##### Table of Contents



United States Securities and Exchange Commission
 Washington, D.C. 20549
 FORM 10-Q
 (Mark One)
 þ
    
    QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES
EXCHANGE ACT OF 1934
 For the quarterly period ended March 31, 2010
 OR
 o
    
    TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934
 For the transition period from
 _____ 
to
 _____
 Commission File Number 001-33118
 ORBCOMM INC.
  Delaware
    
    41-2118289(State or other jurisdiction 
of incorporation or organization)
    
    (I.R.S. Employer
Identification No.)
 
 
 
 þ o
 o o
  Large accelerated
filer o
    
    Accelerated
filer þ
    
    Non-accelerated filer o
(Do not check if a smaller reporting company)
    
    Smaller reporting company o
 o þ




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##### 



Index
 Part I  Financial InformationItem 1. Condensed Consolidated Financial Statements (Unaudited):Condensed Consolidated Balance Sheets
    
    
    3Condensed Consolidated Statements of Operations
    
    
    4Condensed Consolidated Statements of Cash Flows
    
    
    5Condensed Consolidated Statements of Equity
    
    
    6Notes
to Condensed Consolidated Financial Statements
    
    
    7Item 2. Managements Discussion and Analysis of Financial Condition and Results of Operations
    
    
    20Item 3. Quantitative and Qualitative Disclosures about Market Risks
    
    
    25Item 4. Controls and Procedures
    
    
    26Part II  Other InformationItem 1. Legal Proceedings
    
    
    26Item 1A. Risk Factors
    
    
    26Item 2. Unregistered Sales of Equity Securities and Use of Proceeds
    
    
    26Item 3. Defaults Upon Senior Securities
    
    
    26Item 5. Other Information
    
    
    26Item 6. Exhibits
    
    
    26Signatures
    
    
    27Exhibit Index
    
    
    28Exhibit 31.1Exhibit 31.2Exhibit 32.1Exhibit 32.2
   2




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##### Table of Contents



ORBCOMM Inc.
 
 Condensed Consolidated Balance Sheets
 (in thousands, except share data)
 (Unaudited)
 March 31,
    
    
    December 31,2010
    
    
    2009ASSETSCurrent assets:Cash and cash equivalents
    
    $
    23,436
    
    
    $
    65,292Restricted cash
    
    
    1,000
    
    
    
    1,000Marketable securities
    
    
    66,366
    
    
    
    26,145Accounts receivable, net of allowances for doubtful accounts of $602 and $803
    
    
    4,571
    
    
    
    3,574Inventories
    
    
    84
    
    
    
    78Prepaid expenses and other current assets
    
    
    1,389
    
    
    
    1,218Current assets held for sale
    
    
    847
    
    
    
    778Total current assets
    
    
    97,693
    
    
    
    98,085Satellite network and other equipment, net
    
    
    73,197
    
    
    
    73,208Intangible assets, net
    
    
    2,228
    
    
    
    2,600Restricted cash
    
    
    2,980
    
    
    
    2,980Other assets
    
    
    1,229
    
    
    
    1,354Long term assets held for sale
    
    
    2,724
    
    
    
    2,832Total assets
    
    $
    180,051
    
    
    $
    181,059LIABILITIES AND EQUITYCurrent liabilities:Accounts payable
    
    $
    2,596
    
    
    $
    2,642Accrued liabilities
    
    
    5,178
    
    
    
    5,610Current portion of deferred revenue
    
    
    3,902
    
    
    
    3,849Current liabilities related to assets held for sale
    
    
    196
    
    
    
    412Total current liabilities
    
    
    11,872
    
    
    
    12,513Note payable  related party
    
    
    1,335
    
    
    
    1,398Deferred revenue, net of current portion
    
    
    5,913
    
    
    
    6,230Total liabilities
    
    
    19,120
    
    
    
    20,141Commitments and contingenciesEquity:ORBCOMM Inc. stockholders equityCommon stock, par value $0.001; 250,000,000 shares authorized; 42,562,951 and
42,455,531 shares issued and outstanding
    
