CONVENTION

ON THE INTERNATIONAL MARITIME

SATELLITE ORGANIZATION

(INMARSAT)

with Annex

and Operating Agreement (1976);

as amended 1985;

with Protocol (1981)



ENTRY INTO FORCE: 16 Jul 1979


The States Parties to this Convention

Considering the principle set forth in Resolution 1721 (XVI) of the
General Assembly of the United Nations that communication by means of
satellites should be available to the nations of the world as soon as
practicable on a global and non-discriminatory basis,

Considering the relevant provisions of the Treaty on Principles Governing
the Activities of States in the Exploration and Use of Outer Space,
Including the Moon and Other Celestial Bodies, concluded on 27 January
1967, and in particular article 1, which states that outer space shall be
used for the benefit and in the interests of all countries,

Taking into account that a very high proportion of world trade is
dependent upon ships,

Being aware that considerable improvements to the maritime distress and
safety systems and to the communication link between ships and between
ships and their management as well as between crew or passengers on board
and persons on shore can be made by using satellites,

Determined, to this end, to make provision for the benefit of ships of
all nations through the most advanced suitable space technology
available, for the most efficient and economic facilities possible
consistent with the most efficient and equitable use of the radio
frequency spectrum and of satellite orbits,

Recognizing that a maritime satellite system comprises mobile earth
stations and land earth stations, as well as the space segment,

Affirming that a maritime satellite system shall also be open for
aeronautical communication for the benefit of aircraft of all nations,

Agree as follows:

                        Article 1. DEFINITIONS

For the purposes of this Convention:

    (a) "Operating Agreement" means the Operating Agreement on the
International Maritime Satellite Organization (INMARSAT), including its
annex.

    (b) "Party" means a State for which this Convention has entered into
force.

    (c) "Signatory" means either a Party or an entity designated in
accordance with article 2(3), for which the Operating Agreement has
entered into force.

    (d) "Space segment" means the satellites, and the tracking,
telemetry, command, control, monitoring and related facilities and
equipment required to support the operation of these satellites.

    (e) "INMARSAT space segment" means the space segment owned or leased
by INMARSAT.

    (f) "Ship" means a vessel of any type operating in the marine
environment. It includes inter alia hydrofoil boats, air-cushion
vehicles, submersibles, floating craft and platforms not permanently
moored.

    (g) "Property" means anything that can be the subject of a right of
ownership, including contractual rights.

    (h) "Aircraft" means any machine that can derive support in the
atmosphere from the reactions of the air other than the reactions of the
air against the earth's surface.

                Article 2. ESTABLISHMENT OF INMARSAT

(1) The International Maritime Satellite Organization (INMARSAT), herein
referred to as "the Organization", is hereby established.

(2) The Operating Agreement shall be concluded in conformity with the
provisions of this Convention and shall be opened for signature at the
same time as this Convention.

(3) Each Party shall sign the Operating Agreement or shall designate a
competent entity, public or private, subject to the jurisdiction of that
Party, which shall sign the Operating Agreement.

(4) Telecommunications administrations and entities may, subject to
applicable domestic law, negotiate and enter directly into appropriate
traffic agreements with respect to their use of telecommunications
facilities provided pursuant to this Convention and the Operating
Agreement, as well as with respect to services to be furnished to the
public, facilities, division of revenues and related business
arrangements.

                         Article 3. PURPOSE

(1) The purpose of the Organization is to make provision for the space
segment necessary for improving maritime communications and, as
practicable, aeronautical communications, thereby assisting in improving
communications for distress and safety of life, communications for air
traffic services, the efficiency and management of ships and aircraft,
maritime and aeronautical public correspondence services and
radiodetermination capabilities.

(2) The Organization shall seek to serve all areas where there is need
for maritime and aeronautical communications.

(3) The Organization shall act exclusively for peaceful purposes.

     Article 4. RELATIONS BETWEEN A PARTY AND ITS DESIGNATED ENTITY

Where a Signatory is an entity designated by a Party:

 (a)   Relations between the Party and the Signatory shall be governed by
       applicable domestic law.

 (b)   The Party shall provide such guidance and instructions as are
       appropriate and consistent with its domestic law to ensure that the
       Signatory fulfils its responsibilities. 

 (c)   The Party shall not be liable for obligations arising under the
       Operating Agreement. The Party shall, however, ensure that the
       Signatory, in carrying out its obligations within the Organization,
       will not act in a manner which violates obligations which the Party
       has accepted under this Convention or under related international
       agreements. 

 (d)   If the Signatory withdraws or its membership is terminated the
       Party shall act in accordance with article 29(3) or 30(6).

    Article 5. OPERATIONAL AND FINANCIAL PRINCIPLES OF THE ORGANIZATION

(1) The Organization shall be financed by the contributions of
Signatories. Each Signatory shall have a financial interest in the
Organization in proportion to its investment share which shall be
determined in accordance with the Operating Agreement.

(2) Each Signatory shall contribute to the capital requirements of the
Organization and shall receive capital repayment and compensation for use
of capital in accordance with the Operating Agreement.

(3) The Organization shall operate on a sound economic and financial
basis having regard to accepted commercial principles.

                  Article 6. PROVISION OF SPACE SEGMENT

The Organization may own or lease the space segment.

                   Article 7. ACCESS TO SPACE SEGMENT

(1) The INMARSAT space segment shall be open for use by ships and
aircraft of all nations on conditions to be determined by the Council. In
determining such conditions, the Council shall not discriminate among
ships or aircraft on the basis of nationality.

(2) The Council may, on a case-by-case basis, permit access to the
INMARSAT space segment by earth stations located on structures operating
in the marine environment other than ships, if and as long as the
operation of such earth stations will not significantly affect the
provision of service to ships or aircraft.

(3) Earth stations on land communicating via the INMARSAT space segment
shall be located on land territory under the jurisdiction of a Party and
shall be wholly owned by Parties or entities subject to their
jurisdiction. The Council may authorize otherwise if it finds this to be
in the interests of the Organization.

                    Article 8. OTHER SPACE SEGMENTS

(1) A Party shall notify the Organization in the event that it or any
person within its jurisdiction intends to make provision for, or initiate
the use of, individually or jointly, separate space segment facilities to
meet any or all of the maritime purposes of the INMARSAT space segment,
to insure technical compatibility and to avoid significant economic harm
to the INMARSAT system.

(2) The Council shall express its views in the form of a recommendation
of a non-binding nature with respect to technical compatibility and shall
provide its views to the Assembly with respect to economic harm.

(3) The Assembly shall express its views in the form of recommendations
of a non-binding nature within a period of nine months from the date of
commencing the procedures provided for in this article. An extraordinary
meeting of the Assembly may be convened for this purpose.

(4) The notification pursuant to paragraph (1), including the provision
of pertinent technical information, and subsequent consultations with the
Organization, shall take into account the relevant provisions of the
Radio Regulations of the International Telecommunication Union.

(5) This article shall not apply to the establishment, acquisition,
utilization or continuation of separate space segment facilities for
national security purposes, or which were contracted for, established,
acquired or utilized prior to the entry into force of this Convention.

                         Article 9. STRUCTURE


The organs of the Organization shall be: 

       (a) The Assembly. 
       (b) The Council. 
       (c) The Directorate headed by a Director General.

           Article 10. ASSEMBLY--COMPOSITION AND MEETINGS

    (1) The Assembly shall be composed of all the Parties.

    (2) Regular sessions of the Assembly shall be held once every two
years. Extraordinary sessions shall be convened upon the request of
one-third of the Parties or upon the request of the Council.

                    Article 11. ASSEMBLY--PROCEDURE

    (1) Each Party shall have one vote in the Assembly.

    (2) Decisions on matters of substance shall be taken by a two-thirds
majority, and on procedural matters by a simple majority, of the Parties
present and voting. Parties which abstain from voting shall be considered
as not voting.

    (3) Decisions whether a question is procedural or substantive shall
be taken by the Chairman. Such decisions may be overruled by a two-thirds
majority of the Parties present and voting.

    (4) A quorum for any meeting of the Assembly shall consist of a
majority of the Parties.

                     Article 12. ASSEMBLY--FUNCTIONS

(1) The functions of the Assembly shall be to:

 (a)   Consider and review the activities, purposes, general policy and
       long-term objectives of the Organization and express views and make
       recommendations thereon to the Council. 

 (b)   Ensure that the activities of the Organization are consistent with
       this Convention and with the purposes and principles of the United
       Nations Charter, as well as with any other treaty by which the
       Organization becomes bound in accordance with its decision. 

 (c)   Authorize, on the recommendation of the Council, the establishment
       of additional space segment facilities the special or primary
       purpose of which is to provide radiodetermination, distress or
       safety services. However, the space segment facilities established
       to provide maritime and aeronautical public correspondence services
       can be used for telecommunications for distress, safety and
       radiodetermination purposes without such authorization.

 (d)   Decide on other recommendations of the Council and express views on
       reports of the Council.
 (e)   Elect four representatives on the Council in accordance with
       article 13(1)(b).

 (f)   Decide upon questions concerning formal relationships between the
       Organization and States, whether Parties or not, and international
       organizations.

 (g)   Decide upon any amendment to this Convention pursuant to article 34
       or to the Operating Agreement pursuant to article XVIII thereof.


 (h)   Consider and decide whether membership be terminated in accordance
       with article 30.

 (i)   Exercise any other functions conferred upon it in any other article
       of this Convention or the Operating Agreement.

(2) In performing its functions the Assembly shall take into account any
relevant recommendations of the Council.

                     Article 13. COUNCIL--COMPOSITION

(1) The Council shall consist of twenty-two representatives of
Signatories as follows:

 (a)   Eighteen representatives of those Signatories, or groups of
       Signatories not otherwise represented, which have agreed to be
       represented as a group, which have the largest investment shares in
       the Organization. If a group of Signatories and a single Signatory
       have equal investment shares, the latter shall have the prior
       right. If by reason of two or more Signatories having equal
       investment shares the number of representatives on the Council
       would exceed twenty-two, all shall nevertheless, exceptionally, be
       represented.

 (b)   Four representatives of Signatories not otherwise represented on
       the Council, elected by the Assembly, irrespective of their
       investment shares, in order to ensure that the principle of just
       geographical representation is taken into account, with due regard
       to the interests of the developing countries. Any Signatory elected
       to represent a geographical area shall represent each Signatory in
       that geographical area which has agreed to be so represented and
       which is not otherwise represented on the Council. An election
       shall be effective as from the first meeting of the Council
       following that election, and shall remain effective until the next
       ordinary meeting of the Assembly.

(2) Deficiency in the number of representatives on the Council pending
the filling of a vacancy shall not invalidate the composition of the
Council.

                    Article 14. COUNCIL--PROCEDURE

(1) The Council shall meet as often as may be necessary for the efficient
discharge of its functions, but not less than three times a year. 

(2) The Council shall endeavor to take decisions unanimously. If
unanimous agreement cannot be reached, decisions shall be taken as
follows: Decisions on substantive matters shall be taken by a majority of
the representatives on the Council representing at least two-thirds of
the total voting participation of all Signatories and groups of
Signatories represented on the Council. Decisions on procedural matters
shall be taken by a simple majority of the representatives present and
voting, each having one vote. Disputes whether a specific matter is
procedural or substantive shall be decided by the Chairman of the
Council. The decision of the Chairman may be overruled by a two-thirds
majority of the representatives present and voting, each having one vote.
The Council may adopt a different voting procedure for the election of
its officers.

(3) (a) Each representative shall have a voting participation equivalent
to the investment share or shares he represents. However, no
representative may cast on behalf of one Signatory more than 25 per cent
of the total voting participation in the Organization except as provided
in sub-paragraph (b)(iv).

    (b) Notwithstanding article V(9), (10) and (12) of the Operating
Agreement:

    (i)      If a Signatory represented on the Council is entitled, based
             on its investment share to a voting participation in excess
             of 25 per cent of the total voting participation in the
             Organization, it may offer to other Signatories any or all of
             its investment share in excess of 25 per cent.

