##### 



Exhibit 12

LORAL ORION, INC AND SUBSIDIARIES, 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, and cumulative effect
    of change in accounting principle |                  | $                                | (42,913 | )     |  | $    | (5,111  | )      |  | $ | (72,181 | )     
|Plus fixed charges:                                                                   |                  |                                  |         |       |  |      |         |        |  |   |         |       
|                                                                                      | Interest expense |                                  |         | 7,411 |  |      |         | 13,301 |  |   |         | 98,339 | 
|Less: capitalized interest                                                            |                  |                                  | (889    | )     |  |      | (288    | )      |  |   |        |       
|                                                                                      |                  |                                  |         |       |  |      |         |        |  |   |         |       
|Earnings available to cover fixed charges                                             |                  | $                                | (36,391 | )     |  | $    | 7,902   |        |  | $ | 26,158  |       
|                                                                                      |                  |                                  |         |       |  |      |         |        |  |   |         |       
|Fixed charges(1)                                                                      |                  | $                                | (7,411  | )     |  | $    | (13,301 | )      |  | $ | (98,339 | )     
|                                                                                      |                  |                                  |         |       |  |      |         |        |  |   |         |       
|Deficiency of earnings to cover fixed charges                                         |                  | $                                | (43,802 | )     |  | $    | (5,399  | )      |  | $ | (72,181 | )     
|                                                                                      |                  |                                  |         |       |  |      |         |        |  |   |         |       






|    |                                                                                                                                                   
|--- | --------------------------------------------------------------------------------------------------------------------------------------------------
|(1) | Fixed charges includes the accrual of interest on
    all debt obligations through July 15, 2003, the date of the
    Companys Chapter 11 filing.