0001366868-23-000056 | 10-Q | XBRL Viewer

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Cover - shares	3 Months Ended
Cover - shares	Mar. 31, 2023	May 01, 2023
Document Information [Line Items]
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Mar. 31, 2023
Document Transition Report	false
Entity File Number	001-33117
Entity Registrant Name	GLOBALSTAR, INC.
Entity Incorporation, State or Country Code	DE
Entity Tax Identification Number	41-2116508
Entity Address, Address Line One	1351 Holiday Square Blvd.
Entity Address, City or Town	Covington
Entity Address, State or Province	LA
Entity Address, Postal Zip Code	70433
City Area Code	985
Local Phone Number	335-1500
Title of 12(b) Security	Common Stock, par value $0.0001 per share
Trading Symbol	GSAT
Security Exchange Name	NYSEAMER
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Large Accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	false
Entity Shell Company	false
Amendment Flag	false
Document Fiscal Year Focus	2023
Document Fiscal Period Focus	Q1
Entity Central Index Key	0001366868
Current Fiscal Year End Date	--12-31
Voting Common Stock
Document Information [Line Items]
Entity Common Stock, Shares Outstanding (in shares)		1,800,000,000
Nonvoting Common Stock
Document Information [Line Items]
Entity Common Stock, Shares Outstanding (in shares)		0

Condensed Consolidated Statements of Operations and Comprehensive Income (Loss) - USD ($) shares in Thousands, $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Revenue:
Revenue	$ 58,644	$ 32,772
Operating expenses:
Marketing, general and administrative	13,391	9,341
Depreciation, amortization and accretion	21,933	23,783
Total operating expenses	51,453	46,484
Income (loss) from operations	7,191	(13,712)
Other (expense) income:
Loss on extinguishment of debt	(10,403)	0
Interest income and expense, net of amounts capitalized	(2,032)	(9,530)
Derivative loss	0	(486)
Foreign currency gain	1,907	3,232
Other	(99)	117
Total other expense	(10,627)	(6,667)
Loss before income taxes	(3,436)	(20,379)
Income tax expense	44	83
Net loss	(3,480)	(20,462)
Other comprehensive loss:
Foreign currency translation adjustments	(1,429)	(679)
Comprehensive loss	(4,909)	(21,141)
Net loss attributable to common shareholders (Note 10)	$ (6,095)	$ (20,462)
Net loss per common share:
Basic (in dollars per share)	$ (0.00)	$ (0.01)
Diluted (in dollars per share)	$ (0.00)	$ (0.01)
Weighted-average shares outstanding:
Basic (in shares)	1,811,831	1,797,671
Diluted (in shares)	1,811,831	1,797,671
Service revenue
Revenue:
Revenue	$ 52,954	$ 29,344
Operating expenses:
Cost of goods and services	11,820	10,794
Subscriber equipment sales
Revenue:
Revenue	5,690	3,428
Operating expenses:
Cost of goods and services	$ 4,309	$ 2,566

Consolidated Balance Sheets - USD ($) $ in Thousands	Mar. 31, 2023	Dec. 31, 2022
Current assets:
Cash and cash equivalents	$ 20,487	$ 32,082
Accounts receivable, net of allowance for credit losses of $2,156 and $2,892, respectively	28,007	26,329
Inventory	10,095	9,264
Prepaid expenses and other current assets	14,126	13,569
Total current assets	72,715	81,244
Property and equipment, net	564,427	560,371
Operating lease right of use assets, net	33,583	30,859
Prepaid satellite construction costs and related customer receivable	135,229	122,496
Intangible and other assets, net of accumulated amortization of $11,194 and $10,908, respectively	38,601	38,425
Total assets	844,555	833,395
Current liabilities:
Accounts payable	10,750	3,843
Vendor financing	0	59,575
Accrued expenses	70,929	58,693
Payables to affiliates	142	326
Deferred revenue	80,873	74,639
Total current liabilities	162,694	197,076
Long-term debt	182,243	132,115
Operating lease liabilities	28,788	27,635
Deferred revenue, net	157,095	157,803
Other non-current liabilities	3,881	3,995
Total non-current liabilities	372,007	321,548
Commitments and contingencies (Note 8)
Stockholders’ equity:
Preferred stock	0	0
Additional paid-in capital	2,345,604	2,345,612
Accumulated other comprehensive income	7,813	9,242
Retained deficit	(2,043,744)	(2,040,264)
Total stockholders’ equity	309,854	314,771
Total liabilities and stockholders’ equity	844,555	833,395
Series A Preferred Convertible Stock
Stockholders’ equity:
Preferred stock	0	0
Voting Common Stock
Stockholders’ equity:
Common Stock	$ 181	$ 181

Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands	Mar. 31, 2023	Dec. 31, 2022
Accounts receivable, allowance	$ 2,156	$ 2,892
Accumulated amortization of intangible and other assets	$ 11,194	$ 10,908
Preferred stock, par value (USD per share)	$ 0.0001	$ 0.0001
Preferred stock, shares authorized (in shares)	99,700,000	99,700,000
Preferred stock, shares issued (in shares)	0	0
Preferred stock, shares outstanding, (in shares)	0	0
Series A Preferred Convertible Stock
Preferred stock, par value (USD per share)	$ 0.0001	$ 0.0001
Preferred stock, shares authorized (in shares)	300,000	300,000
Preferred stock, shares issued (in shares)	149,425	149,425
Preferred stock, shares outstanding, (in shares)	149,425	149,425
Voting Common Stock
Common stock, par value (USD per share)	$ 0.0001	$ 0.0001
Common stock, shares authorized (in shares)	2,150,000,000	2,150,000,000
Common stock, shares issued (in shares)	1,813,111,673	1,811,074,696
Common stock, shares outstanding (in shares)	1,813,111,673	1,811,074,696

