1 Nunavut Trade Show & Conference

September 2017

Nunavut Trade Show and Conference

Iqaluit, Nunavut

September 19, 2017

Building a Better Backbone to Meet our Broadband Challenge

2 Nunavut Trade Show & Conference

September 2017

Telesat Leading Global Satellite Operator

Telesat is one of the largest, most successful satellite operators in the world supporting delivery of essential telecom and broadcast services in Canada’s North for the past 40+ years

• Headquartered in Canada with offices and facilities around the world

• 500 skilled workers worldwide – 80% in Canada

• Ottawa’s top ranked technology firm and 19th in Canada (2016 Branham 300 )

• 15 satellite global fleet with 2 HTS and 2 prototype LEO satellites under construction; manage operations of 3rd party satellites

• Global teleport and terrestrial infrastructure seamlessly integrated with Telesat’s satellite fleet

• Leading consultancy and Research & Development Lab

Privately Held by Loral Space & Communications (NASDAQ: LORL) and Canada’s Public Sector Pension Investment Board

Long history of innovation and industry firsts

World’s first commercial domestic communications satellite in geostationary orbit (1972)

First commercial satellite that offered direct-to-home (DTH) TV service on small dishes (1978)

First satellite to successfully commercialize consumer broadband services (2004)

Telesat issued patent for novel satellite orbit providing continuous Arctic coverage with substantial coverage of rest of world (2016)

Patent pending for Telesat’s low earth orbit (LEO) system (2016)

3 Nunavut Trade Show & Conference

September 2017

Global Satellite Coverage

4 Nunavut Trade Show & Conference

September 2017

*1 Petabyte = 1 million Gigabytes Source: Cisco Visual Networking Index, June 2017, and prior Cisco reports for data 2009 to 2015

Global IP data demand to grow ~2.9x from 2016 to 2021

Global Demand Surging for Internet Capacity

Cisco’s Global IP Traffic Growth, 2009-2021

46%

13%

23%

Historical Forecast

CAGR 2016-2021

Petabytes Per Month*

Fixed Internet

5 Nunavut Trade Show & Conference

September 2017

Meeting the Broadband Challenge

Between 2004 and 2007, Telesat launched three satellites with extensive coverage of Canada’s North:

• Anik F2

• Anik F3

• Anik F1R

C-band delivers high power and extremely reliable capacity over Canada’s North

C-band will continue to play a role in Canada and other satcom markets worldwide, but the industry is rapidly evolving toward greater use of new spectrum, such as Ka-band, and new high throughput satellite designs

Migrating to HTS • 2015 - Telesat’s T12V at 15oW covering South America and Europe • Provides Gbps capacity many times that of Anik satellites • Meeting new demands in the maritime and aeronautical markets • Huge potential to improve broadband for satellite users worldwide

Provide 72 C-band transponders of satellite

capacity

Anik F2 Ku/Ka-Bands

Anik F3 Ku-Band

Anik F1R Ku-Band

6 Nunavut Trade Show & Conference

September 2017

High Throughput Satellites

Satellite industry increasingly deploying High Throughput Satellites (HTS) and high throughput payloads in response to customers demanding more capacity at a lower cost per bit for internet connectivity

HTS deliver significantly increased throughput relative to conventional satellites by using multiple spot beams to achieve greater power per beam and frequency reuse reducing the cost per bit delivered

HTS are being deployed principally with Ku- and Ka-band payloads

Comparing High Throughput and Conventional Satellites

Conventional Satellite HTS

Provide large hemispheric or regional beams without frequency re-use or multiple spot beams

HTS almost exclusively make use of frequency re-use + multiple spot beams

7 Nunavut Trade Show & Conference

September 2017

Telesat’s GEO HTS Roadmap

3 HTS satellite programs underway T19V, T18V, T20V

Telstar 19V – Ku/Ka-band expansion satellite co-located with T14R at 63°W

• With our partners in the North, developed comprehensive coverage of satellite dependent communities of Canada’s North

• Under construction by Space Systems Loral launching on SpaceX Falcon 9 – Q2 2018

• 22 Gbps of capacity – 20x increase in capacity to the Nunavut communities

• Service providers building ground infrastructure in the those communities

• In-service Q3 2018

Telstar 18V – C/Ku band at 138oE for capacity in the Asian region

• SpaceX Falcon 9 launch in Q2 2018

• In-service Q3 2018

Telstar 20V – Ku/Ka/C and X/Ku bands at 109.2°W under development

• Enhanced coverage of Canada’s North, complementing T19V coverage

• Potentially doubling T19V capacity

8 Nunavut Trade Show & Conference

September 2017

T19V –

9 Nunavut Trade Show & Conference

September 2017

Telesat LEO Will Meet Most Demanding Customer Requirements LEO systems are well-suited to meet customer needs

• Constellation provides global coverage

• Orbit altitude allows low latency

• Massive frequency reuse results in high capacity

• Scale and technology advancements support low cost

Provides unmatched coverage of Canada’s North

Telesat’s innovative, patent pending architecture will realize the full potential of a LEO constellation

10 Nunavut Trade Show & Conference

September 2017

Telesat LEO Key Accomplishments to Date

Obtained priority ITU rights to LEO Ka-band spectrum on a global basis – approximately 4 GHz

Developed an innovative constellation design and system architecture

Procured two prototype LEO satellites for launch in 2nd half of 2017

• Brings into use priority ITU filing

• Allows in-orbit testing and trials

Discussions underway with potential partners and suppliers

Telesat’s design uses polar and inclined orbits to create a revolutionary global network

11 Nunavut Trade Show & Conference

September 2017

In Conclusion

Telesat has a longstanding and continued commitment to delivering reliable and efficient communications to Canada’s North. Continued investment is required in broadband infrastructure by both private sectors

and government agencies to address ever expanding demand for faster and better broadband

Time sensitive funding program to support existing capabilities and upcoming development

To capture growing demand for broadband services, Telesat is committed to making substantial capital investments in innovative, high capacity, new satellite architectures and infrastructure to connect Canada’s remote communities.

LEO Constellation will place Canada at the leading edge of satellite communications