FREQUENTLY ASKED QUESTIONS
Globalstar USA owns and operates the land-based portion of the Globalstar network throughout the United States, Canada, Mexico and the Caribbean. This includes gateways (which switch calls to and from the satellite to the land-based public switched telephone network) located in and maintain billing and customer care operations.

GLOBALSTAR USA NAME CHANGE

Why are you changing your name from AirTouch Satellite Services to Globalstar USA?

We are changing our name to Globalstar USA in order to align our business more closely with the Globalstar worldwide brand. We want to clearly establish who we are -- the exclusive provider of Globalstar services in the United States Globalstar -- to our business partners and future customers.

The name change does not affect ownership of the subsidiary, which will continue to operate as a Vodafone AirTouch Plc. division.

Why is this announcement significant?

This announcement is just the first of many efforts to help build awareness of Globalstar. It corresponds with our upcoming advertising campaign and other marketing communications, which focus on the Globalstar brand rather than AirTouch Satellite Services.

How will this impact Globalstar customers?

It will not affect them directly, but our intention is to make it simpler for our prospective customers to understand the structure of our business. Because our distributors do all of the direct customer contact, we needed to create a more cohesive identity with the product and in turn, allow the focus to be on the distributors' companies.

GLOBALSTAR USA NAME CHANGE

What is Globalstar's strategy for launching commercial service?

Globalstar plans a phased rollout to meet customer requirements beginning in late fourth quarter of 1999.

• Phase 1 – Friendly user trials; collecting customer feedback on network performance at no cost to the customer
• Phase 2 – Soft Launch; limited commercial launch to key customers that have requested to be early users of the system
• Phase 3 – Commercial Launch; aggressively marketing products to targeted customer segments

What is Vodafone AirTouch Plc.'s role in Globalstar L.P.?

Vodafone AirTouch Plc. is an equity investor in the Globalstar Limited Partnership with an ownership stake of approximately nine percent. As one of the founding investors, we have the exclusive rights and responsibilities to seek licenses, operate gateways, and distribute services in 15 countries across North America, Europe, Asia, and Australia. These geographical regions include Canada, the Caribbean, Greece, Mexico, South Africa, the U.K., and the U.S.

PRODUCT & SERVICE INFORMATION

How will the Globalstar handset work?

The Globalstar tri-mode handset, manufactured by Qualcomm, will work like a cellular phone wherever cellular service is available, both in analog and digital mode in addition to satellite mode. What makes Globalstar service unique is the ability to switch to satellite mode when the user is out of cellular range.

The handset does work inside buildings when in cellular mode, however, in satellite mode, the handset requires direct line of sight with Globalstar satellites.

Ericsson and Telital are designing and manufacturing dual-mode handsets capable of operating in satellite or GSM mode (used in Europe and other regions that use GSM standards).

How long is the battery life?

In Globalstar satellite mode, the tri-mode phone has about 3.5 hours of talk time and about 9 hours of standby time. Both times should increase in capacity in the future as the system develops. When the phone is operated in digital cellular mode, it has about 4.5 hours of talk time and 72 hours of standby time. In traditional analog mode, the phone has at least 2.5 hours of talk time and 14 hours standby time.

How much will the service and phones cost?

We expect that on average the service will cost about $1.50 to $2.00 per minute (retail) in the United States and Canada, with calls to Mexico in the $2.00 range. Final retail prices will be determined individually by our distributors and will depend on the services bundled in the pricing packages and long distance charges.

The handsets should retail for around $1,200 to $1,500. Fixed phones will cost between $2,000 and $5,000 (retail), depending on how much equipment is required. For example, a payphone booth with solar panel energy source will be on the high end, while several desktop phones sharing an antenna will be on the low end on a per phone basis. Again Globalstar USA's local distributors will set retail prices for handsets appropriately.

Will there be a monthly access fee?

Distributors will be responsible for determining their own pricing plans. Plans will likely resemble cellular pricing plans in terms of structure. Depending on the type of pricing plan, there will most likely be a monthly access fee if you do not pay for any minutes up-front.