Condensed Consolidated Statements of Stockholders' Equity - USD ($) $ in Thousands	Total	Preferred Stock	Common Stock	Additional Paid-In Capital	Accumulated Other Comprehensive Income (Loss)	Retained Deficit
Beginning balance (in shares) at Dec. 31, 2021			1,796,529,000
Beginning balance at Dec. 31, 2021	$ 365,431		$ 180	$ 2,146,710	$ 1,890	$ (1,783,349)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net issuance of restricted stock awards and stock for employee stock options and recognition of stock-based compensation (in shares)			703,000
Net issuance of restricted stock awards and stock for employee stock options and recognition of stock-based compensation	2,230			2,230
Contribution of services	47			47
Issuance and recognition of stock-based compensation of employee stock purchase plan	117			117
Common stock issued in connection with conversion of 2013 8.00% Notes (in shares)			2,253,000
Common stock issued in connection with conversion of 2013 8.00% Notes	2,548		$ 0	2,548
Other comprehensive income (loss)	(679)				(679)
Net loss	(20,462)					(20,462)
Preferred stock, shares outstanding, ending balance (in shares) at Mar. 31, 2022		0
Ending balance (in shares) at Mar. 31, 2022			1,799,485,000
Ending balance at Mar. 31, 2022	$ 349,232	$ 0	$ 180	2,151,652	1,211	(1,803,811)
Preferred stock, shares outstanding, beginning balance (in shares) at Dec. 31, 2022	0	149,000
Beginning balance (in shares) at Dec. 31, 2022			1,811,075,000
Beginning balance at Dec. 31, 2022	$ 314,771	$ 0	$ 181	2,345,612	9,242	(2,040,264)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net issuance of restricted stock awards and stock for employee stock options and recognition of stock-based compensation (in shares)			2,037,000
Net issuance of restricted stock awards and stock for employee stock options and recognition of stock-based compensation	3,795			3,795
Contribution of services	47			47
Issuance and recognition of stock-based compensation of employee stock purchase plan	102			102
Series A Preferred Stock Dividends	(3,952)			(3,952)
Other comprehensive income (loss)	(1,429)				(1,429)
Net loss	$ (3,480)					(3,480)
Preferred stock, shares outstanding, ending balance (in shares) at Mar. 31, 2023	0	149,000
Ending balance (in shares) at Mar. 31, 2023			1,813,112,000
Ending balance at Mar. 31, 2023	$ 309,854	$ 0	$ 181	$ 2,345,604	$ 7,813	$ (2,043,744)

Condensed Consolidated Statements of Stockholders' Equity (Parenthetical)	May 31, 2013
Convertible 8.00% Senior Notes Issued 2013
Loan interest rate	8.00%

Condensed Consolidated Statements of Cash Flows $ in Thousands	3 Months Ended
	Mar. 31, 2023 USD ($)	Mar. 31, 2022 USD ($)
Cash flows provided by operating activities:
Net loss	$ (3,480)	$ (20,462)
Adjustments to reconcile net loss to net cash provided by operating activities:
Depreciation, amortization and accretion	21,933	23,783
Change in fair value of derivatives	0	486
Stock-based compensation expense	3,760	1,233
Noncash consideration, net, associated with wholesale capacity contract	(310)	0
Amortization of deferred financing costs	25	166
Provision for credit losses	249	332
Noncash interest and accretion expense	6,362	9,406
Unrealized foreign currency (gain) loss	(1,958)	(3,084)
Write off of debt discount and DFC upon extinguishment of debt	10,194	0
Other, net	(592)	186
Changes in operating assets and liabilities:
Accounts receivable	(3,794)	(213)
Inventory	101	(441)
Prepaid expenses and other current assets	(518)	(265)
Other assets	287	460
Accounts payable and accrued expenses	(3,208)	(1,643)
Payables to affiliates	(184)	(178)
Other non-current liabilities	67	(64)
Deferred revenue	(6,129)	(2,133)
Net cash provided by operating activities	22,805	7,569
Cash flows used in investing activities:
Payments under the satellite procurement agreement	(59,575)	0
Other network upgrades	(3,561)	(8,712)
Payments of capitalized interest	(5,263)	0
Additions of other property and equipment	(2,925)	(1,301)
Purchase of intangible assets	(251)	(438)
Net cash used in investing activities	(71,575)	(10,451)
Cash flows provided by (used in) financing activities:
Dividends paid on Series A Preferred Stock	(3,951)	0
Payments for debt issuance costs	(620)	0
Proceeds from issuance of common stock and exercise of options	0	8
Net cash provided by financing activities	37,148	8
Effect of exchange rate changes on cash, cash equivalents and restricted cash	27	89
Net decrease in cash, cash equivalents and restricted cash	(11,595)	(2,785)
Cash, cash equivalents and restricted cash, beginning of period	32,082	14,304
Cash, cash equivalents and restricted cash, end of period	20,487	11,519
Reconciliation of cash and cash equivalents
Cash and cash equivalents	20,487
Total cash and cash equivalents cash shown in the statement of cash flows	20,487	11,519
Supplemental disclosure of cash flow information:
Cash paid for interest	7,554	0
Supplemental disclosure of non-cash financing and investing activities:
Increase in capitalized accrued interest for network upgrades	0	1,301
Capitalized accretion of debt discount and amortization of prepaid financing costs	658	194
Satellite construction assets acquired through vendor financing arrangement	0	32,700
2019 Facility Agreement
Adjustments to reconcile net loss to net cash provided by operating activities:
Write off of debt discount and DFC upon extinguishment of debt	10,400
Cash flows provided by (used in) financing activities:
Principal and Interest payments of the 2019 Facility Agreement	(148,281)	0
13% Senior Notes
Cash flows provided by (used in) financing activities:
Proceeds from 13% Notes Agreement	$ 190,000	$ 0