    
    43
    
    
    
    42Additional paid-in capital
    
    
    230,947
    
    
    
    230,512Accumulated other comprehensive income
    
    
    256
    
    
    
    76Accumulated deficit
    
    
    (72,150
    )
    
    
    (71,415
    )Total ORBCOMM Inc. stockholders equity
    
    
    159,096
    
    
    
    159,215Noncontrolling interests in ORBCOMM Japan
    
    
    1,835
    
    
    
    1,703Total equity
    
    
    160,931
    
    
    
    160,918Total liabilities and equity
    
    $
    180,051
    
    
    $
    181,059
 See notes to condensed consolidated financial statements.
  3




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##### Table of Contents



ORBCOMM Inc.
 
 Condensed Consolidated Statements of Operations
 (in thousands, except per share data)
 (Unaudited)
 Three months endedMarch 31,2010
    
    
    2009Revenues:Service revenues
    
    $
    6,882
    
    
    $
    6,622Product sales
    
    
    535
    
    
    
    105Total revenues
    
    
    7,417
    
    
    
    6,727Costs and expenses(1):Costs of services
    
    
    3,136
    
    
    
    3,221Costs of product sales
    
    
    323
    
    
    
    60Selling, general and administrative
    
    
    4,162
    
    
    
    4,803Product development
    
    
    164
    
    
    
    189Impairment charge-satellite network
    
    
    
    
    
    
    7,045Total costs and expenses
    
    
    7,785
    
    
    
    15,318Loss from operations
    
    
    (368
    )
    
    
    (8,591
    )Other income (expense):Interest income
    
    
    37
    
    
    
    41Other expense
    
    
    (120
    )
    
    
    (49
    )Interest expense
    
    
    (48
    )
    
    
    (48
    )Total other income (expense)
    
    
    (131
    )
    
    
    (56
    )Loss from continuing operations
    
    
    (499
    )
    
    
    (8,647
    )Loss from discontinued operations
    
    
    (91
    )
    
    
    (452
    )Net loss
    
    
    (590
    )
    
    
    (9,099
    )Less: Net income attributable to the noncontrolling interests
    
    
    145
    
    
    
    36Net loss attributable to ORBCOMM Inc.
    
    $
    (735
    )
    
    $
    (9,135
    )Net loss attributable to ORBCOMM Inc.:Loss from continuing operations
    
    $
    (644
    )
    
    $
    (8,683
    )Loss from discontinued operations
    
    
    (91
    )
    
    
    (452
    )Net loss attributable to ORBCOMM Inc.
    
    $
    (735
    )
    
    $
    (9,135
    )Per share information-basic and diluted:Loss from continuing operations
    
    $
    (0.02
    )
    
    $
    (0.21
    )Loss from discontinued operations
    
    
    (0.00
    )
    
    
    (0.01
    )Net loss attributable to ORBCOMM Inc.
    
    $
    (0.02
    )
    
    $
    (0.22
    )Weighted average common shares outstanding:Basic and diluted
    
    
    42,559
    
    
    
    42,308(1) Stock-based compensation included in costs and expenses:Costs of services
    
    $
    14
    
    
    $
    20Selling, general and administrative
    
    
    416
    
    
    
    427Product development
    
    
    2
    
    
    
    8$
    432
    
    
    $
    455
 See notes to condensed consolidated financial statements.
  4




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##### Table of Contents



ORBCOMM Inc.
 