    (ii)     Other Signatories may notify the Organization that they are
             prepared to accept any or all of such excess investment
             share. If the total of the amounts notified to the
             Organization does not exceed the amount available for
             distribution, the latter amount shall be distributed by the
             Council to the notifying Signatories in accordance with the
             amounts notified. If the total of the amounts notified does
             exceed the amount available for distribution, the latter
             amount shall be distributed by the Council as may be agreed
             among the notifying Signatories, or, failing agreement, in
             proportion to the amounts notified.

   (iii)     Any such distribution shall be made by the Council at the
             time of determinations of investment shares pursuant to
             article V of the Operating Agreement. Any distribution shall
             not increase the investment share of any Signatory above 25
             per cent.

   (iv)      To the extent that the investment share of the Signatory in
             excess of 25 per cent offered for distribution is not
             distributed in accordance with the procedure set forth in
             this paragraph, the voting participation of the
             representative of the Signatory may exceed 25 per cent.

    (c) To the extent that a Signatory decides not to offer its excess
investment share to other Signatories, the corresponding voting
participation of that Signatory in excess of 25 per cent shall be
distributed equally to all other representatives on the Council.

(4) A quorum for any meeting of the Council shall consist of a majority
of the representatives on the Council, representing at least two-thirds
of the total voting participation of all Signatories and group of
Signatories represented on the Council.

                     Article 15. COUNCIL--FUNCTIONS

The Council shall have the responsibility, having due regard for the
views and recommendations of the Assembly, to make provision for the
space segment necessary for carrying out the purposes of the Organization
in the most economic, effective and efficient manner consistent with this
Convention and the Operating Agreement. To discharge this responsibility,
the Council shall have the power to perform all appropriate functions,
including:
 (a)   Determination of maritime and aeronautical satellite
       telecommunications requirements and adoption of policies, plans,
       programmes, procedures and measures for the design, development,
       construction, establishment, acquisition by purchase or lease
       operation, maintenance and utilization of the INMARSAT space
       segment, including the procurement of any necessary launch services
       to meet such requirements. 

 (b)   Adoption and implementation of management arrangements which shall
       require the Director General to contract for technical and
       operational functions whenever this is more advantageous to the
       Organization.

 (c)   Adoption of criteria and procedures for approval of earth stations
       on land, on ships, on aircraft, and on structures in the marine
       environment for access to the INMARSAT space segment and for
       verification and monitoring of performance of earth stations having
       access to and utilization of the INMARSAT space segment. For earth
       stations on ships and aircraft, the criteria should be in
       sufficient detail for use by national licensing authorities, at
       their discretion, for type-approval purposes.

 (d)   Submission of recommendations to the Assembly in accordance with
       article 12(1)(c). 

 (e)   Submission to the Assembly of periodic reports on the activities of
       the Organization, including financial matters.

 (f)   Adoption of procurement procedures, regulations and contract terms
       and approval of procurement contracts consistent with this
       Convention and the Operating Agreement.

 (g)   Adoption of financial policies, approval of the financial
       regulations, annual budget and annual financial statements,
       periodic determination of charges for use of the INMARSAT space
       segment, and decisions with respect to all other financial matters
       including investment shares and capital ceiling consistent with
       this Convention and the Operating Agreement.

 (h)   Determination of arrangements for consultation on a continuing
       basis with bodies recognized by the Council as representing
       shipowners, aircraft operators, maritime and aeronautical personnel
       and other users of maritime and aeronautical telecommunications.

 (i)   Designation of an arbitrator where the Organization is a party to
       an arbitration.

 (j)   Exercise of any other functions conferred upon it in any other
       Article of this Convention or the Operating Agreement or any other
       function appropriate for the achievement of the purposes of the
       Organization.

                         Article 16. DIRECTORATE

(1) The Director General shall be appointed, from among candidates
proposed by Parties or Signatories through Parties, by the Council,
subject to confirmation by the Parties. The Depositary shall immediately
notify the Parties of the appointment. The appointment is confirmed
unless within sixty days of the notification more than one-third of the
Parties have informed the Depositary in writing of their objection to the
appointment. The Director General may assume his functions after
appointment and pending confirmation.

(2) The term of office of the Director General shall be six years.
However, the Council may remove the Director General earlier on its own
authority. The Council shall report the reasons for the removal to the
Assembly.

(3) The Director General shall be the chief executive and legal
representative of the Organization and shall be responsible to and under
the direction of the Council.

(4) The structure, staff levels and standard terms of employment of
officials and employees and of consultants and other advisers to the
Directorate shall be approved by the Council.

(5) The Director General shall appoint the members of the Directorate.
The appointment of senior officials reporting directly to the Director
General shall be approved by the Council.

(6) The paramount consideration in the appointment of the Director
General and other personnel of the Directorate shall be the necessity of
ensuring the highest standards of integrity, competency and efficiency.

                Article 17. REPRESENTATION AT MEETINGS

All Parties and Signatories which, under this Convention or the Operating
Agreement are entitled to attend and/or participate at meetings of the
Organization shall be allowed to attend and/or participate at such
meetings as well as any other meeting held under the auspices of the
Organization, regardless of where the meeting may take place. The
arrangements made with any host country, shall be consistent with these
obligations.

                    Article 18. COSTS OF MEETINGS

(1) Each Party and Signatory shall meet its own costs of representation
at meetings of the Organization.

(2) Expenses of meetings of the Organization shall be regarded as an
administrative cost of the Organization. However, no meeting of the
Organization shall be held outside its headquarters, unless the
prospective host agrees to defray the additional expenditure involved.

            Article 19. ESTABLISHMENT OF UTILIZATION CHARGES

(1) The Council shall specify the units of measurement for the various
types of utilization of the INMARSAT space segment and shall establish
charges for such utilization. These charges shall have the objective of
earning sufficient revenues for the Organization to cover its operating,
maintenance, and administrative costs, the provision of such operating
funds as the Council may determine to be necessary, the amortization of
investment made by Signatories, and compensation for use of capital in
accordance with the Operating Agreement.

(2) The rates of utilization charge for each type of utilization shall be
the same for ail Signatories for that type of utilization.

(3) For entities, other than Signatories, which are authorized in
accordance with article 7 to utilize the INMARSAT space segment, the
Council may establish rates of utilization charge different from those
established for Signatories. The rates for each type of utilization shall
be the same for all such entities for that type of utilization.

                         Article 20. PROCUREMENT

(1) The procurement policy of the Council shall be such as to encourage,
in the interests of the Organization, world-wide competition in the
supply of goods and services. To this end:

 (a)   Procurement of goods and services required by the Organization,
       whether by purchase or lease, shall be effected by the award of
       contracts, based on responses to open international invitations to
       tender.

 (b)   Contracts shall be awarded to bidders offering the best combination
       of quality, price and the most favourable delivery time.


 (c)   If there are bids offering comparable combinations of quality,
       price and the most favourable delivery time, the Council shall
       award the contract so as to give effect to the procurement policy
       set out above.

(2) In the following cases the requirement of open international tender
may be dispensed with under procedures adopted by the Council, provided
that in so doing the Council shall encourage in the interests of the
Organization world-wide competition in the supply of goods and services:

 (a)   The estimated value of the contract does not exceed 50,000 US
       dollars and the award of the contract would not by reason of the
       application of the dispensation place a contractor in such a
       position as to prejudice at some later date the effective exercise
       by the Council of the procurement policy set out above. To the
       extent justified by changes in world prices, as reflected by
       relevant price indices, the Council may revise the financial limit.

 (b)   Procurement is required urgently to meet an emergency situation.

 (c)   There is only one source of supply to a specification which is
       necessary to meet the requirements of the Organization or the
       sources of supply are so severely restricted in number that it
       would be neither feasible nor in the best interest of the
       Organization to incur the expenditure and time involved in open
       international tender provided that where there is more than one
       source they will have an opportunity to bid on an equal basis.

 (d)   The requirement is of an administrative nature for which it would
       be neither practicable nor feasible to undertake open international
       tender.

 (e)   The procurement is for personal services.

            Article 21. INVENTIONS AND TECHNICAL INFORMATION

(1) The Organization, in connexion with any work performed by it or on
its behalf at its expense, shall acquire in inventions and technical
information those rights, but no more than those rights, which are
necessary in the common interests of the Organization and of the
Signatories in their capacity as such. In the case of work done under
contract any such rights obtained shall be on a non-exclusive basis.

(2) For the purpose of paragraph (1) the Organization, taking into
account its principles and objectives and generally accepted industrial
practices, shall, in connexion with such work involving a significant
element of study, research or development ensure for itself:

 (a)   The right to have disclosed to it without payment all inventions
       and technical information generated by such work.

 (b)   The right to disclose and to have disclosed to Parties and
       Signatories and others within the jurisdiction of any Party such
       inventions and technical information, and to use and to authorize
       and to have authorized Parties and Signatories and such others to
       use such inventions and technical information without payment in
       connexion with the INMARSAT space segment and any earth station on
       land, ship or aircraft operating in conjunction therewith.

(3) In the case of work done under contract, ownership of the rights in
inventions and technical information generated under the contract shall
be retained by the contractor.

(4) The Organization shall also ensure for itself the right, on fair and
reasonable terms and conditions, to use and to have used inventions and
technical information directly utilized in the execution of work
performed on its behalf but not included in paragraph (2), to the extent
that such use is necessary for the reconstruction or modification of any
product actually delivered under a contract financed by the Organization,
and to the extent that the person who has performed such work is entitled
to grant such right.

(5) The Council may in individual cases approve a deviation from the
policies prescribed in paragraphs (2)(b) and (4), where in the course of
negotiation it is demonstrated to the Council that failure to deviate
would be detrimental to the interests of the Organization.

(6) The Council may also, in individual cases where exceptional
circumstances warrant, approve a deviation from the policy prescribed in
paragraph (3) where all the following conditions are met:

 (a)   It is demonstrated to the Council that failure to deviate would be
       detrimental to the interests of the Organization.

 (b)   The Council determines that the Organization should be able to
       ensure patent protection in any country.

 (c)   Where, and to the extent that, the contractor is unable or
       unwilling to ensure such patent protection within the time
       required.

(7) With respect to inventions and technical information in which rights
are acquired by the Organization otherwise than pursuant to paragraph
(2), the Organization, to the extent that it has the right to do so,
shall upon request:

 (a)   Disclose or have disclosed such inventions and technical
       information to any Party or Signatory subject to reimbursement of
       any payment made by or required of the Organization in respect of
       the exercise of this right of disclosure.

 (b)   Make available to any Party or Signatory the right to disclose or
       have disclosed to others within the jurisdiction of any Party and
       to use and to authorize and to have authorized such others to use
       such inventions and technical information:

    (i)      Without payment in connexion with the INMARSAT space segment
             or any earth station on land, ship or aircraft operating in
             conjunction therewith.

    (ii)     For any other purpose, on fair and reasonable terms and
             conditions to be settled between Signatories or others within
             the jurisdiction of any Party and the Organization or the
             owner of the inventions and technical information or any
             other authorized entity or person having a property interest
             therein, and subject to reimbursement of any payment made by
             or required of the Organization in respect of the exercise of
             these rights.

(8) The disclosure and use, and the terms and conditions of disclosure
and use, of all inventions and technical information in which the
Organization has acquired any rights shall be on a non-discriminatory
basis with respect to all Signatories and others within the jurisdiction
of Parties.

(9) Nothing in this article shall preclude the Organization, if
desirable, from entering into contracts with persons subject to domestic
laws and regulations relating to the disclosure of technical information.

                         Article 22. LIABILITY

Parties are not, in their capacity as such, liable for the acts and
obligations of the Organization, except in relation to non-Parties or
natural or juridical persons they might represent in so far as such
liability may follow from treaties in force between the Party and the
non-Party concerned. However, the foregoing does not preclude a Party
which has been required to pay compensation under such a treaty to a
non-Party or to a natural or juridical person it might represent from
invoking any rights it may have under that treaty against any other
Party.

                        Article 23. EXCLUDED COSTS

Taxes on income derived from the Organization by any of the Signatories
shall not form part of the costs of the Organization.