Basis of Presentation	3 Months Ended
Basis of Presentation	Mar. 31, 2023
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Basis of Presentation	1. BASIS OF PRESENTATION Globalstar, Inc. (“Globalstar” or the “Company”) provides Mobile Satellite Services (“MSS”) including voice and data communications and wholesale capacity services through its global satellite network. The Company’s only reportable segment is its MSS business. Thermo Companies, through commonly controlled affiliates, (collectively, “Thermo”) is the principal owner and largest stockholder of Globalstar. The Company’s Executive Chairman of the Board controls Thermo. The Company has prepared the accompanying unaudited interim condensed consolidated financial statements in accordance with generally accepted accounting principles in the United States of America (“U.S. GAAP”) for interim financial information. Certain information and footnote disclosures normally included in financial statements have been condensed or omitted pursuant to the rules and regulations of the Securities and Exchange Commission (the “SEC”); however, management believes the disclosures made are adequate to make the information presented not misleading. These financial statements and notes should be read in conjunction with the consolidated financial statements and notes thereto included in the Globalstar Annual Report on Form 10-K for the year ended December 31, 2022, as filed with the SEC on March 1, 2023 (the “2022 Annual Report”). The preparation of condensed consolidated financial statements in conformity with U.S. GAAP 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 reported amounts of revenues and expenses during the reporting period. Actual results could differ from estimates. The Company evaluates estimates on an ongoing basis. The Company has made certain reclassifications to prior period condensed consolidated financial statements to conform to current period presentation. These unaudited interim condensed consolidated financial statements include the accounts of Globalstar and all its subsidiaries. Intercompany transactions and balances have been eliminated in the consolidation. In the opinion of management, the information included herein includes all adjustments, consisting of normal recurring adjustments, that are necessary for a fair presentation of the Company’s condensed consolidated statements of operations, consolidated balance sheets, condensed consolidated statements of stockholders' equity and condensed consolidated statements of cash flows for the periods presented. The results of operations for the three months ended March 31, 2023 are not necessarily indicative of the results that may be expected for the full year or any future period. Recently Issued Accounting Pronouncements In September 2022, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update ("ASU") No. 2022-04: Liabilities — Supplier Finance Programs (Subtopic 405-50): Disclosure of Supplier Finance Program Obligations. ASU 2022-04 added certain disclosure requirements for buyers in supplier finance programs. The amendments in the update require that buyers disclose qualitative and quantitative information about their supplier finance programs. Interim and annual requirements include disclosure of outstanding amounts under the obligations as of the end of the reporting period, and annual requirements include a rollforward of those obligations for the annual reporting period, as well as a description of payment and other key terms of the programs. This update is effective for annual periods beginning after December 15, 2022, and interim periods within those fiscal years, except for the requirement to disclose rollforward information, which is effective for fiscal years beginning after December 15, 2023. The Company adopted this standard when it became effective on January 1, 2023 and expects this will impact future disclosures.

Revenue

3 Months Ended

Mar. 31, 2023

Revenue from Contract with Customer [Abstract]

Revenue

2. REVENUE

Disaggregation of Revenue

The following table discloses revenue disaggregated by type of product and service (amounts in thousands):


	Three Months Ended
	March 31, 2023		March 31, 2022
Service revenue:
Subscriber services
Duplex	$	5,751	$	6,146
SPOT	11,314		11,255
Commercial IoT	5,178		4,670
Wholesale capacity services	30,411		6,843
Engineering and other services	300		430
Total service revenue	52,954		29,344

Subscriber equipment sales:
Duplex	$	19	$	130
SPOT	1,926		1,475
Commercial IoT	3,812		1,806
Other	(67)		17
Total subscriber equipment sales	5,690		3,428

Total revenue	$	58,644	$	32,772

In September 2022, Apple Inc. (“Partner”) announced new satellite-enabled services for certain of its products (the “Services”). The Company is the satellite operator for these Services pursuant to the agreement (the “Service Agreement”) and certain related ancillary agreements (such agreements, together with the Service Agreement, the “Service Agreements”). The Service Agreements generally require Globalstar to allocate network capacity to support the Services, which launched in November 2022. Revenue associated with the Service Agreements is included in "Wholesale capacity services" in the table above.

As consideration for the services provided by Globalstar under the Service Agreements, Partner makes payments to Globalstar, including a recurring service fee, payments relating to certain service-related operating expenses and capital expenditures, and potential bonus payments subject to satisfaction of certain licensing, service and other related criteria. In connection with the amendment of the Service Agreements in February 2023, Partner agreed to pay the Company $6.5 million as consideration related to performance obligations completed in prior periods. The Company recognized this revenue during the first quarter of 2023.

The Company attributes equipment revenue to various countries based on the location where equipment is sold. Service revenue is generally attributed to the various countries based on the Globalstar entity that holds the customer contract. The following table discloses revenue disaggregated by geographical market (amounts in thousands):


	Three Months Ended
	March 31, 2023		March 31, 2022
Service revenue:
United States	$	45,061	$	22,288
Canada	3,829		3,689
Europe	1,513		1,483
Central and South America	2,367		1,736
Others	184		148
Total service revenue	$	52,954	$	29,344

Subscriber equipment sales:
United States	$	1,983	$	1,556
Canada	2,306		798
Europe	820		636
Central and South America	577		429
Others	4		9
Total subscriber equipment sales	$	5,690	$	3,428

Total revenue	$	58,644	$	32,772

Accounts Receivable

The Company records trade accounts receivable from its customers, including MSS subscribers and Partner under the Service Agreements, when it has a contractual right to receive payment either on demand or on fixed or determinable dates in the future. In addition to receivables arising from the sale of goods or services, the Company also has certain arrangements whereby it acts as an agent to procure goods and perform services on behalf of Partner under the Service Agreements.