 Condensed Consolidated Statements of Cash Flows
 (in thousands)
 (Unaudited)
 Three months endedMarch 31,2010
    
    
    2009Cash flows from operating activities:Net loss
    
    $
    (590
    )
    
    $
    (9,099
    )Adjustments to reconcile net loss to net cash
used in operating activities:Change in allowance for doubtful accounts
    
    
    (201
    )
    
    
    285Depreciation and amortization
    
    
    1,397
    
    
    
    1,284Accretion on note payable  related party
    
    
    33
    
    
    
    33Stock-based compensation
    
    
    432
    
    
    
    455Foreign exchange losses
    
    
    121
    
    
    
    51Amortization
of premium on marketable securities
    
    
    131
    
    
    
    Impairment charge-satellite network
    
    
    
    
    
    
    7,045Changes in operating assets and liabilities:Accounts receivable
    
    
    (813
    )
    
    
    (516
    )Inventories
    
    
    (6
    )
    
    
    55Prepaid expenses and other assets
    
    
    (44
    )
    
    
    249Accounts payable and accrued liabilities
    
    
    (528
    )
    
    
    (967
    )Deferred revenue
    
    
    (262
    )
    
    
    (220
    )Net cash used in operating activities of continuing operations
    
    
    (330
    )
    
    
    (1,345
    )Net cash (used in) provided by operating activities of discontinued operations
    
    
    (177
    )
    
    
    85Net cash used in operating activities
    
    
    (507
    )
    
    
    (1,260
    )Cash flows from investing activities:Capital expenditures
    
    
    (984
    )
    
    
    (6,921
    )Purchases of marketable securities
    
    
    (66,422
    )
    
    
    Proceeds from maturities of marketable securities
    
    
    26,070
    
    
    
    Net cash used in investing activities of continuing operations
    
    
    (41,336
    )
    
    
    (6,921
    )Net cash used in investing activities of discontinued operations
    
    
    
    
    
    
    (3
    )Net cash used in investing activities
    
    
    (41,336
    )
    
    
    (6,924
    )Cash flows from financing activities
    
    
    
    
    
    
    Effect of exchange rate changes on cash and cash equivalents
    
    
    (13
    )
    
    
    (240
    )Net decrease in cash and cash equivalents
    
    
    (41,856
    )
    
    
    (8,424
    )Cash and cash equivalents:Beginning of period
    
    
    65,292
    
    
    
    75,370End of period
    
    $
    23,436
    
    
    $
    66,946Supplemental cash flow disclosures:Noncash investing activities:Capital expenditures incurred not yet paid
    
    $
    1,073
    
    
    $
    1,025Stock-based compensation included in capital expenditures
    
    $
    3
    
    
    $
    
 See notes to condensed consolidated financial statements.
  5




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ORBCOMM Inc.
 
 Condensed Consolidated Statements of Equity
 Three months ended March 31, 2010 and 2009
 (in thousands, except share data)
 (Unaudited)
 Accumulated
    
    
    
    
    
    
    NoncontrollingAdditional
    
    
    other
    
    
    
    
    
    
    interestsCommon stock
    
    
    paid-in
    
    
    comprehensive
    
    
    Accumulated
    
    
    in ORBCOMM
    
    
    TotalShares
    
    
    Amount
    
    
    capital
    
    
    income
    
    
    deficit
    
    
    Japan
    
    
    equityBalances, January 1, 2010
    
    
    42,455,531
    
    
    $
    42
    
    
    $
    230,512
    
    
    $
    76
    
    
    $
    (71,415
    )
    
    $
    1,703
    
    
    $
    160,918Vesting of restricted stock units
    
    
    107,420
    
    
    
    1
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    1Stock-based compensation
    
    
    
    
    
    
    
    
    
    
    435
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    435Net income (loss)
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    (735
    )
    
    
    145
    
    
    
    (590
    )Cumulative translation adjustment
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    180
    
    
    
    
    
    
    
    (13
    )
    
    
    167Balances, March 31, 2010
    
    
    42,562,951
    
    
    $
    43
    
    
    $
    230,947
    
    
    $
    256
    
    
    $
    (72,150
    )
    
    $
    1,835
    
    
    $
    160,931Balances, January 1, 2009
    
    
    42,101,834
    
    
    $
    42
    
    
    $
    229,001
    
    
    $
    381
    
    
    $
    (67,976
    )
    
    $
    1,603
    
    
    $
    163,051Vesting of restricted stock units
    
    
    294,197
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    Stock-based compensation
    
    
    
    
    
    
    
    
    
    
    455
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    455Net income (loss)
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    (9,135
    )
    
