<PAGE>   1
                                                                    Exhibit 99.2

                          INDEPENDENT AUDITORS' REPORT

To the Partners of Loral/QUALCOMM Satellite Services, L.P.:

    We have audited the accompanying balance sheets of Loral/QUALCOMM Satellite
Services, L.P. ("LQSS") (a General Partner of Globalstar, L.P.) as of December
31, 2000 and 1999. These balance sheets are the responsibility of the
Partnerships' management. Our responsibility is to express an opinion on these
balance sheets based on our audits.

    We conducted our audits in accordance with auditing standards generally
accepted in the United States of America. Those standards require that we plan
and perform the audit to obtain reasonable assurance about whether the balance
sheets are free of material misstatement. An audit includes examining, on a test
basis, evidence supporting the amounts and disclosures in the balance sheets. An
audit also includes assessing the accounting principles used and significant
estimates made by management, as well as evaluating the overall balance sheet
presentation. We believe that our audits of the balance sheets provide a
reasonable basis for our opinion.

In our opinion, such balance sheets present fairly, in all material respects,
the financial position of Loral/QUALCOMM Satellite Services, L.P. as of December
31, 2000 and 1999 in conformity with accounting principles generally accepted in
the United States of America.

The accompanying financial statements have been prepared assuming that LQSS will
continue as a going concern. As discussed in Note 2 to the financial statements,
LQSS is dependent upon Globalstar, L.P.'s ("Globalstar") successful financial
results and achievement of profitable operations for the recovery of its
investment. Globalstar is uncertain of its ability to raise additional capital.
These factors raise substantial doubt about LQSS's ability to continue as a
going concern. Management's plans concerning these matters are also described in
Note 2. The financial statements do not include any adjustments that might
result from the outcome of this uncertainty.

DELOITTE & TOUCHE LLP

San Jose, California
March 27, 2000







<PAGE>   2
                     LORAL/QUALCOMM SATELLITE SERVICES, L.P.
                     (A GENERAL PARTNER OF GLOBALSTAR, L.P.)

                                 BALANCE SHEETS
                                 (IN THOUSANDS)


<TABLE>
<CAPTION>
                                                                             DECEMBER 31,
                                                                         2000           1999
                                                                       ---------      --------
<S>                                                                    <C>            <C>
ASSETS:

Investment in Globalstar, L.P. ...................................     $      --      $     --
                                                                       ---------      --------
Total assets .....................................................     $      --      $     --
                                                                       =========      ========

LIABILITIES AND PARTNERS' CAPITAL:

Current liabilities:
   Equity losses in excess of  partnership interests in Globalstar     $ 461,227      $
                                                                       ---------      --------
Partners' capital:
   Partnership interests (18,000 interests outstanding) ..........     $      --      $     --
   Accumulated deficit ...........................................      (461,227)
Total partners' capital ..........................................      (461,227)
                                                                       ---------      --------
Total liabilities and partners' capital ..........................     $      --      $     --
                                                                       =========      ========
</TABLE>


See notes to balance sheets.



<PAGE>   3
                     LORAL/QUALCOMM SATELLITE SERVICES, L.P.
                     (A GENERAL PARTNER OF GLOBALSTAR, L.P.)

                             NOTES TO BALANCE SHEETS

1. ORGANIZATION AND BACKGROUND

    Loral/QUALCOMM Satellite Services, L.P. ("LQSS"), was formed in November
1993 as a Delaware limited partnership with a December 31 fiscal year end. The
general partner of LQSS is Loral/QUALCOMM Partnership, L.P. ("LQP"), a limited
partnership whose general partner is Loral General Partner, Inc. ("LGP"), a
subsidiary of Loral Space & Communications Ltd., a Bermuda company ("Loral") and
whose limited partners include a subsidiary of QUALCOMM Incorporated
("QUALCOMM").

    LQSS's only activity is acting as the managing general partner of
Globalstar. In the first quarter of 2000, Globalstar commenced commercial
operations and began the transition from a development stage entity to an
operating entity. Prior to the first quarter of 2000, Globalstar devoted
substantially all of its efforts to the design, development and construction of
the Globalstar System and preparation for commercial operations. In 2000,
Globalstar operations focused on operating the Globalstar System and the
providing of global wireless telecommunications services. At December 31, 2000,
LQSS held a 27.9% interest in Globalstar's outstanding ordinary partnership
interests. As LQSS's investment in Globalstar is LQSS's only asset, LQSS is
dependent upon Globalstar's success and achievement of profitable operations for
the recovery of its investment.