Receivables are included in "Accounts receivable, net of allowance for credit losses," on the Company's consolidated balance sheets except for the long-term portion of the wholesale capacity accounts receivable, which is included in "Prepaid satellite construction costs and related customer receivable." The Company's receivable balances by type and classification are presented in the table below net of allowance for credit losses and may include amounts related to earned but unbilled receivables (amounts in thousands).


	As of:
	March 31, 2023		December 31, 2022
Accounts receivable, net of allowance for credit losses
Subscriber accounts receivable	$	15,460	$	14,850
Wholesale capacity accounts receivable	11,204		7,234
Agency agreement accounts receivable	1,343		4,245
Total accounts receivable, net of allowance for credit losses	$	28,007	$	26,329
Long-term wholesale capacity accounts receivable	124,386		111,026
Total accounts receivable (short-term and long-term), net of allowance for credit losses	$	152,393	$	137,355

In February 2022, the Company entered into an agreement for the purchase of new satellites that will replenish the Company's existing satellite constellation. Under the Service Agreements, subject to certain terms and conditions, Partner has agreed to make service payments equal to 95% of the approved capital expenditures under the satellite procurement agreement (to be paid on a straight-line basis over the useful life of the satellites) and certain other costs incurred for the new satellites, as may be adjusted pursuant to the Service Agreements, beginning with the Phase 2 Service Period. As the Company incurs construction in progress associated with the contract with Macdonald, Dettwiler and Associates Corporation ("MDA"), it earns the right to receive certain payments from Partner associated with this phase of the Service Agreements. In accordance with the

expected timing of payment from Partner, $7.2 million is recorded in "Wholesale capacity accounts receivable" and $124.4 million is recorded as in "Long-term wholesale capacity accounts receivable" in the table above. The remaining amount recorded in "Wholesale capacity accounts receivable" as of March 31, 2023 consists of invoices for performance obligations completed as of the balance sheet date that are due within the next twelve months.

Contract Liabilities

Contract liabilities, which are included in deferred revenue on the Company’s consolidated balance sheet, represent the Company’s obligation to transfer service or equipment to a customer from whom it has previously received consideration. Contract liabilities reflect balances from its customers, including MSS subscribers and the Partner under the Service Agreements. The Company's contract liabilities by type and classification are presented in the table below (amounts in thousands).


	As of:
	March 31, 2023		December 31, 2022
Short-term contract liabilities
Subscriber contract liabilities	$	20,981	$	21,987
Wholesale capacity contract liabilities	59,892		52,652
Total short-term contract liabilities	$	80,873	$	74,639
Long-term contract liabilities
Subscriber contract liabilities	$	1,981	$	1,704
Wholesale capacity contract liabilities, net of contract asset	155,114		156,099
Total long-term contract liabilities	$	157,095	$	157,803
Total contract liabilities	$	237,968	$	232,442

For subscriber contract liabilities, the amount of revenue recognized during the three months ended March 31, 2023 and 2022 from performance obligations included in the contract liability balance at the beginning of these periods was $8.4 million and $9.9 million, respectively. For wholesale capacity contract liabilities, the amount of revenue recognized during the three months ended March 31, 2023 and 2022 from performance obligations included in the contract liability balance at the beginning of these periods was $22.0 million and less than $0.1 million, respectively.

The duration of the Company’s contracts with subscribers is generally one year or less. As of March 31, 2023, the Company expects to recognize $21.0 million, or approximately 91%, of its remaining performance obligations to its subscribers during the next twelve months. The Service Agreements have no expiration date; therefore, the related contract liabilities may be recognized into revenue over various periods driven by the expected related service or recoupment periods. As of March 31, 2023, the Company expects to recognize $59.9 million, or approximately 28%, of its remaining performance obligations to this customer during the next twelve months.

The components of wholesale capacity contract liabilities are presented in the table below (amounts in thousands).


	March 31, 2023		December 31, 2022
Wholesale capacity contract liabilities, net:
Advanced payments for services expected to be performed with the second-generation satellite constellation during Phase 1 (1)	$	94,323	$	99,671
Advanced payments for services expected to be performed with the recently launched ground spare satellite during Phases 1 and 2	24,992		25,438
Advanced payments (both received and contractually owed) for services expected to be performed with the next-generation satellite constellation during Phase 2	129,147		117,466
Advanced payments for the Phase 1 service fee and service-related operating expenses and capital expenditures	19,871		18,872
Contract asset (2)	(53,327)		(52,696)
Wholesale capacity contract liabilities, net	$	215,006	$	208,751

(1)In accordance with applicable accounting guidance, the Company records imputed interest associated with the significant financing component, totaling $5.3 million as of March 31, 2023 and December 31, 2022, respectively, which is included in deferred revenue and represents the remaining amount to be recognized over the Company's performance obligations.

(2)In November 2022, the Company issued Warrants (as defined) to Partner (see Note 15: Stock Compensation for further discussion). The initial fair value of the Warrants at the time of issuance was $48.3 million and recorded in equity with an offset to a contract asset on the Company's consolidated balance sheets. The fair value of the Warrants is recorded as a reduction to revenue over the period in which the Company performs its performance obligations through the estimated completion of the contract term, consistent with the period in which the customer benefits from the services provided.

