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                           Before the 
                FEDERAL COMMUNICATIONS COMMISSION
                     Washington, D.C.  20554


In the Matter of                   )
                              )
PANAMSAT LICENSEE CORP.       )         File No. CSS-94-016
                              )
Application for Authority               )
to Construct, Launch and           )
Operate an Expansion Band          )
Satellite in its Separate               )
International Communications       )
Satellite System                   )


                  Order and Final Authorization

     Adopted:  April 16, 1997                Released:  April 17, 1997

By the Chief, Satellite and Radiocommunication Division:

     1.    By this Order, we grant PanAmSat Licensee Corporation ("PanAmSat") final 
authority to construct, launch, and operate a new satellite ("PAS-8") at the 43o W.L. orbit location
that will be a part of PanAmSat's international communications satellite system.   

                          I.  Background

     2.   By order released December 17, 1996, PanAmSat was granted conditional
authority to construct, launch and operate the PAS-8 satellite (PAS-8 order).  The authority was
conditioned on PanAmSat filing the requisite financial information demonstrating that it had
sufficient funds to cover costs of construction, launch and operation for one year.  This showing
is required before final authority can be granted.  On February 6, 1997, PanAmSat filed an
amendment to its application which included financial information concerning its ability to
construct, launch and operate the PAS-8 satellite for one year.  Based on this information, 
PanAmSat requested final authority for the PAS-8 satellite.  

                         II.  Discussion

     3.   As a threshold matter, the Commission's rules governing applications to construct
and operate fixed-satellite systems require that an applicant demonstrate its current financial
ability to meet construction, launch and first year operating costs.  This requirement is intended
to ensure that the orbit-spectrum resource is not tied up by entities unable to fulfill their plans. 
An applicant relying on internal financing must submit a current balance sheet documenting
current assets and operating income sufficient to cover its costs.  

     4.         In its amendment filed on  February 6, 1997, PanAmSat states that it has
analyzed the costs associated with the satellite, TT&C, communications gateway, and
management of PAS-8 through the first year of operation, and anticipates that it will cost
approximately $185 million to construct, launch, and operate PAS-8 for one year.  PanAmSat
notes that of that sum, it has expended approximately $109 million pursuant to authority granted
to it under Section 319(d) of the Communications Act.  

     5.   The financial information submitted by PanAmSat includes a balance sheet and
other financial documents of its parent, PanAmSat Corporation.  Our review of this financial
information demonstrates that PanAmSat possesses sufficient current assets and operating
revenues to fund the construction, launch, and operation of the PAS-8 satellite for one year.    
PanAmSat Corporation's balance sheet for September 30, 1996 shows current assets of $26.5
million.  In addition, PanAmSat Corporation's Statement of Operations shows that, for the nine
month period ending September 30, 1996, it had operating income of $77 million.  Based on this
information we find that PanAmSat Corporation's has sufficient current assets and operating
income to cover the remaining $79 million required to construct, launch and operate the PAS-8
satellite for one year.   
 
     6.   Accordingly, IT IS ORDERED that PanAmSat is granted final authority to
construct, launch, and operate its PAS-8 satellite at 43ø W.L. in accordance with the technical
specifications set forth in its application, as amended, and the conditions specified in paragraphs
11 and 12 of the PAS-8 order.

     7.   This Order is issued pursuant to Section 0.261 of the Commission's rules, 47
C.F.R.  0.261, and is effective upon adoption.  Petitions for reconsideration under Section 1.106
or applications for review under Section 1.115 of the Commission's rules, 47 C.F.R.  1.106,
1.115, may be filed within 30 days of the date of public notice of this order (see 47 C.F.R. 
1.4(b)(2)).



                         FEDERAL COMMUNICATIONS COMMISSION



                         Thomas S. Tycz
                         Chief, Satellite and Radiocommunication Division