                            Article 24. AUDIT

The accounts of the Organization shall be audited annually by an
independent Auditor appointed by the Council. Any Party or Signatory
shall have the right to inspect the accounts of the Organization.

                       Article 25. LEGAL PERSONALITY

The Organization shall have legal personality and shall be responsible
for its acts and obligations. For the purpose of its proper functioning,
it shall, in particular, have the capacity to contract, to acquire,
lease, hold and dispose of movable and immovable property, to be a party
to legal proceedings and to conclude agreements with States or
international organizations.

                   Article 26. PRIVILEGES AND IMMUNITIES

(1) Within the scope of activities authorized by this Convention, the
Organization and its property shall be exempt in all States Parties to
this Convention from all national income and direct national property
taxation and from customs duties on communication satellites and
components and parts for such satellites to be launched for use in the
INMARSAT space segment. Each Party undertakes to use its best endeavours
to bring about, in accordance with the applicable domestic procedure,
such further exemption from income and direct property taxation and
customs duties as is desirable, bearing in mind the particular nature of
the Organization.

(2) All Signatories acting in their capacity as such, except the
Signatory designated by the Party in whose territory the headquarters is
located, shall be exempt from national taxation on income earned from the
Organization in the territory of that Party.

(3) (a) As soon as possible after the entry into force of this
Convention, the Organization shall conclude, with any Party in whose
territory the Organization establishes its headquarters, other offices or
installations, an agreement to be negotiated by the Council and approved
by the Assembly, relating to the privileges and immunities of the
Organization, its Director General, its staff, of experts performing
missions for the Organization and of representatives of Parties and
Signatories whilst in the territory of the host Government for the
purpose of exercising their functions.

    (b) The agreement shall be independent of this Convention and shall
terminate by agreement between the host Government and the Organization
or if the headquarters of the Organization are moved from the territory
of the host Government.

(4) All Parties other than a Party which has concluded an agreement
referred to in paragraph (3) shall as soon as possible after the entry
into force of this Convention conclude a Protocol on the privileges and
immunities of the Organization, its Director General, its staff, of
experts performing missions for the Organization and of representatives
of Parties and Signatories whilst in the territory of Parties for the
purposes of exercising their functions. The Protocol shall be independent
of this Convention and shall prescribe the conditions for its
termination.

     Article 27. RELATIONSHIP WITH OTHER INTERNATIONAL ORGANIZATIONS

The Organization shall co-operate with the United Nations and its bodies
dealing with the Peaceful Uses of Outer Space and Ocean Area, its
Specialized Agencies, as well as other international organizations, on
matters of common interest. In particular the Organization shall take
into account the relevant international standards, regulations,
resolutions, procedures and recommendations of the International Maritime
Organization and the International Civil Aviation Organization. The
Organization shall observe the relevant provisions of the International
Telecommunication Convention and regulations made thereunder, and shall
in the design, development, construction and establishment of the
INMARSAT space segment and in the procedures established for regulating
the operation of the INMARSAT space segment and of earth stations give
due consideration to the relevant resolutions, recommendations and
procedures of the organs of the International Telecommunication Union.

  Article 28. NOTIFICATION TO THE INTERNATIONAL TELECOMMUNICATION UNION

Upon request from the Organization, the Party in whose territory the
Headquarters of the Organization is located shall co-ordinate the
frequencies to be used for the space segment and shall, on behalf of each
Party that consents, notify the International Telecommunication Union of
the frequencies to be so used and other information, as provided for in
the Radio Regulations annexed to the International Telecommunication
Convention.

                       Article 29. WITHDRAWAL

(1) Any Party or Signatory may by written notification to the Depositary
withdraw voluntarily from the Organization at any time. Once a decision
has been made under applicable domestic law that a Signatory may
withdraw, notice of the withdrawal shall be given in writing to the
Depositary by the Party which has designated the Signatory, and the
notification shall signify the acceptance by the Party of the withdrawal.
Withdrawal of a Party, in its capacity as such, shall entail the
simultaneous withdrawal of any Signatory designated by the Party or of
the Party in its capacity as Signatory, as the case may be.

(2) Upon receipt by the Depositary of a notice to withdraw, the Party
giving notice and any Signatory which it has designated, or the Signatory
in respect of which notice has been given, as the case may be, shall
cease to have any rights of representation and any voting rights in any
organ of the Organization and shall incur no obligation after the date of
such receipt. However, a withdrawing Signatory shall remain responsible,
unless otherwise decided by the Council pursuant to article XIII of the
Operating Agreement, for contributing its share of the capital
contributions necessary to meet contractual commitments specifically
authorized by the Organization before the receipt and liabilities arising
from acts or omissions before the receipt. Except with respect to such
capital contributions and except with respect to article 31 of this
Convention and article XVI of the Operating Agreement, withdrawal shall
become effective and this Convention and/ or the Operating Agreement
shall cease to be in force for the Party and/or Signatory three months
after the date of receipt by the Depositary of the written notification
referred to in paragraph (1).

(3) If a Signatory withdraws, the Party which designated it shall, before
the effective date of withdrawal and with effect from that date,
designate a new Signatory, assume the capacity of a Signatory in
accordance with paragraph (4), or withdraw. If the Party has not acted by
the effective date, it shall be considered to have withdrawn as from that
date. Any new Signatory shall be responsible for all the outstanding
capital contributions of the previous Signatory and for the proportionate
share of any capital contributions necessary to meet contractual
commitments specifically authorized by the Organization, and liabilities
arising from acts or omissions, after the date of receipt of the notice.

(4) If for any reason a Party desires to substitute itself for its
designated Signatory or to designate a new Signatory, it shall give
written notice to the Depositary. Upon assumption by the new Signatory of
all the outstanding obligations, as specified in the last sentence of
paragraph (3), of the previously designated Signatory and upon signature
of the Operating Agreement, that Agreement shall enter into force for the
new Signatory and shall cease to be in force for the previous Signatory.

                Article 30. SUSPENSION AND TERMINATION

(1) Not less than one year after the Directorate has received written
notice that a Party appears to have failed to comply with any obligation
under this Convention, the Assembly, after considering any
representations made by the Party, may decide, if it finds that the
failure to comply has in fact occurred and that such failure impairs the
effective operation of the Organization, that the membership of the Party
is terminated. This Convention shall cease to be in force for the Party
as from the date of the decision or at such later date as the Assembly
may determine. An extraordinary session of the Assembly may be convened
for this purpose. The termination shall entail the simultaneous
withdrawal of any Signatory designated by the Party or of the Party in
its capacity as Signatory, as the case may be. The Operating Agreement
shall cease to be in force for the Signatory on the date on which this
Convention ceases to be in force for the Party concerned, except with
respect to capital contributions necessary to meet contractual
commitments specifically authorized by the Organization before the
termination and liabilities arising from acts or omissions before the
termination, and except with respect to article 31 of this Convention and
article XVI of the Operating Agreement.

(2) If any Signatory, in its capacity as such, fails to comply with any
obligation under this Convention or the Operating Agreement, other than
obligations under article III(1) of the Operating Agreement and the
failure has not been remedied within three months after the Signatory has
been notified in writing of a resolution of the Council taking note of
the failure to comply, the Council, after considering any representations
made by the Signatory and, if applicable, the Party concerned may suspend
the rights of the Signatory. If, after an additional three months and
after consideration of any representations made by the Signatory and, if
applicable, the Party, the Council finds that the failure to comply has
not been remedied, the Assembly may decide on the recommendation of the
Council that the membership of the Signatory is terminated. Upon the date
of such decision, the termination shall become effective and the
Operating Agreement shall cease to be in force for that Signatory.

(3) If any Signatory fails to pay any amount due from it pursuant to
article III(1) of the Operating Agreement within four months after the
payment has become due, the rights of the Signatory under this Convention
and the Operating Agreement shall be automatically suspended. If within
three months after the suspension the Signatory has not paid all sums due
or the Party which has designated it has not made a substitution pursuant
to article 29(4), the Council, after considering any representations made
by the Signatory or by the Party which has designated it, may decide that
the membership of the Signatory is terminated. From the date of such
decision, the Operating Agreement shall cease to be in force for the
Signatory.

(4) During the period of suspension of the rights of a Signatory pursuant
to paragraphs (2) or (3), the Signatory shall continue to have all the
obligations of a Signatory under this Convention and the Operating
Agreement.

(5) A Signatory shall incur no obligation after termination, except that
it shall be responsible for contributing its share of the capital
contributions necessary to meet contractual commitments specifically
authorized before the termination and liabilities arising from acts or
omissions before the termination, and except with respect to article 31
of this Convention and article XVI of the Operating Agreement.

(6) If the membership of a Signatory is terminated, the Party which
designated it shall, within three months from the date of the termination
and with effect from that date, designate a new Signatory, assume the
capacity of a Signatory in accordance with article 29(4), or withdraw. If
the Party has not acted by the end of that period, it shall be considered
to have withdrawn as from the date of termination, and this Convention
shall cease to be in force for the Party as from that date.

(7) Whenever this Convention has ceased to be in force for a Party,
settlement between the Organization and any Signatory designated by that
Party or that Party in its capacity as Signatory, shall be accomplished
as provided in article XIII of the Operating Agreement.

                   Article 31. SETTLEMENT OF DISPUTES

(1) Disputes arising between Parties, or between Parties and the
Organization relating to rights and obligations under this Convention
should be settled by negotiation between the parties concerned. If within
one year of the time any party has requested settlement, a settlement has
not been reached and if the parties to the dispute have not agreed to
submit it to the International Court of Justice or to some other
procedure for settling disputes, the dispute may, if the parties to the
dispute consent, be submitted to arbitration in accordance with the annex
to this Convention. Any decision of an arbitral tribunal in a dispute
between Parties, or between Parties and the Organization, shall not
prevent or affect a decision of the Assembly pursuant to article 30(1),
that the Convention shall cease to be in force for a Party.

(2) Unless otherwise mutually agreed, disputes arising between the
Organization and one or more Parties under agreements concluded between
them, if not settled by negotiation within one year of the time any party
has requested settlement, shall, at the request of any party to the
dispute, be submitted to arbitration in accordance with the annex to this
Convention.

(3) Disputes arising between one or more Parties and one or more
Signatories in their capacity as such, relating to rights and obligations
under this convention or the Operating Agreement may be submitted to
arbitration in accordance with the annex to this Convention if the Party
or Parties and the Signatory or Signatories involved agree to such
arbitration.

(4) This article shall continue to apply to a Party or Signatory which
ceases to be a Party or Signatory, in respect of disputes relating to
rights and obligations arising from its having been a Party or Signatory.

                 Article 32. SIGNATURE AND RATIFICATION

(1) This Convention shall remain open for signature in London until entry
into force and shall thereafter remain open for accession. All States may
become Parties to the Convention by:

 (a)   Signature not subject to ratification, acceptance or approval, or

 (b)   Signature subject to ratification, acceptance or approval, followed
       by ratification, acceptance or approval, or 

 (c)   Accession.

(2) Ratification, acceptance, approval or accession shall be effected by
the deposit of the appropriate instrument with the Depositary.

(3) On becoming a Party to this Convention, or at any time thereafter, a
State may declare, by written notification to the Depositary, to which
Registers of ships, to which aircraft operating under its authority, and
to which land earth stations under its jurisdiction, the Convention shall
apply.

(4) No State shall become a Party to this Convention until it has signed,
or the entity it has designated, has signed the Operating Agreement.
(5) Reservations cannot be made to this Convention or the Operating
Agreement.

                       Article 33. ENTRY INTO FORCE

(1) This Convention shall enter into force sixty days after the date on
which States representing 95 per cent of the initial investment shares
have become Parties to the Convention.

(2) Notwithstanding paragraph (1), if the Convention has not entered into
force within thirty-six months after the date it was opened for
signature, it shall not enter into force.

(3) For a State which deposits an instrument of ratification, acceptance,
approval or accession after the date on which the Convention has entered
into force, the ratification, acceptance, approval or accession shall
take effect on the date of deposit.