- Definition

The entire disclosure of revenue from contract with customer to transfer good or service and to transfer nonfinancial asset. Includes, but is not limited to, disaggregation of revenue, credit loss recognized from contract with customer, judgment and change in judgment related to contract with customer, and asset recognized from cost incurred to obtain or fulfill contract with customer. Excludes insurance and lease contracts.

+ References

Reference 1: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 606
-URI https://asc.fasb.org/topic&trid=49130388

Reference 2: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 606
-SubTopic 10
-Section 50
-Paragraph 10
-URI https://asc.fasb.org/extlink&oid=126920106&loc=SL49130551-203045

Reference 3: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 606
-SubTopic 10
-Section 50
-Paragraph 13
-Subparagraph (b)(2)
-URI https://asc.fasb.org/extlink&oid=126920106&loc=SL49130556-203045

Reference 4: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 606
-SubTopic 10
-Section 50
-Paragraph 12
-Subparagraph (b)
-URI https://asc.fasb.org/extlink&oid=126920106&loc=SL49130554-203045

Reference 5: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 606
-SubTopic 10
-Section 50
-Paragraph 9
-URI https://asc.fasb.org/extlink&oid=126920106&loc=SL49130550-203045

Reference 6: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 606
-SubTopic 10
-Section 50
-Paragraph 12
-Subparagraph (e)
-URI https://asc.fasb.org/extlink&oid=126920106&loc=SL49130554-203045

Reference 7: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 606
-SubTopic 10
-Section 50
-Paragraph 12
-Subparagraph (a)
-URI https://asc.fasb.org/extlink&oid=126920106&loc=SL49130554-203045

Reference 8: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 606
-SubTopic 10
-Section 50
-Paragraph 12
-Subparagraph (d)
-URI https://asc.fasb.org/extlink&oid=126920106&loc=SL49130554-203045

Reference 9: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 606
-SubTopic 10
-Section 50
-Paragraph 15
-URI https://asc.fasb.org/extlink&oid=126920106&loc=SL49130558-203045

Reference 10: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 606
-SubTopic 10
-Section 50
-Paragraph 12
-Subparagraph (c)
-URI https://asc.fasb.org/extlink&oid=126920106&loc=SL49130554-203045

+ Details

Leases

3 Months Ended

Mar. 31, 2023

Leases [Abstract]

Leases

3. LEASES

The following tables disclose the components of the Company’s finance and operating leases (amounts in thousands):


	As of:
	March 31, 2023		December 31, 2022
Operating leases:
Right-of-use asset, net	$	33,583	$	30,859

Short-term lease liability (recorded in accrued expenses)	2,731		2,747
Long-term lease liability	28,788		27,635
Total operating lease liabilities	$	31,519	$	30,382

Finance leases:
Right-of-use asset, net (recorded in intangible and other current assets, net)	$	99	$	104

Short-term lease liability (recorded in accrued expenses)	16		16
Long-term lease liability (recorded in non-current liabilities)	67		71
Total finance lease liabilities	$	83	$	87

Lease Cost

The components of lease cost are reflected in the table below (amounts in thousands):


	Three Months Ended
	March 31, 2023		March 31, 2022
Operating lease cost:
Amortization of right-of-use assets	$	684	$	733
Interest on lease liabilities	615		660
Capitalized lease cost	—		(536)
Finance lease cost:
Amortization of right-of-use assets	5		1
Short-term lease cost	241		80
Total lease cost	$	1,545	$	938

In accordance with the Service Agreements, the Company has capitalized certain costs to fulfill this contract, including lease expense, as shown in the table above. These capitalized lease costs will be amortized over the expected term of the related performance obligation.

Interest on finance lease liabilities was less than $0.1 million for the three months ended March 31, 2023 and 2022; accordingly, these amounts are not shown in the table above.

Weighted-Average Remaining Lease Term and Discount Rate

The following table discloses the weighted-average remaining lease term and discount rate for finance and operating leases.

As of:

March 31, 2023

December 31, 2022

Weighted-average lease term

Finance leases

4.4 years

4.6 years

Operating Leases

10.3 years

10.1 years

Weighted-average discount rate

Finance leases

10.2

Operating leases

8.6

8.5

Supplemental Cash Flow Information

The below table discloses supplemental cash flow information for operating leases (in thousands):


	Three Months Ended
	March 31, 2023		March 31, 2022
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows for operating leases	$	1,712	$	1,357

Operating and financing cash flows from finance leases were each less than $0.1 million for each of the three months ended March 31, 2023 and 2022; accordingly, these cash flows are not shown in the table above.

Maturity Analysis

The following table reflects undiscounted cash flows on an annual basis for the Company’s lease liabilities as of March 31, 2023 (amounts in thousands):


	Operating Leases		Finance Leases

2023 (remaining)	$	4,040	$	19
2024	5,253		23
2025	5,281		23
2026	5,328		23
2027	5,207		15
Thereafter	22,364		—
Total lease payments	$	47,473	$	103
Imputed interest	(15,954)		(20)
Discounted lease liability	$	31,519	$	83

Leases

3. LEASES

The following tables disclose the components of the Company’s finance and operating leases (amounts in thousands):


	As of:
	March 31, 2023		December 31, 2022
Operating leases:
Right-of-use asset, net	$	33,583	$	30,859

Short-term lease liability (recorded in accrued expenses)	2,731		2,747
Long-term lease liability	28,788		27,635
Total operating lease liabilities	$	31,519	$	30,382

Finance leases:
Right-of-use asset, net (recorded in intangible and other current assets, net)	$	99	$	104

Short-term lease liability (recorded in accrued expenses)	16		16
Long-term lease liability (recorded in non-current liabilities)	67		71
Total finance lease liabilities	$	83	$	87

Lease Cost

The components of lease cost are reflected in the table below (amounts in thousands):


	Three Months Ended
	March 31, 2023		March 31, 2022
Operating lease cost:
Amortization of right-of-use assets	$	684	$	733
Interest on lease liabilities	615		660
Capitalized lease cost	—		(536)
Finance lease cost:
Amortization of right-of-use assets	5		1
Short-term lease cost	241		80
Total lease cost	$	1,545	$	938

Interest on finance lease liabilities was less than $0.1 million for the three months ended March 31, 2023 and 2022; accordingly, these amounts are not shown in the table above.

