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New ViaSat-1 Satellite Begins Commercial Service

Telesat-owned Canadian payload on ViaSat-1 is under contract with Xplornet, a leading wireless broadband provider in Canada and longstanding Telesat customer

OTTAWA, CANADA, February 14, 2012 – Telesat is pleased to announce that ViaSat-1, a powerful Ka-band satellite which is significantly expanding the quality and availability of high speed broadband for rural Canadians, has begun commercial service.

The newest addition to Telesat’s global fleet, ViaSat-1 is designed to provide more than 100 gigabits per second throughput, making it among the highest capacity satellites ever deployed. Manufactured by Space Systems/Loral using their proven 1300 platform, ViaSat-1 operates at 115.1 degrees West longitude using nine Ka-band spot beams over Canada and 63 over the United States. Telesat owns the nine Canadian beams on ViaSat-1 and has entered into a fifteen year service agreement with Xplornet Communications Inc. to make use of this capacity.

“With the capabilities of ViaSat-1, Internet subscribers in rural Canada are now able to have a superior online experience with true broadband performance,” said Dan Goldberg, Telesat’s President and CEO. “T he start of service for ViaSat-1 is an important milestone for Telesat that adds to our record of bringing advanced communications to Canada. We are pleased to be supporting our longstanding customer Xplornet as they deliver the very latest in affordable, reliable and high quality broadband services to rural Canadians.”

About Telesat (www.telesat.com)

Telesat is a leading global fixed satellite services operator providing reliable and secure satellite-delivered communications solutions worldwide to broadcast, telecom, corporate and government customers. Hea dquartered in Ottawa, Canada, with offices and facilities around the world, the company’s state-of-the-art fleet consists of 12 satellites plus the Canadian Ka-band payload on ViaSat-1 and two more satellites under construction. Telesat also manages the operations of additional satellites for third parties. Privately held, Telesat’s principal shareholders are Canada’s Public Sector Pension Investment Board and Loral Space & Communications Inc. (NASDAQ: LORL).

Forward-Looking Statements Safe Harbor

This news release contains statements that are not based on historical fact and are “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. When used in this news release, the words “anticipate”, “will”, “is designed to”, “operates” or other variations of these words or other similar expressions are intended to identify forward-looking statements and information. Actual results may differ materially from the expectations expressed or implied in the forward-looking statements as a result of known and unknown risks and uncertainties. Detailed information about some of the known risks and uncertainties is included in the “Risk Factors” section of Telesat Canada’s Annual Report on Form 20-F for the fiscal year ended December 31, 2010 filed with the United States Securities and Exchange Commission (SEC), as well as Telesat Canada’s quarterly reports on Form 6-K and other filings with the SEC. These filings can be obtained on the SEC’s website at http://www.sec.gov. Known risks and uncertainties include but are not limited to: risks associated with operating satellites and providing satellite services, including satellite construction or launch delays, launch failures, in -orbit failures, impaired satellite performance or inability to restore capacity, volatility in exchange rates and risks associated with domestic and foreign government regulation. The foregoing list of important factors is not exhaustive. The information contained in this news release reflects Telesat’s beliefs, assumptions, intentions, plans and expectations as of the date of this news release. Except as required by law, Telesat disclaims any obligation or undertaking to update or revise the information herein.

For further information:

Gerry Nagler, Telesat +1 908 698-4907 (gnagler@telesat.com)

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