    Globalstar operates in one industry segment, satellite telecommunications,
providing global mobile and fixed wireless voice and data services.

2. BASIS OF PRESENTATION

    LQSS is a holding company that acts as a general partner of Globalstar and
has no other business or investments. LQSS's sole asset is its investment in
Globalstar and LQSS's results of operations reflect its share of the results of
operations of Globalstar on an equity accounting basis. Accordingly, LQSS's
results of operations only reflect its proportionate share of Globalstar's
results of operations, as presented on Globalstar's financial statements, and
the appropriate amortization and interest associated with this investment.

    On January 16, 2001, Globalstar suspended indefinitely principal and
interest payments on its funded debt and dividend payments on its 8% and 9%
RPPIs in order to conserve cash for operations. Non-payment of interest on
Globalstar's debt instruments, credit facility and vendor financing agreements
when they become due, and continuance of non-payment for the applicable grace
period, are "events of default" under the terms of each of the debt instruments.
An event of default has occurred in connection with Globalstar's $500 million
credit facility, its vendor financing facility with QUALCOMM, and its 11-3/8%
senior notes due February 15, 2004 (the "Bond"). Globalstar expects that events
of default will occur with regard to Globalstar's other three senior note
indentures when interest payments become due in May and June of 2001.
Accordingly, for reporting and accounting purposes, Globalstar classified the
$500 million credit facility, the QUALCOMM vendor financing and the four senior
notes as current obligations. See Globalstar's "Notes to Consolidated Financial
Statements," Notes 7-9.

    Globalstar is currently developing a new business plan that will offer a
basis for a restructuring proposal that it will provide to its creditors. If it
is unable to effectuate an out-of-court restructuring, Globalstar may be forced
to seek protection under the federal bankruptcy laws. Moreover, its creditors
may seek to initiate involuntary bankruptcy proceedings against Globalstar.

     Globalstar's revenue performance during the fourth quarter of 2000 has
caused management, in conjunction with its service provider partners, to perform
a reassessment of its business plan and long term revenue projections. In the
fourth quarter of 2000, Globalstar recorded a $2.9 billion impairment charge
related to the $3.2 billion carrying value of the Globalstar System, including
spare satellites, launch deposits, unsold production gateways, user terminals
and related assets. This charge resulted from the revision of estimates of gross
cash flows through 2009, the estimated end of useful life of the Globalstar
System, and the determination that these assets were impaired. The fair value,
for purposes of measuring the impairment at December 31, 2000, was determined by
discounting these cash flows. Gross cash flows are based on revenue projections
offset by estimated expenditures for operations and capital expenditures.
Revenue projections are based on Globalstar's current market outlook, which is
significantly influenced by service provider projections.

    Globalstar's announcement in January 2001 of its intention to suspend
payments under its long-term obligations and dividend payments on its 8% RPPIs
and 9% RPPIs and its difficulty in securing additional financing raise
substantial doubt about its ability to achieve successful operations. These
factors, in turn, raise doubt regarding LQSS's ability to continue as a going
concern. The accompanying financial statements have been prepared on a going
concern basis, which contemplates the realization of assets and the satisfaction
of liabilities in the normal course of business.

3. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES



<PAGE>   4
INVESTMENT IN GLOBALSTAR, L.P.

    LQSS accounts for its investment in Globalstar's ordinary partnership
interests on an equity basis, recognizing its allocated share of net loss for
each period since its initial investment in March 1994. During 1995, LQSS's
investment in Globalstar was reduced to zero. Accordingly, LQSS has discontinued
providing for its allocated share of Globalstar's net losses and recognized the
remaining unallocated losses as a result of its general partner status in
Globalstar in proportion to its interests in the general partner interests
outstanding. LQSS, as general partner of Globalstar, is jointly and severally
liable with the other general partner for the recourse obligations of
Globalstar, which LQSS estimates to be approximately $1.4 billion as of December
31, 2000. As a result of its general partner status, LQSS recorded a liability
of $ $461.2 million. Future funding, if any, or assets of GTL may be utilized to
fund this general partner liability.

USE OF ESTIMATES IN PREPARATION OF FINANCIAL STATEMENTS

    The preparation of financial statements in conformity with generally
accepted accounting principles requires management to make estimates and
assumptions that affect the reported amounts of assets and liabilities and
disclosure of contingent assets and liabilities at the date of the financial
statements and the amounts of expenses reported for the period. Actual results
could differ from estimates.