Weighted-Average Remaining Lease Term and Discount Rate

The following table discloses the weighted-average remaining lease term and discount rate for finance and operating leases.

As of:

March 31, 2023

December 31, 2022

Weighted-average lease term

Finance leases

4.4 years

4.6 years

Operating Leases

10.3 years

10.1 years

Weighted-average discount rate

Finance leases

10.2

Operating leases

8.6

8.5

Supplemental Cash Flow Information

The below table discloses supplemental cash flow information for operating leases (in thousands):


	Three Months Ended
	March 31, 2023		March 31, 2022
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows for operating leases	$	1,712	$	1,357

Maturity Analysis

The following table reflects undiscounted cash flows on an annual basis for the Company’s lease liabilities as of March 31, 2023 (amounts in thousands):


	Operating Leases		Finance Leases

2023 (remaining)	$	4,040	$	19
2024	5,253		23
2025	5,281		23
2026	5,328		23
2027	5,207		15
Thereafter	22,364		—
Total lease payments	$	47,473	$	103
Imputed interest	(15,954)		(20)
Discounted lease liability	$	31,519	$	83

Property and Equipment

3 Months Ended

Mar. 31, 2023

Property, Plant and Equipment [Abstract]

Property and Equipment

4. PROPERTY AND EQUIPMENT

Property and equipment consists of the following (in thousands):


	March 31, 2023		December 31, 2022
Globalstar System:
Space component	$	1,246,343	$	1,246,343

Ground component	98,328		98,128
Construction in progress:
Space component	129,320		110,068
Ground component	9,427		5,316
Other	10,261		9,167
Total Globalstar System	1,493,679		1,469,022
Internally developed and purchased software	22,868		22,509
Equipment	8,622		8,042
Land and buildings	1,704		1,681
Leasehold improvements	2,085		2,083
Total property and equipment	1,528,958		1,503,337
Accumulated depreciation	(964,531)		(942,966)
Total property and equipment, net	$	564,427	$	560,371

In 2022, the Company entered into an agreement with MDA for the purchase of new satellites that will replenish the Company's existing satellite constellation. This agreement has an initial contract price of $327 million, of which $110.6 million had been incurred as of March 31, 2023 and $98.5 million as of December 31, 2022. The "space component" of construction in progress in the table above includes costs incurred under the MDA contract as well as associated personnel costs and capitalized interest. Accrued expenses on the Company's condensed consolidated balance sheets as of March 31, 2023 and December 31, 2022 included $48.6 million and $36.1 million, respectively, of work completed under the satellite procurement agreement. Nearly all of this amount was paid in April 2023 using proceeds from the Prepayment Agreement with its Partner under the Service Agreements (refer to Note 5 for further discussion). As of March 31, 2023 and December 31, 2022, the Company also recorded $10.8 million and $11.5 million as prepaid satellite construction costs for the first milestone payment made upon signing of the contract.

Long-Term Debt and Other Financing Arrangements

3 Months Ended

Mar. 31, 2023

Debt Disclosure [Abstract]

Long-Term Debt and Other Financing Arrangements

5. LONG-TERM DEBT AND OTHER FINANCING ARRANGEMENTS

Long-term debt and vendor financing consists of the following (in thousands):


	March 31, 2023						December 31, 2022
	Principal Amount		Unamortized Discount and Deferred Financing Costs		Carrying Value		Principal Amount		Unamortized Discount and Deferred Financing Costs		Carrying Value
13% Senior Notes	$	200,000	$	17,757	$	182,243	$	—	$	—	$	—
2019 Facility Agreement	—		—		—		143,213		11,098		132,115
Vendor financing	—		—		—		59,575		—		59,575
Total debt and vendor financing	$	200,000	$	17,757	$	182,243	$	202,788	$	11,098	$	191,690
Less: current portion	—		—		—		59,575		—		59,575
Long-term debt and vendor financing	$	200,000	$	17,757	$	182,243	$	143,213	$	11,098	$	132,115

The principal amounts shown above include payment of in-kind interest, as applicable. The carrying value is net of deferred financing costs and any discounts to the loan amounts at issuance, including accretion. All amounts outstanding associated with the Company's vendor financing arrangement were due in March 2023 and, therefore, were reflected as a current liability on the Company's consolidated balance sheet as of December 31, 2022.

13% Senior Notes

On March 31, 2023, Globalstar, Inc. (the “Company”) completed the sale of $200.0 million in aggregate principal amount of the Company’s non-convertible 13% Senior Notes due 2029 (the “Notes”). The Notes were sold pursuant to a Purchase Agreement (the “Purchase Agreement”) dated March 28, 2023 among the Company, as issuer, the subsidiary guarantors party thereto (each, a “Subsidiary Guarantor” and collectively, the “Subsidiary Guarantors”), an affiliate of Värde Partners and the other purchasers party thereto (collectively, the “Purchasers”).

