Spacecom has been informed by Israel Aerospace Industries (IAI) that IAI's insurers will pay a sum of $196 million, the full amount that was paid to IAI for the construction and delivery of the AMOS-6 satellite.
The sum will be paid directly into Spacecom's bank account during the month of November, 2016. Alongside this notice, IAI requested that Spacecom shall agree to delay this payment from the beginning of November, as required under the contract between them, until November 24, 2016. Spacecom acceded to this request.
Following receipt by Spacecom of the $196 million payment, the company and IAI will also discuss the interest to be paid. This sum of $196 million does not include a liquidated damages amount of $10 million that Spacecom is owed by IAI for construction delays of the AMOS-6 satellite, in accordance with the agreement between the companies. Spacecom reiterated to IAI that the company also demands the receipt of the full amount of liquidated damages.