                         Article 34. AMENDMENTS

(1) Amendments to this Convention may be proposed by any Party. Proposed
amendments shall be submitted to the Directorate, which shall inform the
other Parties and Signatories. Three months' notice is required before
consideration of an amendment by the Council, which shall submit its
views to the Assembly within a period of six months from the date of
circulation of the amendment. The Assembly shall consider the amendment
not earlier than six months thereafter, taking into account any views
expressed by the Council. This period may, in any particular case, be
reduced by the Assembly by a substantive decision.

(2) If adopted by the Assembly, the amendment shall enter into force one
hundred and twenty days after the Depositary has received notices of
acceptance from two-thirds of those States which at the time of adoption
by the Assembly were Parties and represented at least two thirds of the
total investment shares. Upon entry into force, the amendment shall
become binding upon all Parties and Signatories, including those which
have not accepted it.

                         Article 35. DEPOSITARY

(1) The Depositary of this Convention shall be the Secretary-General of
the International Maritime Organization.

(2) The Depositary shall promptly inform all signatory and acceding
States and all Signatories of:

 (a)   Any signature of the Convention. 
 (b)   The deposit of any instrument of ratification, acceptance, approval
       or accession. 
 (c)   The entry into force of the Convention. 
 (d)   The adoption of any amendment to the Convention and its entry into
       force. 
 (e)   Any notification of withdrawal.
 (f)   Any suspension or termination.
 (g)   Other notifications and communications relating to the Convention.

(3) Upon entry into force of the Convention the Depositary shall transmit
a certified copy to the Secretariat of the United Nations for
registration and publication in accordance with Article 102 of the
Charter of the United Nations.

IN WITNESS WHEREOF the undersigned, duly authorized by their respective
Governments, have signed this Convention.

DONE at London this third day of September one thousand nine hundred and
seventy-six in the English, French, Russian and Spanish languages, all
the texts being equally authentic, in a single original which shall be
deposited with the Depositary, who shall send a certified copy to the
Government of each of the States which were invited to attend the
International Conference on the Establishment of an International
Maritime Satellite System and to the Government of any other State which
signs or accedes to this Convention.


                                  ANNEX

               PROCEDURES FOR THE SETTLEMENT OF DISPUTES 
              REFERRED TO IN ARTICLE 31 OF THE CONVENTION
              AND ARTICLE XVI OF THE OPERATING AGREEMENT

Article 1. Disputes cognizable pursuant to article 31 of the Convention
or article XVI of the Operating Agreement shall be dealt with by an
arbitral tribunal of three members.

Article 2. Any petitioner or group of petitioners wishing to submit a
dispute to arbitration shall provide each respondent and the Directorate
with a document containing:

 (a)   A full description of the dispute, the reasons why each respondent
       is required to participate in the arbitration, and the measures
       being requested.

 (b)   The reasons why the subject matter of the dispute comes within the
       competence of a tribunal and why the measures requested can be
       granted if the tribunal finds in favour of the petitioner.

 (c)   An explanation why the petitioner has been unable to achieve a
       settlement of the dispute by negotiation or other means short of
       arbitration.

 (d)   Evidence of the agreement or consent of the disputants when this is
       a condition for arbitration.


 (e)   The name of the person designated by the petitioner to serve as a
       member of the tribunal.

The Directorate shall promptly distribute a copy of the document to each
Party and Signatory.

Article 3. (1) Within sixty days from the date copies of the document
described in article 2 have been received by all the respondents, they
shall collectively designate an individual to serve as a member of the
tribunal. Within that period, the respondents may jointly or individually
provide each disputant and the Directorate with a document stating their
individual or collective responses to the document referred to in article
2 and including any counterclaims arising out of the subject matter of
the dispute.

(2) Within thirty days after the designation of the two members of the
tribunal, they shall agree on a third arbitrator. He shall not be of the
same nationality as, or resident in the territory of, any disputant, or
in its service.

(3) If either side fails to nominate an arbitrator within the period
specified or if the third arbitrator is not appointed within the period
specified, the President of the International Court of Justice, or, if he
is prevented from acting or is of the same nationality as a disputant,
the Vice-President, or, if he is prevented from acting or is of the same
nationality as a disputant, the senior judge who is not of the same
nationality as any disputant, may at the request of either disputant,
appoint an arbitrator or arbitrators as the case requires.

(4) The third arbitrator shall act as president of the tribunal.

(5) The tribunal is constituted as soon as the president is selected.

Article 4. (1) If a vacancy occurs in the tribunal for any reason which
the president or the remaining members of the tribunal decide is beyond
the control of the disputants, or is compatible with the proper conduct
of the arbitration proceedings, the vacancy shall be filled in accordance
with the following provisions:

 (a)   If the vacancy occurs as a result of the withdrawal of a member
       appointed by a side to the dispute, then that side shall select a
       replacement within ten days after the vacancy occurs.

 (b)   If the vacancy occurs as a result of the withdrawal of the
       president or of a member appointed pursuant to article 3(3), a
       replacement shall be selected in the manner described in paragraph
       (2) or (3), respectively, of article 3.

(2) If a vacancy occurs for any other reason, or if a vacancy occurring
pursuant to paragraph (1) is not filled, the remainder of the tribunal
shall have the power, notwithstanding article 1, upon request of one
side, to continue the proceedings and give the final decision of the
tribunal.

Article 5. (1) The tribunal shall decide the date and place of its
meetings.

(2) The proceedings shall be held in private and all material presented
to the tribunal shall be confidential. However, the Organization and any
Party which has designated a Signatory which is a disputant in the
proceedings shall have the right to be present and shall have access to
the material presented. When the Organization is a disputant in the
proceedings, all Parties and all Signatories shall have the right to be
present and shall have access to the material presented.

(3) In the event of a dispute over the competence of the tribunal, the
tribunal shall deal with that question first.

(4) The proceedings shall be conducted in writing, and each side shall
have the right to submit written evidence in support of its allegations
of fact and law. However, oral arguments and testimony may be given if
the tribunal considers it appropriate.

(5) The proceedings shall commence with the presentation of the case of
the petitioner containing its arguments, related facts supported by
evidence and the principles of law relied upon. The case of the
petitioner shall be followed by the counter-case of the respondent. The
petitioner may submit a reply to the counter-case of the respondent and
the respondent may submit a rejoinder. Additional pleadings shall be
submitted only if the tribunal determines they are necessary.

(6) The tribunal shall hear and determine counter-claims arising directly
out of the subject matter of the dispute, if the counter-claims are
within its competence as defined in article 31 of the Convention and
article XVI of the Operating Agreement.

(7) If the disputants reach an agreement during the proceedings, the
agreement shall be recorded in the form of a decision of the tribunal
given by consent of the disputants.

(8) At any time during the proceedings, the tribunal may terminate the
proceedings if it decides the dispute is beyond its competence as defined
in article 31 of the Convention or article XVI of the Operating
Agreement.

(9) The deliberations of the tribunal shall be secret.

(10) The decisions of the tribunal shall be presented in writing and
shall be supported by a written opinion. Its rulings and decisions must
be supported by at least two members. A member dissenting from the
decision may submit a separate written opinion.

(11) The tribunal shall forward its decision to the Directorate, which
shall distribute it to all Parties and Signatories.

(12) The tribunal may adopt additional rules of procedure, consistent
with those established by this annex, which are appropriate for the
proceedings.

Article 6. If one side fails to present its case, the other side may call
upon the tribunal to give a decision on the basis of its presentation.
Before giving its decision, the tribunal shall satisfy itself that it has
competence and that the case is well-founded in fact and in law.

Article 7. (1) Any Party whose Signatory is a disputant shall have the
right to intervene and become an additional disputant. Intervention shall
be made by written notification to the tribunal and to the other
disputants.

(2) Any other Party, any Signatory or the Organization may apply to the
tribunal for permission to intervene and become an additional disputant.
The tribunal shall grant permission if it determines that the applicant
has a substantial interest in the case.

Article 8. The tribunal may appoint experts to assist it at the request
of a disputant or on its own initiative.

Article 9. Each Party, each Signatory and the Organization shall provide
all information which the tribunal, at the request of a disputant or on
its own initative, determines to be required for the handling and
determination of the dispute.

Article 10. Pending the final decision, the tribunal may indicate any
provisional measures which it considers ought to be taken to preserve the
respective rights of the disputants.

Article 11. (1) The decision of the tribunal shall be in accordance with
international law and be based on:

 (a)   The Convention and the Operating Agreement.
 (b)   Generally accepted principles of law.

(2) The decision of the tribunal, including any reached by agreement of
the disputant pursuant to article 5(7), shall be binding on all the
disputants, and shall be carried out by them in good faith. If the
Organization is a disputant, and the tribunal decides that a decision of
any organ of the Organization is null and void as not being authorized by
or in compliance with the Convention and the Operating Agreement, the
decision of the tribunal shall be binding on all Parties and Signatories.

(3) If a dispute arises as to the meaning or scope of its decision, the
tribunal shall construe it at the request of any disputant.

Article 12. Unless the tribunal determines otherwise because of the
particular circumstances of the case, the expenses of the tribunal,
including the remuneration of the members of the tribunal, shall be borne
in equal shares by each side. Where a side consists of more than one
disputant, the tribunal shall apportion the share of that side among the
disputants on that side. Where the Organization is a disputant, its
expenses associated with the arbitration shall be regarded as an
administrative cost of the Organization.



        OPERATING AGREEMENT ON THE INTERNATIONAL MARITIME SATELLITE
                        ORGANIZATION (INMARSAT)

The Signatories to this Operating Agreement,

Considering that the States Parties to the Convention on the
International Maritime Satellite Organization (INMARSAT) have undertaken
therein to sign, or to designate a competent entity to sign, this
Operating Agreement,

Agree as follows:

                        Article I. DEFINITIONS

(1) For the purposes of this Agreement:

 (a)  "Convention" means the Convention on the International Maritime
      Satellite Organization (INMARSAT) including its annex.

 (b)  "Organization" means the International Maritime Satellite
      Organization (INMARSAT) established by the Convention.

 (c)  "Amortization" includes depreciation; it does not include
      compensation for use of capital.

(2) The definitions in article 1 of the Convention shall apply to this
Agreement.

            Article II. RIGHTS AND OBLIGATIONS OF SIGNATORIES

(1) Each Signatory acquires the rights provided for Signatories in the
Convention and this Agreement and undertakes to fulfil the obligations
placed upon it by these two instruments.

(2) Each Signatory shall act consistently with all provisions of the
Convention and this Agreement.

                   Article III. CAPITAL CONTRIBUTIONS

(1) In proportion to its investment share, each Signatory shall make
contributions to the capital requirements of the Organization and shall
receive capital repayment and compensation for use of capital, as
determined by the Council in accordance with the Convention and this
Agreement.

(2) Capital requirements shall include:

 (a)  All direct and indirect costs of the design, development,
      acquisition, construction and establishment of the INMARSAT space
      segment, of the acquisition of contractual rights by means of
      lease, and of other property of the Organization.

 (b)  Funds required for operating, maintenance and administrative costs
      of the Organization pending availability of revenues to meet such
      costs, and pursuant to article VIII(3).

 (c)  Payments by Signatories pursuant to article XI.

(3) Interest at a rate to be determined by the Council shall be added to
any amount unpaid after the scheduled date for payment determined by the
Council.

(4) If, during the period up to the first determination of investment
shares on the basis of utilization pursuant to article V, the total
amount of capital contributions which Signatories are required to pay in
any financial year exceeds 50 per cent of the capital ceiling established
by or pursuant to article IV, the Council shall consider the adoption of
other arrangements, including temporary debt financing, to permit those
Signatories which so desire to pay the additional contributions in
subsequent years by instalments. The Council shall determine the rate of
interest to apply in such cases, reflecting the additional costs to the
Organization.

                      Article IV. CAPITAL CEILING

The sum of the net capital contributions of Signatories and of the
outstanding contractual capital commitments of the Organization shall be
subject to a ceiling. This sum shall consist of the cumulative capital
contributions made by Signatories pursuant to article III, less the
cumulative capital repaid to them pursuant to this Agreement, plus the
outstanding amount of contractual capital commitments of the
Organization. The initial capital ceiling shall be 200 million US
dollars. The Council shall have authority to adjust the capital ceiling.