The Notes were issued pursuant to an indenture, dated as of March 31, 2023 (the “Indenture”), among the Company, the Subsidiary Guarantors, as guarantors, and Wilmington Trust, National Association, as trustee. The Notes are senior, unsecured obligations of the Company and have a stated maturity of September 15, 2029. The Notes were sold at an issue price of 95% of the principal amount of the Notes. The Company used a portion of the net proceeds to pay financing costs of $7.8 million, which were recorded on the Company's condensed consolidated balance sheet as a reduction in the carrying amount of the debt. The Notes bear interest initially at a rate of 13.00% per annum payable semi-annually in arrears. The Company is required to pay interest (i) at a rate per annum of 4.00% which must be paid in cash and (ii) at a rate per annum of 9.00% which may be paid either (a) in-kind (“PIK”) by increasing the principal amount of the Notes outstanding or (b) in cash, in such proportion as the Company may choose, with a step up in the PIK component of the interest if any Notes remain outstanding after March 15, 2028. The Company has agreed with its Partner under the Service Agreements to pay cash interest on the Notes at a rate of 6.5% per annum and PIK interest at a rate of 6.5% per annum.

The Notes may be redeemed at the option of the Company at any time, subject to the conditions of the Indenture. Among other things, prior to March 15, 2025 (the “First Call Date”), the Company will be permitted to redeem the Notes in whole or in part at the redemption price equal to 100% of the principal amount of the Notes redeemed plus a premium based on the net present value of the remaining interest payments through the First Call Date. Beginning on the First Call Date, the Notes may be redeemed at a redemption price equal to 103% of the principal amount, declining to 100% of the principal amount after March 15, 2027, in each case, together with accrued and unpaid interest.

Additionally, in the event of a Change of Control (as such term is defined in the Indenture) or certain other events, holders of the Notes have the right to require the Company to repurchase all or a portion of their Notes at a price (as calculated by the Company) in cash equal to 101% of the aggregate principal amount thereof plus accrued and unpaid interest and certain tax payments. The Indenture includes customary terms and covenants, including restrictions on the Company’s and the Subsidiary Guarantors’ ability to incur indebtedness, make guarantees, sell equity interests, and customary events of default after which the holders may accelerate the maturity of the Notes and become due and payable immediately.

2019 Facility Agreement

In November 2019, the Company entered into a $199.0 million facility agreement with Thermo, an affiliate of EchoStar Corporation and certain other unaffiliated lenders (the "2019 Facility Agreement"). The 2019 Facility Agreement was scheduled to mature in November 2025. The loans under the 2019 Facility Agreement bore interest at a rate of 14.0% per annum to be paid in kind (or in cash at the option of the Company).

The Service Agreements required the Company to refinance all loans outstanding under the 2019 Facility Agreement. A portion was refinanced in November 2022 and the remaining portion was refinanced in March 2023. Using a portion of the proceeds from the sale of the 13% Senior Notes, the Company repaid all of its outstanding obligations under the 2019 Facility Agreement of approximately $148 million.

The Company recorded a loss on extinguishment of debt of $10.4 million in the first quarter of 2023 representing the difference between the net carrying amount prior to extinguishment (including unamortized deferred financing costs, debt discounts and derivatives) and the reacquisition price of the debt. Refer to Note 6: Derivatives and Note 7: Fair Value Measurements for further discussion on the compound embedded derivative bifurcated from the 2019 Facility Agreement.

Vendor Financing

In February 2022, the Company entered into a satellite procurement agreement with MDA (see Note 8: Commitments and Contingencies for further discussion). This agreement (as amended in October 2022 and January 2023) provided for deferrals of milestone payments through March 15, 2023. Interest accrued on the amount outstanding at an annual rate of 7%, which increased to 10.5% on balances between December 2022 and March 2023. The Company has made payments totaling $76.1 million to MDA under this vendor financing arrangement, of which $62.1 million (including $2.5 million of interest) was paid during the first quarter of 2023. As of March 31, 2023, the Company has fully repaid the outstanding vendor financing balance.

Reflected in the table below is a rollforward of the Company's obligations under its vendor financing arrangement with MDA (amounts in thousands):


	As of
	March 31, 2023		December 31, 2022
Confirmed obligations outstanding, January 1, 2023 and 2022, respectively	$	59,575	$	—
Invoices confirmed during the periods	—		73,575
Confirmed invoices paid during the periods	(59,575)		(14,000)
Confirmed obligations outstanding, March 31, 2023 and December 31, 2022, respectively	$	—	$	59,575

Prepayment Agreement

On February 27, 2023, the Company and its Partner agreed to amend its previously disclosed Service Agreements to provide for, among other things, the Partner’s prepayment of $252 million to the Company (the “Prepayment Agreement”). The Company will use the proceeds from the Prepayment Agreement to pay amounts due under its Satellite Procurement Agreement with MDA, as well as launch, insurance and ancillary costs incurred in connection with the construction and launch of these satellites. The Prepayment Agreement replaces the Company’s requirement to raise third-party financing for such costs as previously required under the Service Agreements and will be funded on a quarterly basis, subject to certain conditions in the agreement. The remaining amount of the satellite costs is expected to be funded from Globalstar’s operating cash flows. Partner made the first payment under the Prepayment Agreement to the Company in April 2023 in the amount of $87.7 million. These proceeds were used to pay amounts owed to MDA for milestones completed as of the payment date, with $39.6 million reimbursing the Company for a payment made to MDA on March 31, 2023 and the remaining $48.1 million paid to MDA in April 2023.

The total amount paid to the Company under the Prepayment Agreement, including fees, will be recouped from amounts payable by the Partner for services provided by the Company under the Service Agreements. The total balance is expected to be recouped in installments for a period of 16 quarters beginning no later than the third quarter of 2025. The prepayment balance may also be repaid over time through excess cash flow sweeps or voluntary prepayments, as provided under the terms of the Prepayment Agreement. For as long as any amount funded under the Prepayment Agreement is outstanding, the Company will be subject to certain covenants, including (i) maintenance of a minimum cash balance of $30 million, (ii) interest coverage and

leverage ratios, and (iii) other customary negative covenants, including limitations on certain asset transfers, expenditures and investments.