INCOME TAXES

    LQSS was organized as a Delaware limited partnership. As such, no income tax
provision (benefit) is included in the accompanying financial statements since
U.S. income taxes are the responsibility of its partners. Generally, taxable
income (loss), deductions and credits of LQSS will be passed proportionately
through to its partners.

4. INVESTMENT IN GLOBALSTAR

    On March 23, 1994, LQSS entered into a subscription agreement to acquire
18,000,000 general ordinary partnership interests in Globalstar for $50,000,000.
LQSS paid $38,691,000 in cash during 1994 and 1995 and received a credit of
$11,309,000 against its capital subscription, as compensation for certain costs
incurred by the partners of its general partner, LQP. As of December 31, 2000,
Globalstar had 44,668,233 general and 19,937,500 limited ordinary partnership
interests outstanding.

    On February 14, 1995, GTL completed an initial public offering of 40,000,000
shares of common stock, resulting in net proceeds of $185,750,000, which were
used to purchase 10,000,000 ordinary general partnership interests in
Globalstar. LQSS and the other partners in Globalstar have the right to exchange
their ordinary partnership interests into shares of GTL common stock on an
approximate one-for-four basis following the Full Coverage Date, as defined, of
the Globalstar System and after two consecutive quarters of positive net income,
subject to certain annual limitations. GTL has reserved approximately 153.7
million shares for this purpose.

    In July 1999, Globalstar and GTL filed a shelf registration statement (the
"Shelf Registration Statement") with the SEC covering up to $500 million of
securities. Under the Shelf Registration Statement, Globalstar may, from time to
time, offer debt securities, which may be either senior or subordinated or
secured or unsecured and GTL may, from time to time, offer shares of common
stock, preferred stock or warrants, all at prices and on terms to be determined
at the time of the offering.

    On February 1, 2000, GTL sold 8,050,000 share of common stock in a public
offering under the Shelf Registration Statement. The sale yielded net proceeds
of approximately $268.5 million to the Company. GTL used the proceeds to
purchase 1,987,654 ordinary partnership interests in Globalstar.

    On September 19, 2000, GTL entered into a purchase agreement with Bear
Stearns International Limited ("Bear Stearns"), under which Bear Stearns agreed
to purchase over several tranches, up to $105 million of shares of GTL common
Stock. Sales under this agreement were subject to certain conditions, including
the requirement that GTL's share price be trading higher then $4.50. During the
year 2000, Bear Stearns purchased 4,050,000 shares of GTL common stock,
resulting in net proceeds to GTL of $27.8 million. GTL used the proceeds from
the sales to purchase 1,000,001 ordinary partnership interests in Globalstar.

    On September 29, 2000, Globalstar's founding partners, Loral, Vodafone,
QUALCOMM, TE.SA.M. and Elsacom purchased an aggregate of 5.2 million shares of
common stock of GTL for $56 million. GTL used the proceeds from the sales to
purchase 1,295,360 ordinary partnership interests in Globalstar.

5. PARTNERS' CAPITAL

    On March 23, 1994, LQSS received capital subscriptions of $50,000,000 for a
42.2% general partnership interest and 57.8% limited partnership interests,
representing all issued and outstanding partnership interests. Of these capital
subscriptions, $38,691,000



<PAGE>   5
was received in cash during 1994 and 1995 and a capital subscription credit of
$11,309,000 was issued to the general and limited partners as compensation for
expenditures incurred by Loral and QUALCOMM from January 1, 1993 through March
22, 1994, relating to the Globalstar System. LQSS was in turn granted a credit
against its capital subscription payable to Globalstar for the same amount.

6. RELATED PARTY TRANSACTIONS

GLOBALSTAR MANAGING PARTNER'S ALLOCATION

    Commencing with the initiation of Globalstar's services in the first quarter
of 2000, LQSS will receive a managing partner's allocation equal to 2.5% of
Globalstar's revenues up to $500 million, plus 3.5% of revenues in excess of
$500 million. This managing partner's allocation will be distributed to LQSS's
general partner, LQP. Should Globalstar incur a net loss in any year following
commencement of services, the allocation for that year will be reduced by 50%
and Globalstar will be reimbursed for allocation payments, if any, made in any
prior quarter of such year, sufficient to reduce the management allocation for
such year to 50%. No allocations have been received to date. The allocation may
be deferred (with interest 4% per annum) in any quarter in which Globalstar
would report negative cash flow from operations if the allocation were made. As
of December 31, 2000, $28,000 of such allocation has been deferred.