                     Article V. INVESTMENT SHARES

(1) Investment shares of Signatories shall be determined on the basis of
utilization of the INMARSAT space segment. Each Signatory shall have an
investment share equal to its percentage of all utilization of the
INMARSAT space segment by all Signatories. Utilization of the INMARSAT
space segment shall be measured in terms of the charges levied by the
Organization for use of the INMARSAT space segment pursuant to article 19
of the Convention and article VIII of this Agreement.

(2) For the purpose of determining investment shares, utilization in both
directions shall be divided into two equal parts, a ship or aircraft part
and a land part. The part associated with the ship or aircraft where the
traffic originates or terminates shall be attributed to the Signatory of
the Party under whose authority the ship or aircraft is operating. The
part associated with the land territory where the traffic originates or
terminates shall be attributed to the Signatory of the Party in whose
territory the traffic originates or terminates. However, where, for any
Signatory, the ratio of the ship and aircraft parts to the land parts
exceeds 20:1, that Signatory shall, upon application to the Council, be
attributed a utilization equivalent to twice the land part or an
investment share of 0.1 per cent, whichever is higher. Structures
operating in the marine environment, for which access to the INMARSAT
space segment has been permitted by the Council, shall be considered as
ships for the purpose of this paragraph.

(3) Prior to determination of investment shares on the basis of
utilization pursuant to paragraphs (1), (2) and (4), the investment share
of each Signatory shall be established in accordance with the annex to
this Agreement.

(4) The first determination of investment shares based on utilization
pursuant to paragraphs (1) and (2) shall be made not less than two nor
more than three years from the commencement of operational use of the
INMARSAT space segment in the Atlantic, Pacific and Indian Ocean areas,
the specific date of determination to be decided by the Council. For the
purposes of this first determination, utilization shall be measured over
the one-year period prior to such determination.

(5) Subsequent to the first determination on the basis of utilization,
investment shares shall be redetermined to be effective:

 (a)  Upon one-year intervals after the first determination of investment
      shares on the basis of utilization, based on the utilization of all
      Signatories during the previous year.

 (b)  Upon the date of entry into force of this Agreement for a new
      Signatory.

 (c)  Upon the effective date of withdrawal or termination of membership
      of a Signatory. 

(6) The investment share of a Signatory which becomes a Signatory after
the first determination of investment shares on the basis of utilization,
shall be determined by the Council.

(7) To the extent that an investment share is determined pursuant to
paragraph (5)(b) or (c) or paragraph (8), the investment shares of all
other Signatories shall be adjusted in the proportion that their
respective investment shares, held prior to this adjustment, bear to each
other. On the withdrawal or termination of membership of a Signatory,
investment shares of 0.05 per cent determined in accordance with
paragraph (8) shall not be increased.

(8) Notwithstanding any provisions of this article, no Signatory shall
have an investment share of less than 0.05 per cent of the total
investment shares.

(9) In any new determination of investment shares the share of any
Signatory shall not be increased in one step by more than 50 per cent of
its initial share, or decreased by more than 50 per cent of its current
share.

(10) Any unallocated investment shares, after application of paragraphs
(2) and (9) shall be made available and apportioned by the Council among
Signatories wishing to increase their investment shares. Such additional
allocation shall not increase any share by more than 50 per cent of a
Signatory's current investment share.

(11) Any residual unallocated investment shares, after application of
paragraph (10), shall be distributed among the Signatories in proportion
to the investment shares which would otherwise have applied after any new
determination, subject to paragraphs (8) and (9).

(12) Upon application from a Signatory, the Council may allocate to it an
investment share reduced from its share determined pursuant to paragraphs
(1) to (7) and (9) to (11), if the reduction is entirely taken up by the
voluntary acceptance by other Signatories of increased investment shares.
The Council shall adopt procedures for the equitable distribution of the
released share or shares among Signatories wishing to increase their
shares.

         Article VI. FINANCIAL ADJUSTMENTS BETWEEN SIGNATORIES

(1) At each determination of investment shares after the initial
determination upon entry into force of this Agreement, financial
adjustments between Signatories shall be carried out through the
Organization on the basis of a valuation effected pursuant to paragraph
(2). The amounts of these financial adjustments shall be determined with
respect to each Signatory by applying to the valuation the difference, if
any, between the new investment share of each Signatory and its
investment share prior to the determination.

(2) The valuation shall be effected as follows:

 (a)  Deduct from the original acquisition cost of all property as
      recorded in the Organization's accounts as at the date of the
      adjustment, including all capitalized return and capitalized
      expenses, the sum of:

  (i)     The accumulated amortization as recorded in the Organization's
          accounts as at the date of adjustment.
 (ii)     Loans and other accounts payable by the Organization as at the
          date of adjustment.

 (b)  Adjust the results obtained pursuant to sub-paragraph (a) by adding
      or deducting a further amount representing any deficiency or
      excess, respectively, in the payment by the Organization of
      compensation for use of capital from the entry into force of this
      Agreement to the effective date of valuation relative to the
      cumulative amount due pursuant to this Agreement at the rate or
      rates of compensation for use of capital in effect during the
      periods in which the relevant rates were applicable, as established
      by the Council pursuant to article VIII. For the purpose of
      assessing the amount representing any deficiency or excess in
      payment, compensation due shall be calculated on a monthly basis
      and relate to the net amount of the elements described in
      sub-paragraph (a).

(3) Payments due from and to Signatories pursuant to this article shall
be effected by a date decided by the Council. Interest at a rate to be
determined by the Council shall be added to any amount unpaid after that
date.

              Article VII. PAYMENT OF UTILIZATION CHARGES

(1) Utilization charges established pursuant to article 19 of the
Convention shall be payable by Signatories or authorized
telecommunications entities in accordance with arrangements adopted by
the Council. These arrangements shall follow as closely as practicable
recognized international telecommunications accounting procedures.

(2) Unless otherwise decided by the Council, Signatories and authorized
telecommunications entities shall be responsible for the provision of
information to the Organization to enable the Organization to determine
all utilization of the INMARSAT space segment and to determine investment
shares. The Council shall adopt procedures for submission of the
information to the Organization.

(3) The Council shall institute any appropriate sanctions in cases where
payments of utilization charges have been in default for four months or
longer after the due date.

(4) Interest at a rate to be determined by the Council shall be added to
any amount unpaid after the scheduled date for payment determined by the
Council.

                          Article VIII. REVENUES

(1) The revenues earned by the Organization shall normally be applied, to
the extent that such revenues allow, in the following order of priority,
unless the Council decides otherwise:

 (a)  To meet operating, maintenance and administrative costs.
 (b)  To provide such operating funds as the Council may determine to be
      necessary.
 (c)  To pay to Signatories, in proportion to their respective investment
      shares, sums representing a repayment of capital in the amount of
      the provisions for amortization established by the Council and
      recorded in the accounts of the Organization.
 (d)  To pay to a Signatory which has withdrawn from the Organization or
      whose membership has been terminated, such sums as may be due to it
      pursuant to article XIII.
 (e)  To pay to Signatories, cumulatively in proportion to their
      respective investment shares, the available balance towards
      compensation for use of capital.

(2) In the determination of the rate of compensation for the use of
capital of Signatories, the Council shall include an allowance for the
risks associated with investment in INMARSAT and, taking into account
such allowance, shall fix the rate as close as possible to the cost of
money in the world markets.

(3) To the extent that the revenues earned by the Organization are
insufficient to meet operating, maintenance and administrative costs of
the Organization, the Council may decide to meet the deficiency by using
operating funds of the Organization, by overdraft arrangements, by
raising a loan, by requiring Signatories to make capital contributions in
proportion to their respective current investment shares or by any
combination of such measures.

                    Article IX. SETTLEMENT OF ACCOUNTS

(1) Settlement of accounts between Signatories and the Organization in
respect of financial transactions pursuant to articles III, VI, VII and
VIII shall be arranged in such a manner that funds transferred between
Signatories and the Organization, as well as funds at the Organization's
disposal in excess of the operating funds determined by the Council to be
necessary, shall be kept at the lowest practicable level.

(2) All payments between the Signatories and the Organization pursuant to
this Agreement shall be effected in any freely convertible currency
acceptable to the creditor.

                        Article X. DEBT FINANCING

(1) The Organization may, upon decision by the Council, enter into
overdraft arrangements for the purpose of meeting financial deficiencies
pending receipt of adequate revenues or capital contributions.

(2) In exceptional circumstances the Organization may raise loans upon
decision by the Council for the purpose of financing any activity
undertaken by the Organization in accordance with article 3 of the
Convention or for meeting any liability incurred by it. The outstanding
amounts of such loans shall be considered as contractual capital
commitments for the purpose of Article IV.

                           Article XI. LIABILITY

(1) If the Organization is required by a binding decision rendered by a
competent tribunal or as a result of a settlement agreed to or concurred
in by the Council, to pay any claim, including any costs or expenses
associated therewith, which arises out of any act or obligation of the
Organization carried out or incurred in pursuance of the Convention or
this Agreement, the Signatories shall, to the extent that the claim is
not satisfied by indemnification, insurance or other financial
arrangements, pay to the Organization the ~mount unsatisfied on the claim
in proportion to their respective investment shares as at the date when
the liability arose, notwithstanding any ceiling established by or
pursuant to article IV.

(2) If a Signatory, in its capacity as such, is required by a binding
decision rendered by a competent tribunal or as a result of a settlement
agreed to or concurred in by the Council, to pay any claim, including any
costs or expenses associated therewith, which arises out of any act or
obligation of the Organization carried out or incurred in pursuance of
the Convention or this Agreement, the Organization shall reimburse the
Signatory to the extent the Signatory has paid the claim.

(3) If such a claim is asserted against a Signatory, that Signatory, as a
condition of payment by the Organization, shall without delay notify the
Organization of the claim, and shall afford it the opportunity to advise
on or to conduct the defence or other disposition of the claim and, to
the extent permitted by the law of the jurisdiction in which the claim is
brought, to become a party to the proceeding either with the Signatory or
in substitution for it.

(4) If the Organization is required to reimburse a Signatory under this
article, the Signatories shall, to the extent that the reimbursement is
not satisfied by indemnification, insurance or other financial
arrangements, pay to the Organization the unsatisfied amount of the
claimed reimbursement in proportion to their respective investment shares
as at the date when the liability arose, notwithstanding any ceiling
established by or pursuant to article IV.

              Article XII. EXONERATION FROM LIABILITY 
      ARISING FROM THE PROVISION OF TELECOMMUNICATIONS SERVICES

Neither the Organization, nor any Signatory in its capacity as such, nor
any officer or employee of any of them, nor any member of the board of
directors of any Signatory, nor any representative to any organ of the
Organization acting in the performance of their functions, shall be
liable to any Signatory or to the Organization for loss or damage
sustained by reason of any unavailability, delay or faultiness of
telecommunications services provided or to be provided pursuant to the
Convention or this Agreement.

        Article XIII. SETTLEMENT UPON WITHDRAWAL OR TERMINATION

(1) Within three months after the effective date of withdrawal or
termination of the membership of a Signatory pursuant to articles 29 or
30 of the Convention, the Council shall notify the Signatory of the
evaluation by the Council of its financial status in relation to the
Organization as at the effective date of its withdrawal or termination
and of the proposed terms of settlement pursuant to paragraph (3). The
notification shall include a statement of:

 (a)  The amount payable by the Organization to the Signatory, calculated
      by multiplying its investment share, as at the effective date of
      withdrawal or termination, by the amount established from a
      valuation effected pursuant to article VI as at that date.

 (b)  Any amount to be paid by the Signatory to the Organization
      representing its share of capital contributions for contractual
      commitments specifically authorized prior to the receipt of notice
      of decision to withdraw or, as the case may be, prior to the
      effective date of termination, together with the proposed schedule
      for payment.

 (c)  Any other amounts due from the Signatory to the Organization as at
      the effective date of withdrawal or termination.

