EchoStar Merger Collapse Boosts Hughes’ Bottom Line

17 January 2003

Leading US satellite-TV operator Hughes Electronics is in at least one way profiting from the collapse of its merger with rival EchoStar: the resulting break-up fee has pushed the firm into the black for the fourth quarter.

EchoStar had to pay $600 million (€568m; £374m) to Hughes after the deal fell through, propelling the latter to a Q4 profit of $115.3m, up from a net loss of $132.6m last year.

Revenues, meanwhile, climbed 8.3% from $2.28 billion to $2.47bn.

Data sourced from: Washington Post Online; additional content by WARC staff