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Exhibit 12

LORAL SPACE & COMMUNICATIONS LTD., A
DEBTOR IN POSSESSION

COMPUTATION OF DEFICIENCY OF EARNINGS TO COVER
FIXED CHARGES


|                                                                                                                                                                                                            |                                       |                                  |          |        |  |      |          |         |  |   |          |         | 
|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------- | ------------------------------------- | -------------------------------- | -------- | ------ |  | ---- | -------- | ------- |  | - | -------- | ------- | 
|                                                                                                                                                                                                            |                                       |                                 
|                                                                                                                                                                                                            |                                       | For the Years Ended December 31,
|                                                                                                                                                                                                            |                                       |                                 
|                                                                                                                                                                                                            |                                       | 2003                             |          | 2002   |  | 2001
|                                                                                                                                                                                                            |                                       |                                  |          |        |  |     
|                                                                                                                                                                                                            |                                       |                                 
|                                                                                                                                                                                                            |                                       | (in thousands)                  
|                                                                                                                                                                                                            |                                       | (unaudited)                     
|Loss before income taxes, equity in net losses of
    affiliates, minority interest, cumulative effect of change in
    accounting principle and extraordinary gain on acquisition of
    minority interest |                                       | $                                | (338,575 | )      |  | $    | (147,354 | )       |  | $ | (126,333 | )      
|Plus fixed charges:                                                                                                                                                                                         |                                       |                                  |          |        |  |      |          |         |  |   |          |        
|                                                                                                                                                                                                            | Interest expense                      |                                  |          | 95,823 |  |      |          | 106,861 |  |   |          | 207,027 | 
|                                                                                                                                                                                                            | Interest component of rent expense(1) |                                  |          | 10,402 |  |      |          | 15,380  |  |   |          | 15,717  | 
|Less: capitalized interest                                                                                                                                                                                  |                                       |                                  | (34,060  | )      |  |      | (29,816  | )       |  |   | (23,097  | )      
|                                                                                                                                                                                                            |                                       |                                  |          |        |  |      |          |         |  |   |          |        
|Earnings available to cover fixed charges                                                                                                                                                                   |                                       | $                                | (266,410 | )      |  | $    | (54,929  | )       |  | $ | 73,314   |        
|                                                                                                                                                                                                            |                                       |                                  |          |        |  |      |          |         |  |   |          |        
|Fixed charges(2)                                                                                                                                                                                            |                                       | $                                | (112,724 | )      |  | $    | (211,427 | )       |  | $ | (303,487 | )      
|                                                                                                                                                                                                            |                                       |                                  |          |        |  |      |          |         |  |   |          |        
|Deficiency of earnings to cover fixed charges                                                                                                                                                               |                                       | $                                | (379,134 | )      |  | $    | (266,356 | )       |  | $ | (230,173 | )      
|                                                                                                                                                                                                            |                                       |                                  |          |        |  |      |          |         |  |   |          |        



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|    |                                                                                                                                                                                                                                                                                                                                                                                                                                             
|--- | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|(1) | The interest component of rent expense is deemed
    to be approximately 25% of total rent expense.                                                                                                                                                                                                                                                                                                                                         
|   
|(2) | Preferred dividends have not been adjusted for
    income taxes, due to the composition of the taxing jurisdictions
    underlying the Companys operations and the resulting
    impact on the Companys effective tax rate. Fixed charges
    includes the accrual of preferred dividends and interest on
    unsecured debt obligations (excluding bank debt) through
    July 15, 2003, the date of the Companys
    Chapter 11 filing.