(2) In its evaluation pursuant to paragraph (1), the Council may decide
to relieve the Signatory in whole or in part of its responsibility for
contributing its share of the capital contributions for contractual
commitments specifically authorized and liabilities arising from acts or
omissions prior to the receipt of notice of decision to withdraw or as
the case may be, the effective date of termination.

(3) Subject to payment by the Signatory of any amounts due from it under
sub-paragraphs (1)(b) and (c), the Organization, taking into account
article VIII, shall repay to the Signatory the amounts referred to in
sub-paragraphs (1)(a) and (b) over a period consistent with the period
over which the remaining Signatories will be repaid their contributions,
or sooner if the Council so decides. The Council shall determine the rate
of interest to be paid to or by the Signatory in respect of any amounts
which may, from time to time, be outstanding for settlement.

(4) Unless the Council decides otherwise, a settlement pursuant to this
article shall not relieve the Signatory of its obligation to contribute
its share of the non-contractual liabilities arising from acts or
omissions of the Organization prior to the date of receipt of notice of
decision to withdraw or, as the case may be, prior to the effective date
of termination.

(5) The Signatory shall not lose any rights acquired by it, in its
capacity as such which would otherwise continue after the effective date
of withdrawal or termination, and for which it has not been compensated
by the settlement pursuant to this article.

                   Article XIV. EARTH STATION APPROVAL

(1) In order to utilize the INMARSAT space segment, all earth stations
shall require approval by the Organization in accordance with criteria
and procedures established by the Council pursuant to article 15(c) of
the Convention.

(2) Any application for such approval shall be submitted to the
Organization by the Signatory of the Party in whose territory the earth
station on land is or will be located, or by the Party or the Signatory
of the Party under whose authority the earth station on a ship or an
aircraft or on a structure operating in the marine environment is
licensed or, with respect to earth stations located in a territory or on
a ship or an aircraft or on a structure operating in the marine
environment not under the jurisdiction of a Party, by an authorized
telecommunications entity.

(3) Each applicant referred to in paragraph (2) shall, with respect to
earth stations for which it has submitted an application, be responsible
to the Organization for compliance of such stations with the procedures
and standards specified by the Organization, unless, in the case of a
Signatory which has submitted an application, its designating Party
assumes this responsibility.

          Article XV. UTILIZATION OF THE INMARSAT SPACE SEGMENT

(1) Any application for utilization of the INMARSAT space segment shall
be submitted to the Organization by a Signatory or, in the case of a
territory not under the jurisdiction of a Party, by an authorized
telecommunications entity.

(2) Utilization shall be authorized by the Organization in accordance
with criteria and procedures established by the Council pursuant to
article 15(c) of the Convention.

(3) Each Signatory or authorized telecommunications entity for which
utilization of the INMARSAT space segment has been authorized shall be
responsible for compliance with all conditions established by the
Organization with respect to such utilization unless, in the case of a
Signatory which has submitted an application, its designating Party
assumes the responsibility for authorizations made with respect to all or
some of the earth stations not owned or operated by that Signatory.

                   Article XVI. SETTLEMENT OF DISPUTES

(1) Disputes arising between Signatories, or between Signatories and the
Organization, relating to rights and obligations under the Convention or
this Agreement, should be settled by negotiation between the parties to
the dispute. If within one year of the time any party to the dispute has
requested settlement a settlement has not been reached and if a
particular procedure for settling disputes has not been agreed between
the parties to the dispute, the dispute shall be submitted to arbitration
in accordance with the annex to the Convention at the request of any
party to the dispute.

(2) Unless otherwise mutually agreed, disputes arising between the
Organization and one or more Signatories under agreements concluded
between them shall be submitted to arbitration in accordance with the
annex to the Convention at the request of one of the parties to the
dispute within a period of one year from the time that settlement was
requested by any party to the dispute.

(3) A Signatory which ceases to be a Signatory shall remain bound by this
article in respect of disputes relating to rights and obligations arising
from its having been a Signatory of this Agreement.

                    Article XVII. ENTRY INTO FORCE

(1) This Agreement shall enter into force for a Signatory on the date on
which the Convention enters into force for the respective Party in
accordance with article 33 of the Convention.

(2) This Agreement shall continue in force for as long as the Convention
is in force.

                        Article XVIII. AMENDMENTS

(1) Amendments to this Agreement may be proposed by any Party or
Signatory. Proposed amendments shall be submitted to the Directorate,
which shall inform the other Parties and Signatories. Three months'
notice is required before consideration of an amendment by the Council.
During this period the Directorate shall solicit and circulate the views
of all Signatories. The Council shall consider amendments within six
months from circulation. The Assembly shall consider the amendment not
earlier than six months after the approval by the Council. This period
may in any particular case be reduced by the Assembly by a substantive
decision.

(2) If confirmed by the Assembly after approval by the Council, the
amendment shall enter into force one hundred and twenty days after the
Depositary has received notice of its approval by two thirds of those
Signatories which at the time of confirmation by the Assembly were
Signatories and then held at least two thirds of the total investment
shares. Notification of approval of an amendment shall be transmitted to
the Depositary only by the Party concerned and the transmission shall
signify the acceptance by the Party of the amendment. Upon entry into
force, the amendment shall become binding upon all Signatories, including
those which have not accepted it.

                        Article XIX. DEPOSITARY

(1) The Depositary of this Agreement shall be the Secretary-General of
the International Maritime Organization.

(2) The Depositary shall promptly inform all signatory and acceding
States and all Signatories of:

 (a)  Any signature of this Agreement.
 (b)  The entry into force of this Agreement.
 (c)  The adoption of any amendment to this Agreement and its entry into
      force.
 (d)  Any notification of withdrawal.
 (e)  Any suspension or termination.
 (f)  Other notifications and communications relating to this Agreement.

(3) Upon entry into force of this Agreement the Depositary shall transmit
a certified copy to the Secretariat of the United Nations for
registration and publication in accordance with Article 102 of the
Charter of the United Nations.

IN WITNESS WHEREOF the undersigned, duly authorized, have signed this
Agreement.

DONE at London this third day of September one thousand nine hundred and
seventy-six in the English, French, Russian and Spanish languages, all
the texts being equally authentic, in a single original which shall be
deposited with the Depositary, who shall send a certified copy to the
Government of each of the States which were invited to attend the
International Conference on the Establishment of an International
Maritime Satellite System, to the Government of any other State which
signs or accedes to the Convention and to each Signatory.


                                ANNEX

        INVESTMENT SHARES PRIOR TO THE FIRST DETERMINATION 
                     ON THE BASIS OF UTILIZATION

    (a) The initial investment shares of the signatories of the States
listed below shall be as follows:

      United States                     17.00
      United Kingdom                    12.00
      USSR, Byelorussian SSR and 
          Ukrainian SSR                 11.00
      Norway                             9.50
      Japan                              8.45
      Italy                              4.37
      France                             3.50
      Germany, Federal Republic of       3.50
      Greece                             3.50
      Netherlands                        3.50
      Canada                             3.20
      Spain                              2.50
      Sweden                             2.30
      Denmark                            2.10
      Australia                          2.00
      India                              2.00
      Brazil                             1.50
      Kuwait                             1.48
      Poland                             1.48
      Argentina                          0.75
      Belgium                            0.75
      Finland                            0.75
      German Democratic Republic         0.74
      Singapore                          0.62
      New Zealand                        0.44
      Bulgaria                           0.33
      Cuba                               0.33
      Indonesia                          0.33
      Iran                               0.33
      Chile                              0.25
      Peru                               0.25
      Switzerland                        0.25
      Liberia                            0.10
      Algeria                            0.05
      Egypt                              0.05
      Ghana                              0.05
      Iraq                               0.05
      Thailand                           0.05
      Turkey                             0.05
      United Republic of Cameroon        0.05

                    TOTAL:             101.45

    (b) Any signatory to the Operating Agreement designated by a State
listed above may, prior to the entry into force of the Convention and the
Operating Agreement, accept an initial investment share higher than that
listed in paragraph (a) if:

   (i)    Other signatories accept a correspondingly lower initial
          investment share; or
  (ii)    The Convention and the Operating Agreement have not entered into
          force twenty-four months after they were opened for signature.

The signatories concerned shall inform the Depositary, who shall prepare
and distribute a revised list of initial investment shares to all States
included in the list of initial investment shares.

    (c) A signatory of a State not listed in paragraph (a), on signing
the Operating Agreement prior to its entry into force, shall declare to
the Depositary its initial investment share, which shall correspond to
its projected proportionate utilization of the INMARSAT space segment.
The Depositary shall add the new signatory and its initial investment
share to the list of initial investment shares in paragraph (a). The
revised list shall be sent to all States included in the list. The
initial investment share of the new signatory shall be subject
subsequently to approval or adjustment by the Council. If the Council
adjusts the share, it shall adjust proportionately the initial investment
shares of all Signatories and, subsequently, the investment shares of all
Signatories.

    (d) Upon entry into force of the Operating Agreement, the investment
shares of Signatories shall be determined by adjusting the initial
investment shares of Signatories proportionately so that the sum of all
investment shares amounts to 100 per cent.

    (e) The initial investment share of any Signatory which is not
included in the list in paragraph (a) and which signs the Operating
Agreement after its entry into force, and for any Signatory included in
the list of initial investment shares for which the Operating Agreement
has not entered into force thirty-six months after it was opened for
signature, shall be determined by the Council and shall be included in a
revised list of initial investment shares of all Signatories.

    (f) When a new Party enters the Organization or when a Party
withdraws from the Organization or its membership is terminated, the
investment shares of all Signatories shall be determined by adjusting
proportionately the initial investment shares of all Signatories so that
the sum of all investment shares amounts to 100 per cent.

    (g) Investment shares of 0.05 per cent determined in accordance with
paragraph (8) of article V of the Operating Agreement, shall not be
increased pursuant to paragraphs (c), (d), (e) and (f) of this annex.


   %%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%


                PROTOCOL ON THE PRIVILEGES AND IMMUNITIES 
      OF THE INTERNATIONAL MARITIME SATELLITE ORGANIZATION (INMARSAT)

The States Parties to this Protocol:

Having regard to the Convention and the Operating Agreement on the
International Maritime Satellite Organization (INMARSAT) opened for
signature at London on 3 September 1976 and, in particular, to Articles
25 and 26 (4) of the Convention;

Taking note that INMARSAT has concluded a Headquarters Agreement with the
Government of the United Kingdom of Great Britain and Northern Ireland on
25 February 1980;

Considering that the aim of this Protocol is to facilitate the
achievement of the purpose of INMARSAT and to ensure the efficient
performance of its functions;

Have agreed as follows:

                        Article 1. USE OF TERMS

For the purposes of this Protocol:

    (a) "Convention" means the Convention on the International Maritime
Satellite Organization (INMARSAT), including its Annex, opened for
signature at London on 3 September 1976;

    (b) "Operating Agreement" means the Operating Agreement on the
International Maritime Satellite Organization (INMARSAT), including its
Annex, opened for signature at London on 3 September 1976;

    (c) "Party to the Convention" means a State for which the Convention
is in force;

    (d) "Headquarters Party" means the Party to the Convention in whose
territory INMARSAT has established its headquarters;

    (e) "Signatory" means either a Party to the Protocol or an entity
designated by a Party to the Protocol for which the Operating Agreement
is in force;

    (f) "Party to the Protocol" means a State for which this Protocol is
in force;

    (g) "Staff member" means the Director General and any person employed
full time by INMARSAT and subject to its staff regulations;

    (h) "Representatives" in the case of Parties to the Protocol, the
Headquarters Party and Signatories means representatives to INMARSAT and
in each case means heads of delegations, alternates and advisers;

    (i) "Archives" includes all manuscripts, correspondence, documents,
photographs, films, optical and magnetic recordings, data recordings,
graphic representations and computer programmes, belonging to or held by
INMARSAT;

    (j) "Official activities" of INMARSAT means activities carried out by
the Organization in pursuance of its purpose as defined in the Convention
and includes its administrative activities;

    (k) "Expert" means a person other than a staff member appointed to
carry out a specific task for or on behalf of INMARSAT and at its
expense;

    (l) "INMARSAT space segment" means the satellites, and tracking,
telemetry, command, control, monitoring and related facilities and
equipment required to support the operation of these satellites, which
are owned or leased by INMARSAT;

    (m) "Property" means anything that can be the subject of a right of
ownership, including contractual rights.

