Hughes Satellite Systems

The Hughes bankruptcy filing follows EchoStar’s playbook for its Dish division EchoStar’s operational upheaval continued this week as its Hughes Satellite Systems subsidiary filed for Chapter 11 bankruptcy protection, a move that comes a month after its Dish subsidiary filed for similar bankruptcy protection. 5 billion in upcoming bond payments. “We had discussions with the bondholders but weren't able to come up with a workable solution, so we filed Chapter 11 bankruptcy this morning for Hughes,” Ergen said during the earnings call. ” EchoStar’s Hughes operations have been financially and operationally challenged.

5 million this year. EchoStar lost approximately 59,000 connections during the most recent quarter due to lower gross connection additions and “increased competition,” ending the second quarter with around 622,000 segment connections. The Hughes bankruptcy filing follows EchoStar’s playbook for its Dish division. That subsidiary filed for bankruptcy protection at the end of June , a move that was caught between a pending debt payment and EchoStar waiting to close on a $23 billion spectrum sale to AT&T. The spectrum sale closed last week, with EchoStar gaining access to just over $20 billion in cash.

4 billion to fund payment of outstanding bills. ” Outside of its financial hurdles, EchoStar also announced that COO Paul Gaske resigned from all official roles with the company but will remain a senior advisor during a transition period. Gaske took on the EchoStar COO role in early 2023, having previously spent nearly 46 years in various roles at Hughes. EchoStar also appointed new executives to oversee the Hughes operations. Robert Del Genio will assume the chief restructuring officer title; Ramesh Ramaswamy is taking on the EVP and GM role at Hughes; and Michael Buenzow and Anthony Horton were appointed as independent directors of that division.