Question-and-Answer Session
Operator
Thank you, sir. (Operators instructions) And for our first question, we go to Rich Valera with Needham & Company.
Richard Valera – Needham & Company
Thank you. Good morning. Rick, I was wondering if you could remind us what your cash flow from operations target for fiscal '09 is.
Rick Baldridge
We're looking in the north of $50 million range.
Richard Valera – Needham & Company
Great. And just to triangulate on your expectations for expenditures for ViaSat-1, you'd talk about $135 million of costs associated with that in fiscal ?09. Can you say how much of that you've actually done year-to-date? And is it safe to say at this point that given the uncertainty of the timing of your strategic discussions that you are going to put to debt capacity in placed to be able to support that $135 million buy yourself at this point?
Ron Wangerin
I guess a couple of responses on that. Regarding the debt capacity, yes, we are expanding our line to a level that we think is appropriate, given our expected expenditures. Regarding the expected level for this year, we're basically spending at a level that we anticipated maybe a week or two slower, but I think that's fairly consistent with our plans. Some of it depends on the timing of some of the milestones that we hit relative to whether it's a launch contract or a satellite contract that could slide a quarter or slide out of a quarter that could influence the total for a year, but we don't see anything that's inconsistent with our original spend plans at this time, Rich.
Richard Valera – Needham & Company
Okay. Mark, in your prepared remarks, you made reference to a project that you are a partner with Lockheed Martin on that you said could be quite significant if they won. Could you just go over that project again with maybe a little more color?
Mark Dankberg
It's called TSAT, and TSAT has been in the work for quite a while. It's about a $15 billion multi-satellite, multi-year development aims for deployment coming at 2016-ish time frame. And we have a pretty big role in the Lockheed team, big meaning more than $100 million of involvement, somewhere in that range. The program has been sort of unclear whether or not it would proceed, but just in past quarter, DoD pretty much firmly decided to make a down select and an award to either – it's between Lockheed and Boeing – pretty much make a down select this year.
- To read the full transcript on Seeking Alpha, click here »