    
    36
    
    
    
    (9,099
    )Cumulative translation adjustment
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    (101
    )
    
    
    
    
    
    
    (37
    )
    
    
    (138
    )Balances, March 31, 2009
    
    
    42,396,031
    
    
    $
    42
    
    
    $
    229,456
    
    
    $
    280
    
    
    $
    (77,111
    )
    
    $
    1,602
    
    
    $
    154,269
 See notes to condensed consolidated financial statements.
  6




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##### Table of Contents



1. Overview
  2. Basis of Presentation
        7




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##### Table of Contents



Fair Value of Financial instruments
  Marketable securities
  Concentration of credit risk
    Three months endedMarch 31,2010
    
    
    2009Caterpillar Inc.
    
    
    13.2
    %
    
    
    15.5
    %Komatsu Ltd.
    
    
    11.9
    %
    
    
    10.8
    %Hitachi Construction Machinery Co., Ltd.
    
    
    13.8
    %
    
    
    10.4
    %AI, formerly a division of General Electric
    
    
    11.6
    %
    
    
    15.3
    %
  8




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##### Table of Contents



March 31,
    
    
    December 31,2010
    
    
    2009AI, formerly a division of General Electric
    
    
    17.6
    %
    
    
    10.9
    %Caterpillar, Inc.
    
    
    
    
    
    
    13.9
    %
  Inventories
   Income taxes
     9




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##### Table of Contents



Accounting Pronouncements
 Revenue Recognition Multiple Deliverable Revenue Arrangements
 3. Discontinued Operations
   Three months endedMarch 31,2010
    
    
    2009Revenues - Product sales
    
    $
    245
    
    
    $
    634Loss from discontinued operations
    
    $
    (91
    )
    
    $
    (452
    )
  March 31,
    
    
    December 31,2010
    
    
    2009Accounts receivable, net
    
    $
    180
    
    
    $
    168Inventories, current
    
    
    647
    
    
    
    575Current assets
    
    
    847
    
    
    
    778Other equipment, net
    
    
    707
    
    
    
    707Inventories, long term
    
    
    2,017
    
    
    
    2,125Current liabilities
    
    
    196
    
    
    
    412
   10




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##### Table of Contents



4. Comprehensive Loss
  Three months endedMarch 31,2010
    
    
    2009Net loss,
attributable to ORBCOMM Inc.
    
    $
    (735
    )
    
    $
    (9,135
    )Foreign currency translation adjustment
    
    
    167
    
    
    
    (138
    )Comprehensive loss
    
    $
    (568
    )
    
    $
    (9,273
    )Comprehensive loss attributable to noncontrolling interests
    
    
    (13
    )
    
    
    (37
    )Comprehensive loss attributable to ORBCOMM Inc.
    
    $
    (555
    )
    
    $
    (9,236
    )
 5. Stock-based Compensation
   Three months endedMarch 31,2010
    
    
    2009Stock appreciation rights
    
    $
    312
    
    
    $
    250Restricted stock units
    
    
    120
    
    
    
    181Stock options
    
    
    
    
    
    
    24Total
    
    $
    432
    
    
    $
    455
  Time-Based Stock Appreciation Rights
   11




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##### Table of Contents



Weighted-AverageRemaining
    
    
    AggregateNumber of
    
    
    Weighted-Average
    
    
    Contractual
    
    
    Intrinsic ValueShares
    
    
    Exercise Price
    
    
    Term (years)
    
    
    (In thousands)Outstanding at January 1, 2010
    
    
    1,166,667
    
    
    $
    5.23Granted
    
    
    828,000
    
    
    
    2.46Forfeited or expired
    
    
    
    
    
    
    Outstanding at March 31, 2010
    
    
    1,994,667
    
    
    $
    4.08
    
    
    
    8.76
    
    
    $
    11Exercisable at March 31, 2010
    
    
    755,000
    
    
    $
    5.46
    
    
    
    7.88
    
    
    $
    4Vested and expected to vest at
March 31, 2010
    
    
    1,994,667
    
    
    $
    4.08
    
    
    