Can you transmit data over Globalstar? And at what speed?

Yes. Data services will be available in late 2000 at 9.6 Kbs/sec.

GLOBALSTAR L.P. INFORMATION

Where and when will Globalstar launch commercial service?

Globalstar is officially initiating a progressive, regional roll out of service beginning at the Telecom '99 show in Geneva in October 1999. Initial coverage will reach across North America, Western Europe and parts of Africa, Asia and South America, as well as Australia. Globalstar's services will be sold through its network of local service providers across the globe.

Will the Globalstar system provide global coverage?

Globalstar is developing the service such that, over time, global coverage will be achieved. However, some oceanic areas and the North and South Poles will not be covered.

In order to provide coverage, Globalstar must acquire operating licenses in every country and install a certain number of gateways around the world. When this work is accomplished, the system will have coverage where 99.9 percent of the world's population lives.

BUSINESS & MARKETING INFORMATION

Is there truly a market for mobile satellite communications?

Definitely, here in the United States but also abroad. There are certain segments of the market that are currently underserved by traditional landline and cellular phone networks. These markets include people in rural environments who need to be mobile: people, such as people in mining or forestry camps, personnel on oil rigs, truck drivers, the military, and outdoor sports people. There are also individuals on the fringes of cellular coverage who want a reliable way to communicate when they travel outside coverage areas.

It should be noted that while the phones can operate on cellular networks and closely resemble cellular phones, satellite service is different from cellular service. Satellite service is intended for use in remote, open areas where there is clear line-of-sight to the satellites. Satellite phone service, much like satellite TV, requires that the antenna be unobstructed and outside of a building.

Our commercial service launch and business strategy focuses on superior service delivery and is customer-focused, so we can best serve these individuals whose communications needs are still unmet.

How is the Globalstar system progressing?

To date, Globalstar has 36 satellites in orbit. The satellites are monitored and controlled by Globalstar's Satellite Control Center in San Jose, California. Globalstar partners are currently building 20 gateways worldwide. For more information, visit the Globalstar web site at www.globalstar.com.

TECHNOLOGY INFORMATION

What is path diversity and does every satellite communications provider have it?

It is a patented technology providing between two and four satellites per satellite call at any one time. While the satellite with the strongest signal “takes over” the call as all the satellites within line of sight move across the horizon, the remaining satellites also maintain contact with the call. Path diversity reduces call blockages and minimizes dropped calls. Globalstar is the only system with this patented technology.

What spectrum does Globalstar use?

The Globalstar system uses four separate segments of the radio frequency spectrum. These four segments proposed for Globalstar MSS operations are:

• User links:
  1610-1626.5 MHz (user-to-satellite)
  2483.5-2500 MHz (satellite-to-user)
• Feeder links: 5091-5250 MHz (gateway-to-satellite)
  6875-7055 MHz (satellite-to-gateway)

How much power is used to transmit from the handset?

The radio frequency power output is roughly the same as a cellular phone. Satellite phones are also likely to be larger in size than cellular phones because the antenna system required to communicate on the satellite frequencies must be larger than a cellular phone antenna.

HOW WE RELATE TO OTHER SATELLITE SERVICES

What are Globalstar's distinct advantages?

Globalstar is unique due to different technologies, distribution, and marketing. Depending upon the competition, we will have certain advantages. For example:
• More cost effective because the expensive processing power will be managed on the ground and not in orbit and because we are leveraging pre-existing technology wherever possible.
• More reliable because the CDMA patented technology, offering resistance to interference and improved voice quality.
• True satellite diversity so that at least two satellites and as many as four satellites will be in view at any one time to make and receive Globalstar calls.
• Better clarity, because we use CDMA technology and LEO satellites, which being closer to earth avoid the voice delay resulting from satellites orbiting at higher elevations.
• The capacity for global coverage (excluding the Poles and certain oceanic areas) not offered by existing GEO systems.

We use our own worldwide wireless expertise and experience in launching new wireless services to drive our business decisions and service launch strategy. That is why we have a very structured roll-out approach based on customer service and network quality to ensure that we can meet our customers' high standards.