   Article 2. IMMUNITY OF INMARSAT FROM JURISDICTION AND EXECUTION

(1) Unless it has expressly waived immunity in a particular case,
INMARSAT shall, within the scope of its official activities, have
immunity from jurisdiction except in respect of:

 (a)  Its commercial activities;

 (b)  A civil action by a third party for damage arising from an accident
      caused by a motor vehicle or other means of transport belonging to,
      or operated on behalf of, INMARSAT, or in respect of a traffic
      offence involving such means of transport;

 (c)  The attachment, pursuant to the final order of a court of law, of
      the salaries and emoluments, including pension rights, owed by
      INMARSAT to a staff member, or a former staff member;

 (d)  A counter-claim directly connected with judicial proceedings
      initiated by INMARSAT.

(2) Notwithstanding paragraph (1), no action shall be brought in the
course of Parties to the Protocol against INMARSAT by Parties to the
Convention, Signatories or persons acting for or deriving claims from any
of them, relating to rights and obligations under the Convention or
Operating Agreement.

(3) (a) The INMARSAT space segment, wherever located and by whomsoever
held, shall be immune from any search, restraint, requisition, seizure,
confiscation expropriation, sequestration or execution, whether by
executive, administrative or judicial action.

    (b) All other property and assets of INMARSAT, wherever located and
by whomsoever held, shall enjoy the immunity set out in paragraph (3)
(a), except in respect of:

      (i)    An attachment or execution in order to satisfy a final
             judgement or order of a court of law that relates to any
             proceedings that may be brought against INMARSAT pursuant to
             paragraph (1);

    (ii)  Any action taken in accordance with the law of the State
          concerned which is temporarily necessary in connection with the
          prevention of and investigation into accidents involving motor
          vehicles or other means of transport belonging to, or operated
          on behalf of, INMARSAT;

   (iii)  Expropriation in respect of real property for public purposes
          and subject to prompt payment of fair compensation, provided
          that such expropriation shall not prejudice the functions and
          operations of INMARSAT.

                  Article 3. INVIOLABILITY OF ARCHIVES

The archives of INMARSAT shall be inviolable wherever located and by
whomsoever held.

                Article 4. EXEMPTION FROM TAXES AND DUTIES

(1) Within the scope of its official activities, INMARSAT and its
property and income shall be exempt from all national direct and other
taxes not normally incorporated in the price of goods and services.

(2) If INMARSAT, within the scope of its official activities, acquires
goods or uses services of substantial value, and if the price of these
goods or services includes taxes or duties, Parties to the Protocol
shall, whenever possible, take appropriate measures to remit or reimburse
the amount of such taxes or duties.

(3) Within the scope of its official activities, INMARSAT shall be exempt
from customs duties, taxes and related charges on the INMARSAT space
segment and on equipment connected with the launching of satellites for
use in the INMARSAT space segment.

(4) Goods acquired by INMARSAT within the scope of its official
activities shall be exempt from all prohibitions and restrictions on
import or export.

(5) No exemption shall be accorded in respect of taxes and duties which
represent charges for specific services rendered.

(6) No exemption shall be accorded in respect of goods acquired by, or
services provided to, INMARSAT for the personal benefit of staff members.

(7) Goods exempted under this Article shall not be transferred, hired out
or lent, permanently or temporarily, or sold, except in accordance with
conditions laid down by the Party to the Protocol which granted the
exemption.

(8) Payments from INMARSAT to Signatories pursuant to the Operating
Agreement shall be exempt from national taxes by any Party to the
Protocol, other than the Party which has designated the Signatory.

               Article 5. FUNDS, CURRENCY AND SECURITIES

INMARSAT may receive and hold any kind of funds, currency or securities
and dispose of them freely for any of its official activities. It may
hold accounts in any currency to the extent required to meet its
obligations.

          Article 6. OFFICIAL COMMUNICATIONS AND PUBLICATIONS

(1) With regard to its official communications and transfer of all its
documents, INMARSAT shall enjoy in the territory of each Party to the
Protocol treatment not less favourable than that generally accorded to
equivalent intergovernmental organizations in the matter of priorities,
rates and taxes on mails and all forms of telecommunications, as far as
may be compatible with any international agreements to which that Party
to the Protocol is a party.

(2) With regard to its official communications, INMARSAT may employ all
appropriate means of communication, including messages in code or cypher.
Parties to the Protocol shall not impose any restriction on the official
communications of INMARSAT or on the circulation of its official
publications. NO censorship shall be applied to such communications and
publications.

(3) INMARSAT may install and use a radio transmitter only with the
consent of the Party to the Protocol concerned.

                         Article 7. STAFF MEMBERS

(1) Staff members shall enjoy the following privileges and immunities:

 (a)  Immunity from jurisdiction, even after they have left the service
      of INMARSAT, in respect of acts, including words spoken or written,
      done by them in the exercise of their official functions; this
      immunity shall not, however, apply in the case of a traffic offence
      committed by a staff member, or in the case of damage caused by a
      motor vehicle or other means of transport belonging to or driven by
      him;

 (b)  Exemption, together with members of their families forming part of
      their respective households, from any obligations in respect of
      national service, including military service;

 (c)  Inviolability for all their official papers related to the exercise
      of their functions within the scope of the official activities of
      INMARSAT;

 (d)  Exemption, together with members of their families forming part of
      their respective households, from immigration restrictions and
      alien registration;

 (e)  The same treatment in the matter of currency and exchange control
      as is accorded to staff members of intergovernmental organizations;

 (f)  Together with members of their families forming part of their
      respective households, the same facilities as to repatriation in
      time of international crisis as are accorded to staff members of
      intergovernmental organizations;

 (g)  The right to import free of duty their furniture and personal
      effects, including a motor vehicle, at the time of first taking up
      their post in the State concerned, and the right to export them
      free of duty on termination of their functions in that State, in
      both cases in accordance with the laws and regulations of the State
      concerned. However, except in accordance with such laws and
      regulations, goods which have been exempted under this
      sub-paragraph shall not be transferred, hired out or lent,
      permanently or temporarily, or sold.

(2) Salaries and emoluments paid by INMARSAT to staff members shall be
exempt from income tax from the date upon which such staff members have
begun to be liable for a tax imposed on their salaries by INMARSAT for
the latter's benefit. Parties to the Protocol may take these salaries and
emoluments into account for the purpose of assessing the amount of taxes
to be applied to income from other sources. Parties to the Protocol are
not required to grant exemption from income tax in respect of pensions
and annuities paid to former staff members.

(3) Provided that staff members are covered by an INMARSAT social
security scheme, INMARSAT and its staff members shall be exempt from all
compulsory contributions to national social security schemes. This
exemption does not preclude any voluntary participation in a national
social security scheme in accordance with the law of the Party to the
Protocol concerned; neither does it oblige a Party to the Protocol to
make payments of benefits under social security schemes to staff members
who are exempt under the provisions of this paragraph.

(4) The Parties to the Protocol shall not be obliged to accord to their
nationals or permanent residents the privileges and immunities referred
to in sub-paragraphs (b), (d), (e), (f) and (g) of paragraph (1).

                      Article 8. DIRECTOR GENERAL

(1) In addition to the privileges and immunities provided for staff
members under Article 7, the Director General shall enjoy:

 (a)  Immunity from arrest and detention;

 (b)  Immunity from civil and administrative jurisdiction and execution
      enjoyed by diplomatic agents, except in the case of damage caused
      by a motor vehicle or other means of transport belonging to or
      driven by him;

 (c)  Full immunity from criminal jurisdiction, except in the case of a
      traffic offence caused by a motor vehicle or other means of
      transport belonging to, or driven by him, subject to sub-paragraph
      (a) above.

(2) The Parties to the Protocol shall not be obliged to accord to their
nationals or permanent residents the immunities referred to in this
Article.

                 Article 9. REPRESENTATIVES OF PARTIES

(1) Representatives of the Parties to the Protocol and representatives of
the Headquarters Party shall enjoy, while exercising their official
functions and in the course of their journeys to and from their place of
meeting, the following privileges and immunities:

 (a)  Immunity from any form of arrest or detention pending trial;

 (b)  Immunity from jurisdiction, even after the termination of their
      mission, in respect of acts, including words spoken or written,
      done by them in the exercise of their official functions; however,
      there shall be no immunity in the case of a traffic offence
      committed by a representative, or in the case of damage caused by a
      motor vehicle or other means of transport belonging to or driven by
      him;

 (c)  Inviolability for all their official papers;

 (d)  Exemption, together with members of their families forming part of
      their respective households, from immigration restrictions and
      alien registration;

 (e)  The same treatment in the matter of currency and exchange control
      as is accorded to representatives of foreign governments on
      temporary official missions;

 (f)  The same treatment in the matter of customs as regards their
      personal luggage as is accorded to representatives of foreign
      governments on temporary official missions.

(2) The provisions of paragraph (1) shall not apply in relations between
a Party to the Protocol and its representatives. Further, the provisions
of paragraphs (a), (d), (e) and (f) of paragraph (1) shall not apply in
relations between a Party to the Protocol and its nationals or permanent
residents.

                Article 10. REPRESENTATIVES OF SIGNATORIES

(1) Representatives of Signatories and representatives of the Signatory
of the Headquarters Party shall, while exercising their official
functions in relation to the work of INMARSAT and in the course of their
journeys to and from their place of meeting, enjoy the following
privileges and immunities:

 (a)  Immunity from jurisdiction, even after the termination of their
      mission, in respect of acts, including words spoken or written,
      done by them in the exercise of their official functions; however,
      there shall be no immunity in the case of a traffic offence
      committed by a representative, or in the case of damage caused by a
      motor vehicle or other means of transport belonging to or driven by
      him;

 (b)  Inviolability for all their official papers;

 (c)  Exemption, together with members of their families forming part of
      their respective households, from immigration restrictions and
      alien registration.

(2) The provisions of paragraph (1) shall not apply in relations between
a Party to the Protocol and the representative of the Signatory
designated by it. Further, the provisions of subparagraph (c) of
paragraph (1) shall not apply in relations between a Party to the
Protocol and its nationals or permanent residents.

                            Article 11. EXPERTS

(1) Experts, while exercising their official functions in relation to the
work of INMARSAT, and in the course of their journeys to and from the
place of their missions, shall enjoy the following privileges and
immunities:

 (a)  Immunity from jurisdiction, even after the termination of their
      mission, in respect of acts, including words spoken or written,
      done by them in the exercise of their official functions; however,
      there shall be no immunity in the case of damage caused by a motor
      vehicle or other means of transport belonging to or driven by him;

 (b)  Inviolability for all their official papers;

 (c)  The same treatment in the matter of currency and exchange control
      as is accorded to the staff members of intergovernmental
      organizations;

 (d)  Exemption, together with members of their families forming part of
      their respective households, from immigration restrictions and
      alien registration;

 (e)  The same facilities as regards their personal luggage as are
      accorded to experts of other intergovernmental organizations.

(2) The parties to the Protocol shall not be obliged to accord to their
nationals or permanent residents the privileges and immunities referred
to in sub-paragraphs (c), (d), and (e) of paragraph (1).

          Article 12. NOTIFICATION OF STAFF MEMBERS AND EXPERTS

The Director General of INMARSAT shall at least once every year notify
the Parties to the Protocol of the names and nationalities of the staff
members and experts to whom the provisions of Articles 7, 8 and 11 apply.

                           Article 13. WAIVER

(1) The privileges, exemptions and immunities provided for in this
Protocol are not granted for the personal benefit of individuals but for
the efficient performance of their official functions.

(2) If, in the view of the authorities listed below, privileges and
immunities are likely to impede the course of justice, and in all cases
where they may be waived without prejudice to the purposes for which they
have been accorded, these authorities have the right and duty to waive
such privileges and immunities:

 (a)  The Parties to the Protocol in respect of their representatives and
      representatives of their Signatories;

 (b)  The Council in respect of the Director General of INMARSAT;

 (c)  The Director General of INMARSAT in respect of staff members and
      experts;

 (d)  The Assembly, convened if necessary in extraordinary session, in
      respect of INMARSAT.