    8.76
    
    
    $
    11
  Performance-Based Stock Appreciation Rights
   Weighted- AverageRemaining
    
    
    AggregateNumber of
    
    
    Weighted-Average
    
    
    Contractual
    
    
    Intrinsic ValueShares
    
    
    Exercise Price
    
    
    Term (years)
    
    
    (In thousands)Outstanding at January 1, 2010
    
    
    280,146
    
    
    $
    9.59Granted
    
    
    306,000
    
    
    
    2.46Forfeited or expired
    
    
    (21,000
    )
    
    
    1.86Outstanding at March 31, 2010
    
    
    565,146
    
    
    $
    6.02
    
    
    
    8.70
    
    
    $
    3Exercisable at March 31, 2010
    
    
    259,146
    
    
    $
    10.22
    
    
    
    7.26
    
    
    $
    3Vested and expected to vest at
March 31, 2010
    
    
    565,146
    
    
    $
    6.02
    
    
    
    8.70
    
    
    $
    3
    12




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##### Table of Contents



Three months endedMarch 31,2010
    
    2009Risk-free interest rate
    
    2.27% and 2.65%
    
    2.34%Expected life (years)
    
    5.50 and 6
    
    6Estimated volatility
    
    85.95% and 83.67%
    
    55.03%Expected dividends
    
    None
    
    None
 Time-based Restricted Stock Units
   Weighted-Average GrantShares
    
    
    Date Fair ValueBalance at January 1, 2010
    
    
    238,753
    
    
    $
    3.18Granted
    
    
    79,290
    
    
    
    2.27Vested
    
    
    (77,420
    )
    
    
    1.55Forfeited or expired
    
    
    
    
    
    
    Balance at March 31, 2010
    
    
    240,623
    
    
    $
    3.40
   Performance-Based Restricted Stock Units
   2004 Stock Option Plan
  Weighted-AverageRemaining
    
    
    AggregateNumber of
    
    
    Weighted-Average
    
    
    Contractual
    
    
    Intrinsic ValueShares
    
    
    Exercise Price
    
    
    Term (years)
    
    
    (In thousands)Outstanding at January 1, 2010
    
    
    782,079
    
    
    $
    2.98Granted
    
    
    
    
    
    
    Exercised
    
    
    
    
    
    
    Forfeited or expired
    
    
    
    
    
    
    Outstanding at March 31, 2010
    
    
    782,079
    
    
    $
    2.98
    
    
    
    3.93
    
    
    $
    Exercisable at March 31, 2010
    
    
    782,079
    
    
    $
    2.98
    
    
    
    3.93
    
    
    $
    Vested and expected to vest at March 31, 2010
    
    
    782,079
    
    
    $
    2.98
    
    
    
    3.93
    
    
    $
    
  13




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##### Table of Contents



6. Net Loss per Common Share
   Three months endedMarch 31,2010
    
    
    2009SARs
    
    
    2,559,813
    
    
    
    1,416,813RSUs
    
    
    240,623
    
    
    
    259,753Stock options
    
    
    782,079
    
    
    
    782,079Common stock warrants
    
    
    
    
    
    
    56,9243,582,515
    
    
    
    2,515,569
 7. Marketable Securities
  March 31, 2010
    
    
    December 31, 2009Gross
    
    
    Gross
    
    
    
    
    
    
    Gross
    
    
    GrossFair
    
    
    Unrealized
    
    
    Unrealized
    
    
    Fair
    
    
    Unrealized
    
    
    UnrealizedValue
    
    
    Losses
    
    
    Gains
    
    
    Value
    
    
    Losses
    
    
    GainsU.S. government and agency
obligations
    
    $
    41,542
    
    
    $
    22
    
    
    $
    
    
    
    $
    13,009
    
    
    $
    
    
    
    $
    1Corporate obligations
    
    
    21,642
    
    
    
    41
    
    
    
    
    
    
    
    11,211
    
    
    
    7
    
    
    
    FDIC-insured certificates of deposit
    
    
    3,112
    
    
    
