[Congressional Record Volume 150, Number 61 (Wednesday, May 5, 2004)]
[House]
[Page H2600]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




    EXTENDING THE DEADLINE FOR THE INTELSAT INITIAL PUBLIC OFFERING

  Mr. UPTON. Mr. Speaker, I ask unanimous consent that the Committee on 
Energy and Commerce be discharged from further consideration of the 
Senate bill (S. 2315) to amend the Communications Satellite Act of 1962 
to extend the deadline for the INTELSAT initial public offering, and 
ask for its immediate consideration in the House.
  The Clerk read the title of the Senate bill.
  The SPEAKER pro tempore (Mr. Isakson). Is there objection to the 
request of the gentleman from Michigan?
  There was no objection.
  The Clerk read the Senate bill, as follows:

                                S. 2315

       Be it enacted by the Senate and House of Representatives of 
     the United States of America in Congress assembled,

     SECTION 1. EXTENSION OF IPO DEADLINE.

       Section 621(5)(A)(i) of the Communications Satellite Act of 
     1962 (47 U.S.C. 763(5)(A)(i)) is amended--
       (1) by striking ``December 31, 2003,'' and inserting ``June 
     30, 2005,''; and
       (2) by striking ``June 30, 2004;'' and inserting ``December 
     31, 2005;''.

   Mr. DINGELL. Mr. Speaker, I support S. 2315, a bill that would 
extend the deadline for the INTELSAT initial public offering (IPO).
   During debate on the ORBIT Act several years ago, I voiced concerns 
regarding the specific licensing criteria that INTELSAT and Inmarsat 
were required to meet to gain access to the U.S. telecommunications 
market. One provision required each company to conduct an initial 
public offering by a date certain. I would prefer that the Government 
not be in the business of requiring companies to go public. At the very 
least, however, the Government should not be forcing companies to go 
public when market conditions are unfavorable.
   Unfortunately, that is exactly what is now happening, unless we 
approve the bill before us. The ORBIT Act requires INTELSAT to complete 
its IPO by June 30--just two short months away. And while we all hope 
that our economy is on the upswing by then, forcing INTELSAT to conduct 
an IPO next month is bad policy and will cost INTELSAT's owners, 
including many U.S. investors, hundreds of millions of dollars.
   The bill before us today, S. 2315, amends the Communications 
Satellite Act to give INTELSAT an additional year to conduct its IPO. 
Although I would prefer that this bill be addressed through regular 
order, time is short. A one-year extension is what has passed in the 
other body, and, in the interest of time, we should pass this bill and 
allow INTELSAT another year to conduct its IPO.
   The satellite marketplace has changed significantly from when the 
ORBIT Act became law, and the repeated Congressional action to postpone 
the Act's IPO requirements raises serious questions about whether 
additional changes need to be made to the Act to ensure that it 
addresses current market conditions. Accordingly, I hope that the 
Committee on Energy and Commerce will hold a hearing in the near future 
on the Act's relevance and effect on today's satellite marketplace.
  The Senate bill was ordered to be read a third time, was read the 
third time, and passed, and a motion to reconsider was laid on the 
table.

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