                 Article 14. ASSISTANCE TO INDIVIDUALS

The Parties to the Protocol shall take all appropriate measures to
facilitate entry, stay and departure of representatives, staff members
and experts.

             Article 15. OBSERVANCE OF LAWS AND REGULATIONS

INMARSAT, and all persons enjoying privileges and immunities under this
Protocol, shall, without prejudice to the other provisions thereof,
respect the laws and regulations of the Parties to the Protocol concerned
and co-operate at all times with the competent authorities of those
Parties in order to ensure the observance of their laws and regulations.

                   Article 16. PRECAUTIONARY MEASURES

Each Party to the Protocol retains the right to take all precautionary
measures necessary in the interest of its security.

                    Article 17. SETTLEMENT OF DISPUTES

Any dispute between Parties to the Protocol or between INMARSAT and a
Party to the Protocol concerning the interpretation or application of the
Protocol shall be settled by negotiation or by some other agreed method.
If the dispute is not settled within twelve (12) months, the parties
concerned may, by common agreement, refer the dispute for decision to a
tribunal of three arbitrators. One of the arbitrators shall be chosen by
each of the parties to the dispute, and the third, who shall be the
Chairman of the tribunal, shall be chosen by the first two arbitrators.
Should the first two arbitrators fail to agree upon the third within two
months of their own appointment, the third arbitrator shall be chosen by
the President of the International Court of Justice. The tribunal shall
adopt its own procedures and its decisions shall be final and binding on
the parties to the dispute.

                   Article 18. COMPLEMENTARY AGREEMENTS

INMARSAT may conclude with any Party to the Protocol complementary
agreements to give effect to the provisions of this Protocol as regards
such Party to the Protocol to ensure the efficient functioning of
INMARSAT.

             Article 19. SIGNATURE, RATIFICATION AND ACCESSION

(1) This Protocol shall be open for signature at London from 1 December
1981 to 31 May 1982.

(2) All Parties to the Convention, other than the Headquarters Party, may
become Parties to this Protocol by:

 (a)  Signature not subject to ratification, acceptance or approval; or

 (b)  Signature subject to ratification, acceptance or approval, followed
      by ratification, acceptance or approval; or

 (c)  Accession.

(3) Ratification, acceptance, approval or accession shall be effected by
the deposit of the appropriate instrument with the Depositary.

(4) Reservations to this Protocol may be made in accordance with
international law.

           Article 20. ENTRY INTO FORCE AND DURATION OF PROTOCOL

(1) This Protocol shall enter into force on the thirtieth day after the
date on which ten Parties to the Convention have fulfilled the
requirements of paragraph (2) of Article 19.

(2) This Protocol shall cease to be in force if the Convention ceases to
be in force.

           Article 21. ENTRY INTO FORCE AND DURATION FOR A STATE

(1) For a State which has fulfilled the requirements of paragraph (2) of
Article 19 after the date of entry into force of this Protocol, the
Protocol shall enter into force on the thirtieth day after the date of
signature or of the deposit of such instrument with the Depositary
respectively.

(2) Any Party to the Protocol may denounce this Protocol by giving
written notice to the Depositary. The denunciation shall become effective
twelve (12) months after the date of receipt of the notice by the
Depositary or such longer period as may be specified in the notice.

(3) A Party to the Protocol shall cease to be a Party to the Protocol on
the date that it ceases to be a Party to the Convention.

                          Article 22. DEPOSITARY

(1) The Director General of INMARSAT shall be the Depositary of this
Protocol.

(2) The Depositary shall, in particular, promptly notify all Parties to
the Convention of:

 (a)  Any signature of the Protocol;

 (b)  The deposit of any instrument of ratification, acceptance, approval
      or accession;

 (c)  The date of entry into force of this Protocol;

 (d)  The date when a State has ceased to be a Party to this Protocol;

 (e)  Any other communications relating to this Protocol.

(3) Upon entry into force of this Protocol, the Depositary shall transmit
a certified copy of the original to the Secretariat of the United Nations
for registration and publication in accordance with Article 102 of the
Charter of the United Nations.

                       Article 23. AUTHENTIC TEXTS

This Protocol is established in a single original in the English, French,
Russian and Spanish languages, all the texts being equally authentic, and
shall be deposited with the Director General of INMARSAT who shall send a
certified copy to each Party to the Convention.

IN WITNESS WHEREOF the undersigned, duly authorized for that purpose by
their respective Governments, have signed this Protocol.

DONE at London this first day of December one thousand nine hundred and
eighty-one.




          ######################################################



                  AMENDMENTS TO THE CONVENTION ON THE
             INTERNATIONAL MARITIME SATELLITE ORGANISATION
                               (INMARSAT)

                                 Preamble

At the end of the Preamble, the following new paragraph is added:

Affirming that a maritime satellite system shall also be open for aeronau
tical communication for the benefit of aircraft of all nations,

                                  ARTICLE 1
                                 Definitions

In Article 1, the following new paragraph (h) is added:

 (h)  "Aircraft" means any machine that can derive support in the atmosph
      ere from the reactions of the air other than the reactions of the a
      ir against the earth's surface.

                                   ARTICLE 3
                                    Purpose

Article 3, paragraphs (1) and (2) are replaced by the following text:

(1) The purpose of the Organization is to make provision for the space
segment necessary for improving maritime communications and, as
practicable, aeronautical communications, thereby assisting in improving
communications for distress and safety of life, communications for air
traffic services, the efficiency and management of ships and aircraft,
maritime and aeronautical public correspondence services and
radiodetermination capabilities.

(2) The Organization shall seek to serve all areas where there is need
for maritime and aeronautical communications.

                                  ARTICLE 7
                           Access to Space Segment

Article 7, paragraphs (1) and (2) are replaced by the following test:

(1) The INMARSAT space segment shall be open for use by ships and aircraf
t of all nations on conditions to be determined by the Council. In
determining such conditions, the Council shall not discriminate among
ships or aircraft on the basis of nationality.

(2) The Council may, on a case-by-case basis, permit access to the
INMARSAT space segment by earth stations located on structures operating
in the marine environment other than ships, if and as long as the operati
on of such earth stations will not significantly affect the provision of
service to ships or aircraft.

                                   ARTICLE 8
                              Other Space Segments

Article 8, paragraph (1) is replaced by the following text:

(1) A Party shall notify the Organization in the event that it or any
person within its jurisdiction intends to make provision for, or initiate
the use of, individually or jointly, separate space segment facilities to
meet any or all of the maritime purposes of the INMARSAT space segment,
to insure technical compatibility and to avoid significant economic harm
to the INMARSAT system.

                                 ARTICLE 12
                             Assembly--Functions

Article 12, sub-paragraph (1)(c) is replaced by the following text:

 (c)  Authorize, on the recommendation of the Council, the establishment
      of additional space segment facilities the special or primary purpo
      se of which is to provide radiodetermination, distress or safety se
      rvices. However, the space segment facilities established to provid
      e maritime and aeronautical public correspondence services can be u
      sed for telecommunications for distress, safety and radiodeterminat
      ion purposes without such authorization.

                                 ARTICLE 15
                             Council--Functions

Article 15, paragraphs (a), (c) and (h) are replaced by the following
text:

 (a)  Determination of maritime and aeronautical satellite telecommunicat
      ions requirements and adoption of policies, plans, programmes, proc
      edures and measures for the design, development, construction, esta
      blishment, acquisition by purchase or lease operation, maintenance
      and utilization of the INMARSAT space segment, including the procur
      ement of any necessary launch services to meet such requirements. 

 (c)  Adoption of criteria and procedures for approval of earth stations
      on land, on ships, on aircraft, and on structures in the marine env
      ironment for access to the INMARSAT space segment and for verificat
      ion and monitoring of performance of earth stations having access t
      o and utilization of the INMARSAT space segment. For earth stations
      on ships and aircraft, the criteria should be in sufficient detail
      for use by national licensing authorities, at their discretion, for
      type-approval purposes.

 (h)  Determination of arrangements for consultation on a continuing basi
      s with bodies recognized by the Council as representing shipowners,
      aircraft operators, maritime and aeronautical personnel and other u
      sers of maritime and aeronautical telecommunications.

                                ARTICLE 21
                   Inventions and Technical Information

Article 21, sub paragraphs (2)(b) and (7)(b)(i) are replaced by the
following text:

(2)
 (b)  The right to disclose and to have disclosed to Parties and Signator
      ies and others within the jurisdiction of any Party such inventions
      and technical information, and to use and to authorize and to have
      authorized Parties and Signatories and such others to use such inve
      ntions and technical information without payment in connexion with
      the INMARSAT space segment and any earth station on land, ship or a
      ircraft operating in conjunction therewith.

(7)
(b) (i)   Without payment in connexion with the INMARSAT space segment or
          any earth station on land, ship or aircraft operating in
          conjunction therewith.

                                ARTICLE 27
          Relationship with other International Organizations

Article 27 is replaced by the following text:

The Organization shall co-operate with the United Nations and its bodies
dealing with the Peaceful Uses of Outer Space and Ocean Area, its Special
ized Agencies, as well as other international organizations, on matters
of common interest. In particular the Organization shall take into
account the relevant international standards, regulations, resolutions,
procedures and recommendations of the International Maritime Organization
and the International Civil Aviation Organization. The Organization shall
observe the relevant provisions of the International Telecommunication
Convention and regulations made thereunder, and shall in the design,
development, construction and establishment of the INMARSAT space segment
and in the procedures established for regulating the operation of the
INMARSAT space segment and of earth stations give due consideration to
the relevant resolutions, recommendations and procedures of the organs of
the International Telecommunication Union.

                                ARTICLE 32
                       Signature and Ratification

Article 32, paragraph (3) is replaced by the following text:

(3) On becoming a Party to this Convention, or at any time thereafter, a
State may declare, by written notification to the Depositary, to which
Registers of ships, to which aircraft operating under its authority, and
to which land earth stations under its jurisdiction, the Convention shall
apply.

                                ARTICLE 35
                                Depositary

Article 35, paragraph (1) us replaced by the following text:

(1) The Depositary of this Convention shall be the Secretary-General of
the International Maritime Organization.


             AMENDMENTS TO THE OPERATING AGREEMENT ON THE
         INTERNATIONAL MARITIME SATELLITE ORGANIZATION (INMARSAT)

                                ARTICLE V
                            Investment Shares

Article V, paragraph (2) is replaced by the following text:

(2) For the purpose of determining investment shares, utilization in both
directions shall be divided into two equal parts, a ship or aircraft part
and a land part. The part associated with the ship or aircraft where the
traffic originates or terminates shall be attributed to the Signatory of
the Party under whose authority the ship or aircraft is operating. The
part associated with the land territory where the traffic originates or
terminates shall be attributed to the Signatory of the Party in whose
territory the traffic originates or terminates. However, where, for any
Signatory, the ratio of the ship and aircraft parts to the land parts
exceeds 20:1, that Signatory shall, upon application to the Council, be
attributed a utilization equivalent to twice the land part or an
investment share of 0.1 per cent, whichever is higher. Structures
operating in the marine environment, for which access to the INMARSAT
space segment has been permitted by the Council, shall be considered as
ships for the purpose of this paragraph.

                                ARTICLE XIV
                          Earth Station Approval

Article XIV, paragraph (2) is replaced by the following text:

(2) Any application for such approval shall be submitted to the
Organization by the Signatory of the Party in whose territory the earth
station on land is or will be located, or by the Party or the Signatory
of the Party under whose authority the earth station on a ship or an
aircraft or on a structure operating in the marine environment is
licensed or, with respect to earth stations located in a territory or on
a ship or an aircraft or on a structure operating in the marine
environment not under the jurisdiction of a Party, by an authorized
telecommunications entity.

                                ARTICLE XIX
                                 Depositary


Article XIX, paragraph (1) is replaced by the following text:

(1) The Depositary of this Agreement shall be the Secretary-General of
the International Maritime Organization.