EchoStar Reports Certain Fourth Quarter and Year End 2011 Financial Results

EchoStar Reports Certain Fourth Quarter and Year End 2011 Financial Results

ENGLEWOOD, Colo., Feb. 23, 2012 /PRNewswire/ -- EchoStar Corporation (NASDAQ: SATS) today reported preliminary unaudited results. EchoStar had total revenue of $834 million for the quarter ended Dec. 31, 2011, a 62.6 percent increase compared with $513 million for the corresponding period in 2010.

Loss before income taxes totaled $22 million for the quarter ended Dec. 31, 2011, compared with income before income taxes of $186 million during the corresponding period in 2010.

For the year ended Dec. 31, 2011, EchoStar reported total revenue of $2.76 billion compared with $2.35 billion for the year ended Dec. 31, 2010, an increase of 17.5 percent. Income before income taxes for the year ended Dec. 31, 2011 totaled $26 million, compared with $289 million for the year ended Dec. 31, 2010.

EchoStar acquired Hughes Communications, Inc. and its subsidiaries ("Hughes Communications") as of June 8, 2011. The financial results of Hughes Communications are included in EchoStar's financial results effective June 9, 2011. Therefore, EchoStar's financial results for the quarter and year ended Dec. 31, 2011 are not comparable to its financial results for the quarter and year ended Dec. 31, 2010.

Conference Call Information
EchoStar will host its fourth quarter and year end 2011 financial results conference call today at 11 a.m. ET. The dial-in number is (877) 500-5931.

About EchoStar
EchoStar Corporation (NASDAQ: SATS) is a premier global provider of satellite operations and digital TV solutions that enhance today's home entertainment lifestyle. Its wholly owned subsidiary, Hughes, is the world's leading provider of satellite broadband for home and office, delivering innovative network technologies and managed network services for enterprises and governments in more than 100 countries. Among the many offerings of this combined powerhouse in broadband data and video are HughesNet®, the market's #1 high-speed satellite Internet service; Sling Media's award-winning SlingLoaded® technology; and Move Networks' adaptive bit-rate streaming technology.

Headquartered in Englewood, Colo. with employees worldwide, EchoStar has more than 25 years of experience designing, developing and distributing award-winning television set-top boxes, services and related delivery products for television. EchoStar delivers satellite broadband and transport services for enterprises, governments, small businesses, and consumers using 11 satellites and related broadcast licenses around the globe. For more information, please visit www.EchoStar.com and www.Hughes.com.

Forward-Looking Statements
This press release may contain "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Whenever you read a statement that is not simply a statement of historical fact (such as when we describe what we "believe," "intend," "plan," "estimate," "expect" or "anticipate" will occur and other similar statements), you must remember that our expectations may not be achieved, even though we believe they are reasonable. We do not guarantee that any future transactions or events described herein will happen as described or that they will happen at all. You should read this press release completely and with the understanding that actual future results may be materially different from what we expect. Whether actual events or results will conform with our expectations and predictions is subject to a number of risks and uncertainties. For further information regarding risks and uncertainties associated with EchoStar's business, please refer to the "Management's Discussion and Analysis of Financial Condition and Results of Operations" and "Risk Factors" sections of EchoStar's SEC filings.

ECHOSTAR CORPORATION
(In thousands)
(Unaudited)

For the Years Ended December 31,
--------------------------------
2011 2010 2009
---- ---- ----
Revenue:
Equipment
revenue -
DISH
Network $1,158,293 $1,470,173 $1,174,763
Equipment
revenue -
other 513,504 347,765 302,787
Services
and other
revenue -
DISH
Network 496,636 468,399 373,226
Services
and other
revenue -
other 592,998 64,032 52,783
Total
revenue 2,761,431 2,350,369 1,903,559
--------- --------- ---------

Costs and
Expenses:
(exclusive
of
depreciation
shown
below)
Cost of
sales -
equipment 1,414,791 1,553,129 1,267,172
Cost of
sales -
services
and other 492,702 236,356 203,123
Research
and
development
expenses 50,966 46,093 44,009
Selling,
general
and
administrative
expenses 288,575 128,366 116,737
General
and
administrative
expenses
-DISH
Network 14,701 15,189 23,497
Depreciation
and
amortization 385,894 228,911 244,129
Impairment
of long-
lived
asset 32,964 - -
Total
costs and
expenses 2,680,593 2,208,044 1,898,667
--------- --------- ---------

Operating
income
(loss) 80,838 142,325 4,892
------ ------- -----

Other
Income
(Expense):
Interest
income 10,821 14,472 26,441
Interest
expense,
net of
amounts
capitalized (82,593) (14,560) (32,315)
Unrealized
and
realized
gains
(losses)
on
marketable
investment
securities
and other
investments 13,666 2,923 119,461
Unrealized
gains
(losses)
on
investments
accounted
for at
fair
value,
net 15,871 144,473 313,000
Other, net (12,828) (860) (6,120)
Total
other
income
(expense) (55,063) 146,448 420,467
------- ------- -------

Income
(loss)
before
income
taxes $25,775 $288,773 $425,359
======= ======== ========

ECHOSTAR CORPORATION
(In thousands)
(Unaudited)

As of December 31,
------------------
2011 2010
---- ----

Cash and cash
equivalents $614,035 $141,814
Marketable
investment
securities 1,082,407 989,086

For the Years Ended December 31,
--------------------------------
2011 2010 2009
---- ---- ----

Net cash flows
from
operating
activities $447,018 $404,015 $196,276
======== ======== ========
Net cash flows
from
investing
activities $(1,888,045) $(238,558) $(114,278)
=========== ========= =========
Net cash flows
from
financing
activities $1,913,547 $(46,973) $(83,135)
========== ======== ========

SOURCE EchoStar Corporation

EchoStar Corporation

CONTACT: Investor Relations, Deepak Dutt, +1-301-428-1686; or Press, +1-303-706-5236, mediarelations@echostar.com

Web Site: http://www.EchoStar.com

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