Dish Network 2005 Annual Report Download - page 19

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9
EchoStar VIII. EchoStar VIII was launched during August 2002 and currently operates at the 110 degree orbital
location. The satellite was designed to operate 32 transponders at approximately 120 watts per channel, switchable
to 16 transponders operating at approximately 240 watts per channel. EchoStar VIII also includes spot-beam
technology. As previously disclosed, the satellite has experienced several anomalies since launch, but none have
reduced the 12-year estimated useful life of the satellite. However, there can be no assurance that future anomalies
will not cause further losses which could materially impact its commercial operation, or result in a total loss of the
satellite.
We depend on EchoStar VIII to provide service to CONUS at least until such time as our EchoStar XI satellite has
commenced commercial operation, which is currently expected during the second half of 2008. AMC-14, which is
expected to commence commercial operation in early 2008, also has the capability to act as a backup for EchoStar VIII
and could be launched to the 110 degree orbital location, if necessary. In the event that EchoStar VIII experienced a
total or substantial failure, we could transmit many, but not all, of those channels from other in-orbit satellites.
EchoStar IX. EchoStar IX was launched during August 2003 and currently operates at the 121 degree orbital
location. The satellite was designed to operate 32 FSS transponders operating at approximately 110 watts per
channel, along with transponders that can provide services in the Ka-Band (a “Ka-band payload”). EchoStar IX
provides expanded video and audio channels to DISH Network subscribers who install a specially-designed dish.
The Ka-band spectrum is being used to test and verify potential future broadband initiatives and to implement those
services. The satellite also includes a C-band payload which is owned by a third party. During the fourth quarter of
2006, EchoStar IX experienced the loss of one of its three momentum wheels, two of which are utilized during
normal operations. A spare wheel was switched in at the time and the loss did not reduce the 12-year estimated
useful life of the satellite. However, there can be no assurance future anomalies will not cause further losses, which
could impact the remaining life or commercial operation of the satellite.
EchoStar X. EchoStar X was launched during February 2006 and currently operates at the 110 degree orbital
location. Its 49 spot beams use up to 42 active 140 watt TWTAs to provide standard and HD local channels, and
other programming, to markets across the United States. In the event our EchoStar X satellite experienced a
significant failure, we would lose the ability to deliver local network channels in many markets. While we would
attempt to minimize the number of lost markets through the use of spare satellites and programming line up changes,
some markets would be without local channels until a replacement satellite with similar spot beam capability could
be launched and operational.
EchoStar XII. EchoStar XII was launched during July 2003 and currently operates at the 61.5 degree orbital location.
The satellite was designed to operate 13 transponders at 270 watts per channel, in CONUS mode, or 22 spot beams
using a combination of 135 and 65 watt TWTAs. We currently operate the satellite in CONUS mode. EchoStar XII
has a total of 24 solar array circuits, approximately 22 of which are required to assure full power for the original
minimum 12-year design life of the satellite. Prior to 2006, two solar array circuits failed, one of which was
subsequently restored to partial use. During 2006, three additional solar array circuits failed. The cause of the failures
is being investigated. While the design life of the satellite has not been affected, in future years the power loss will
cause a reduction in the number of transponders which can be operated. The exact extent of this impact has not yet
been determined. There can be no assurance future anomalies will not cause further losses, which could further impact
commercial operation of the satellite or its useful life. See discussion of evaluation of impairment in “Long-Lived
Satellite Assets” in Note 4 in the Notes to the Consolidated Financial Statements in Item 15 of this Annual Report on
Form 10-K.
Leased Satellites
We currently lease three in-orbit satellites which are being used to provide, among other things, standard and HD
programming to certain local markets, international programming, backup capacity and fixed satellite service
capacity on a wholesale commercial basis (rather than direct to consumers).
AMC-2. AMC-2 currently operates at the 85 degree orbital location. This SES Americom FSS satellite is equipped
with 24 medium power Ku FSS transponders. Our lease of this satellite is expected to continue through 2007.