    7
    
    
    
    
    
    
    
    1,919
    
    
    
    
    
    
    
    $
    66,296
    
    
    $
    70
    
    
    $
    
    
    
    $
    26,139
    
    
    $
    7
    
    
    $
    1
    14




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##### Table of Contents



8. Satellite Network and Other Equipment
  Useful life
    
    
    March 31,
    
    
    December 31,(years)
    
    
    2010
    
    
    2009Land
    
    
    
    
    
    $
    381
    
    
    $
    381Satellite network
    
    
    3-10
    
    
    
    28,104
    
    
    
    27,814Capitalized software
    
    
    3-5
    
    
    
    1,324
    
    
    
    1,318Computer hardware
    
    
    5
    
    
    
    1,183
    
    
    
    1,144Other
    
    
    5-7
    
    
    
    1,125
    
    
    
    1,105Assets under construction
    
    
    
    
    
    
    67,109
    
    
    
    66,45099,226
    
    
    
    98,212Less: accumulated depreciation and amortization
    
    
    
    
    
    
    (26,029
    )
    
    
    (25,004
    )$
    73,197
    
    
    $
    73,208
   9. Restricted Cash
      15




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##### Table of Contents



10. Intangible Assets
  March 31, 2010
    
    
    December 31, 2009Useful life
    
    
    
    
    
    
    Accumulated
    
    
    
    
    
    
    
    
    
    
    Accumulated(years)
    
    
    Cost
    
    
    amortization
    
    
    Net
    
    
    Cost
    
    
    amortization
    
    
    NetAcquired licenses
    
    
    6
    
    
    $
    8,115
    
    
    $
    (5,887
    )
    
    $
    2,228
    
    
    $
    8,115
    
    
    $
    (5,515
    )
    
    $
    2,600
   Years ending December 31,Remainder of 2010
    
    $
    1,1142011
    
    
    1,114$
    2,228
 11. Accrued Liabilities
  March 31,
    
    
    December 31,2010
    
    
    2009Accrued compensation and benefits
    
    
    1,272
    
    
    
    1,738Accrued interest
    
    
    811
    
    
    
    797Accrued professional services
    
    
    405
    
    
    
    327Deferred rent payable
    
    
    435
    
    
    
    919Other accrued expenses
    
    
    2,255
    
    
    
    1,829$
    5,178
    
    
    $
    5,610
 12. Deferred Revenues
  March 31,
    
    
    December 31,2010
    
    
    2009Professional services
    
    $
    6,216
    
    
    $
    6,437Service activation fees
    
    
    2,472
    
    
    
    2,563Manufacturing license fees
    
    
    41
    
    
    
    44Prepaid services
    
    
    1,086
    
    
    
    1,0359,815
    
    
    
    10,079Less current portion
    
    
    (3,902
    )
    
    
    (3,849
    )Long-term portion
    
    $
    5,913
    
    
    $
    6,230
   16




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13. Note Payable
  14. Stockholders Equity
   15. Geographic Information
  Three months endedMarch 31,2010
    
    
    2009United States
    
    
    79
    %
    
    
    85
    %Japan
    
    
    16
    %
    
    
    11
    %Other
    
    
    5
    %
    
    
    4
    %100
    %
    
    
    100
    %
 16. Commitments and Contingencies
 Procurement agreements in connection with next-generation satellites
     17




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18




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##### Table of Contents



Airtime credits
  Litigation
  17. Subsequent Event-Investment in Alanco Technologies, Inc.
   19




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Item 2. Managements Discussion and Analysis of Financial Condition and Results of Operations
 Safe Harbor Statement Under the Private Securities Litigation Reform of Act 1995.
  Overview
     20




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Discontinued Operations
  Critical Accounting Policies
  EBITDA
   21




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The following table (in thousands) reconciles our net loss to EBITDA for the periods shown:
 Three months endedMarch 31,2010
    
    
    2009Net loss attributable to ORBCOMM Inc.
    
