Spot Image will operate Spot 1 with
Spot 2 until the launch of the improved Spot 4 in early 1998.
Recorders have failed on both satellites but they can operate
when visible from any of Spot Image's 20 ground stations, cover-
ing more than 90% of Earth's lands.

* Industry Canada has rejected 'fast-track' DBS license appli-
cations from Telesat Canada and Borealis Space Corporation. The
two companies were the sole bidders to provide direct broad-
casting services from Canada's 91=B0W orbital slot. Telesat Canada
has plans to acquire a Tempo satellite from TeleCommunications
Inc. (TCI). Borealis was set up by Spar Aerospace in late 1996
to operate a small DBS satellite to be developed with CTA Space
Systems. Both will apply again for a second selection round on
February 28.

* American Mobile Satellite Corp. (AMSC) and Lockheed-Martin
Corp. have voluntary dismissed the complaint they filed against
Spar Aerospace on November 27, 1996. AMSC and Lockheed-Martin
were asking for a US$135-million reimbursement from Spar follow-
ing a failure onboard the AMSC-1 mobile communication satellite.
Spar provided the satellite's payload.


=== TECHNOLOGIES ===

* NASA and CNES, the French space agency, have announced the
signature of a MoU, on December 20, regarding the Jason 1 ocean
altimetry mission. A follow-on to the Topex-Poseidon mission of
1992, Jason 1 is the first of CNES' Proteus small satellite
missions. The 500-kg satellite will be built by Aerospatiale and
based on the new Spacebus-L bus. NASA will provide launch
service on a US vehicle in late 1999.

* The investigation board on the loss of the Clipper Graham
technology demonstrator on July 31, 1996, issued its final
report on January 7. The document identifies a disconnected
pneumatic line as the cause of the demonstrator's failure to
deploy its landing gear. The report also pinpoints deficiencies
in the launch processing operations with the absence of records
and the lack of margin for human error. The board asks NASA to
review the concept of rapid prototyping promoted by the Clipper
Graham industrial team from the operations perspective.

* Russia's Bion 11 satellite carrying two macaque monkeys, Lapik
and Multik, together with other living samples (newts, snails,
flies, bugs, seeds and bacteria), was successfully recovered on
January 7 at the end of a 14-day flight. The US$33.4-million
mission included participation from the US, France, Ukraine and
Lithuania. Both monkeys were safe at landing but Multik died of
an heart attack during medical tests under general anaesthetic
on January 8. Results from the Bion mission are expected to
improve medical knowledge on anaemia, osteoporosis, muscular
atrophy and immune system dysfunction.

* Endeavour's Solid Rocket Boosters were recovered hours after
the space shuttle launch on January 12  and post-flight inspec-
tion began on January 14. They will be shipped to their manu-
facturer, Thiokol Corp. of Brigham City, Utah, for a more
detailed inspection on January 17. Unusual erosion of a thermal
insulation liner has been reported on three SRB nozzles after
the last two shuttle launches but the current design has been
cleared for flight by engineers from NASA's Marshall Space
Flight Center (MSFC) on January 6.

* Aerospatiale has performed a series of tests on the 4-m
antenna of NASA's Cassini probe in its facilities in Cannes. The
antenna was built by Alenia Spazio and will be mounted on the
5,820-kg probe to be launched on October 6 by a Titan 4B
vehicle. Cassini is due to enter orbit around Saturn in 2004.


=== PREVIEW ===

* Jan. 16.   The first Lockheed-Martin-built Navstar satellite
             (Block 2R) is due for launch on a McDonnell-Douglas
             Delta 2 vehicle to replenish US Air Force's Global
             Positioning System (GPS) constellation.

* Jan. 19.   First three Iridium satellites are expected to be
             lofted to low-Earth orbit by a McDonnell-Douglas
             Delta 2 booster.

* Jan. 28.   An Ariane 44L (V93) is due to loft GE Americom's
             GE-2 and Argentina's Nahuel 1A to geosynchronous
             transfer orbit for Arianespace's first mission in
             1997.

* Jan. 31.   The investigation board on the loss of the Spot 3
             satellite is due to release its final report.


        Next issue is tentatively planned for January 22.

The Orbital Report On-Line will be published 40 times per year
        by Takyon International (RCS Paris B 401 465 398)
           34, boulevard Exelmans, 75016 Paris, France
      Phone: +33 (0) 146 566 490 * Fax: +33 (0) 146 561 355
             Editorial hotline: +33 (0) 607 995 056
                  E-mail: orbirep@worldnet.net
                 Chief Editor: Stefan Barensky
              Technical Contributor: Samuel Szdat

             (c) Takyon International - January 1997
         Subscription information will be available soon.

              Takyon International also publishes
                 The Orbital Launcher Report,
           a monthly space transportation newsletter.

 ------------------ End of issue Vol.0, No.2 ---------------------


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