Description of Capacity; Construction and Launch of IS-16. (a) During the Capacity Term (as defined in Section 2.1(a) below), Intelsat agrees to provide to Customer and any Affiliate of either Customer Party in accordance with the terms hereof, and Customer agrees to accept from Intelsat, on a full-time basis (24 hours a day, seven days a week), in outer space, the satellite transmission services (the “IS-16 Service”) using the Customer Transponder Capacity (defined below) meeting the “Performance Specifications” set forth in the "Technical Appendix” attached hereto as Appendix B on the terms and conditions set forth herein. For purposes of this Agreement, the “Customer’s Transponder Capacity” or “Customer Transponders” shall consist of twenty-four (24), thirty-six (36) MHz Ku-Band transponders located on IS-16 (as defined below) that meet or exceed the Performance Specifications set forth in the Technical Appendix (Appendix B), which Satellite shall be located in geostationary orbit at the 58°W Orbital Location, or if used as an in-orbit replacement of IS-11, at the 43°W Orbital Location (subject in each case to the orbital tolerances specified in Appendix B). The Customer Transponders are more particularly identified in Appendix B. As provided in Section 1.2 below, during the period in which IS-16 is co-located with IS-9 at the 58°W Orbital Location, Intelsat shall initially make available twelve (12) Customer Transponders on the Satellite for use by Sky Mexico (and any of its Affiliates) (the “Expansion Transponders”). As provided in Section 1.3 below, Intelsat shall make available an additional twelve (12) or twenty-four (24) Customer Transponders on IS-16 for Customer’s use as back-up capacity if IS-9 or IS-11, respectively, suffers a failure. Finally, in accordance with the terms of Section 1.4 below, Intelsat shall make available all twenty-four (24) Customer Transponders for Sky Mexico’s use as a replacement for IS-9 or twenty-four (24) of the Customer Transponders for Sky Brasil’s use as a replacement for IS-11. If Sky Mexico contracts to procure capacity services from Intelsat on IS-9R pursuant to the IS-9R Agreement, then, in addition to making the IS-16 Customer Transponders available for Customer’s use as backup capacity for IS-9 and IS-11, and effective as of the IS-9R Term Commencement Date (as defined in Section 1.3(c)(ii) below), Intelsat shall make available all twenty-four (24) Customer Transponders on IS-16 for Customer’s use as back-up capacity if IS-9R suffers a failure. The transponders on I...