    $
    (735
    )
    
    $
    (9,135
    )Interest income
    
    
    (37
    )
    
    
    (41
    )Interest expense
    
    
    48
    
    
    
    48Depreciation and amortization
    
    
    1,397
    
    
    
    1,302EBITDA
    
    $
    673
    
    
    $
    (7,826
    )
  Results of Operations
 Revenues
  i.e.
  Three months ended March 31,2010
    
    
    2009% of
    
    
    
    
    
    
    % ofTotal
    
    
    
    
    
    
    TotalService revenues
    
    $
    6,882
    
    
    
    92.8
    %
    
    $
    6,622
    
    
    
    98.4
    %Product sales
    
    
    535
    
    
    
    7.2
    %
    
    
    105
    
    
    
    1.6
    %$
    7,417
    
    
    
    100.0
    %
    
    $
    6,727
    
    
    
    100.0
    %
  22




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##### Table of Contents



Service revenues
   Product sales
  Costs of services
   Costs of product sales
   Selling, general and administrative expenses
   Product development expenses
   Impairment Charge  Satellite Network
   23




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Other income (expense)
   Loss from continuing operations
  Loss from discontinued operations
  Noncontrolling interests
  Net loss attributable to ORBCOMM Inc.
  Liquidity and Capital Resources
 Overview
  Operating activities
     24




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Investing activities
    Financing activities
  Future Liquidity and Capital Resource Requirements
  Contractual Obligations
  Off-Balance Sheet Arrangements
  Recent accounting pronouncements
 Revenue Recognition Multiple Deliverable Revenue Arrangements.
 
 Item 3. Quantitative and Qualitative Disclosures about Market Risks
   25




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Concentration of credit risk
  Three months endedMarch 31,2010
    
    
    2009Caterpillar Inc.
    
    
    13.2
    %
    
    
    15.5
    %Komatsu Ltd.
    
    
    11.9
    %
    
    
    10.8
    %Hitachi Construction Machinery Co., Ltd.
    
    
    13.8
    %
    
    
    10.4
    %AI, formerly a division of General Electric
    
    
    11.6
    %
    
    
    15.3
    %
 
 Item 4. Disclosure Controls and Procedures
 Evaluation of the Companys disclosure controls and procedures.
 Internal Control over Financial Reporting.
 
 PART II  OTHER INFORMATION
 
 Item 1. Legal Proceedings
  
 Item 1A. Risk Factors
  
 Item 2. Unregistered Sales of Equity Securities and Use of Proceeds
  
 Item 3. Defaults Upon Senior Securities
  
 Item 5. Other Information 
  
 Item 6. Exhibits
 31.1
    
    
    Certification of President and Chief Executive Officer required by Rule 13a-14(a).31.2
    
    
    Certification of Executive Vice President and Chief Financial Officer required by Rule 13a-14(a).32.1
    
    
    Certification of President and Chief Executive Officer required by Rule 13a-14(b) and 18 U.S.C.
Section 1350.32.2
    
    
    Certification of Executive Vice President and Chief Financial Officer required by Rule 13a-14(b)
and 18 U.S.C. Section 1350.
  26




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SIGNATURES
  ORBCOMM Inc.
(Registrant)Date: May 10, 2010
    /s/ Marc J. EisenbergMarc J. Eisenberg,President and Chief Executive Officer
(Principal Executive Officer)Date: May 10, 2010
    /s/ Robert G. CostantiniRobert G. Costantini,Executive Vice President and Chief Financial Officer
(Principal Financial and Accounting Officer)  27




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EXHIBIT INDEX
 ExhibitNo.
    
    Description31.1
    
    
    Certification of Chief Executive Officer and President required by Rule 13a-14(a).31.2
    
    
    Certification of Executive Vice President and Chief Financial Officer required by Rule 13a-14(a).32.1
    
    
    Certification of Chief Executive Officer and President required by Rule 13a-14(b) and 18 U.S.C.
Section 1350.32.2
    
    
    Certification of Executive Vice President and Chief Financial Officer required by Rule 13a-14(b)
and 18 U.S.C. Section 1350.
  28