Subject to applicable shareholder approval, amounts payable by the Company in connection with the Prepayment Agreement would be guaranteed by Thermo under a guaranty agreement among Thermo, the Company and the Partner. In addition, Thermo has agreed directly with Partner to provide support of certain of the Company’s obligations under the Service Agreements, the Satellite Procurement Agreement, and certain related contracts.

Series A Preferred Stock

On November 15, 2022, the Company issued 149,425 shares of its 7.0% Perpetual Preferred Stock, Series A, liquidation preference $1,000 per share (the “Series A Preferred Stock”) in exchange for $149.4 million outstanding principal amount of its 2019 Facility Agreement held by affiliates of Thermo and certain other lenders. The Company recorded the Series A Preferred Stock at fair value of the shares totaling $105.3 million on its consolidated balance sheet.

Holders of Series A Preferred Stock are entitled to receive, when, as and if declared by the Company's Board of Directors or a committee thereof, cumulative cash dividends based on the liquidation preference of the Series A Preferred Stock, at a fixed rate equal to 7.00% per annum, payable quarterly in arrears on January 1, April 1, July 1 and October 1 of each year. In January and April 2023, the Company's Board of Directors approved the payment of dividends totaling $1.3 million for the period November 15, 2022 through December 31, 2022 and $2.6 million for the first quarter of 2023; these dividends have been paid.

The shares of Series A Preferred Stock do not possess voting rights, other than certain matters specifically affecting the rights and obligations of the Series A Preferred. Series A Preferred Stock may be redeemed by the Company, in whole or in part, at any time. The holders of the Series A Preferred Stock do not have any rights to convert or require the Company to redeem such stock.

- Definition

The entire disclosure for information about short-term and long-term debt arrangements, which includes amounts of borrowings under each line of credit, note payable, commercial paper issue, bonds indenture, debenture issue, own-share lending arrangements and any other contractual agreement to repay funds, and about the underlying arrangements, rationale for a classification as long-term, including repayment terms, interest rates, collateral provided, restrictions on use of assets and activities, whether or not in compliance with debt covenants, and other matters important to users of the financial statements, such as the effects of refinancing and noncompliance with debt covenants.

+ References

Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 470
-URI https://asc.fasb.org/topic&trid=2208564

Reference 2: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 470
-SubTopic 20
-Section 50
-Paragraph 1B
-Subparagraph (h)
-URI https://asc.fasb.org/extlink&oid=123466505&loc=SL123495323-112611

Reference 3: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 470
-SubTopic 20
-Section 50
-Paragraph 1C
-Subparagraph (c)
-URI https://asc.fasb.org/extlink&oid=123466505&loc=SL123495334-112611

Reference 4: http://www.xbrl.org/2003/role/disclosureRef
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-Name Accounting Standards Codification
-Topic 470
-SubTopic 20
-Section 50
-Paragraph 1I
-Subparagraph (a)
-URI https://asc.fasb.org/extlink&oid=123466505&loc=SL123495371-112611

Reference 5: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 470
-SubTopic 20
-Section 50
-Paragraph 1I
-Subparagraph (d)
-URI https://asc.fasb.org/extlink&oid=123466505&loc=SL123495371-112611

Reference 6: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 235
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SX 210.4-08(c))
-URI https://asc.fasb.org/extlink&oid=120395691&loc=d3e23780-122690

Reference 7: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 470
-SubTopic 20
-Section 50
-Paragraph 1B
-Subparagraph (g)
-URI https://asc.fasb.org/extlink&oid=123466505&loc=SL123495323-112611

Reference 8: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 470
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-URI https://asc.fasb.org/extlink&oid=123466505&loc=SL123495334-112611

Reference 9: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
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-Section 50
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-Subparagraph (a)
-URI https://asc.fasb.org/extlink&oid=123466505&loc=SL123495334-112611

Reference 10: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
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-Section 50
-Paragraph 1E
-Subparagraph (b)
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-Publisher FASB
-Name Accounting Standards Codification
-Topic 470
-SubTopic 20
-Section 50
-Paragraph 1B
-URI https://asc.fasb.org/extlink&oid=123466505&loc=SL123495323-112611

Reference 12: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 470
-SubTopic 20
-Section 50
-Paragraph 1I
-Subparagraph (b)
-URI https://asc.fasb.org/extlink&oid=123466505&loc=SL123495371-112611

Reference 13: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 470
-SubTopic 20
-Section 50
-Paragraph 1B
-Subparagraph (i)
-URI https://asc.fasb.org/extlink&oid=123466505&loc=SL123495323-112611

+ Details

Derivatives

3 Months Ended

Mar. 31, 2023

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Derivatives

6. DERIVATIVES

The Company has identified various embedded derivatives resulting from certain features in the Company’s borrowing arrangements, requiring recognition on its consolidated balance sheets. None of these derivative instruments are designated as a hedge. The following table discloses the fair values of the derivative instruments on the Company’s consolidated balance sheet (in thousands):


	March 31, 2023		December 31, 2022
Derivative liabilities:
Compound embedded derivative with the 2019 Facility Agreement	$	—	(122)

As of December 31, 2022, the derivative liability recorded for the compound embedded derivative with the 2019 Facility Agreement was reflected in "Other non-current liabilities" on the Company's consolidated balance sheet.

The following table discloses the changes in value recorded as derivative loss in the Company’s condensed consolidated statement of operations (in thousands):


	Three Months Ended
	March 31, 2023		March 31, 2022
Compound embedded derivative with the 2013 8.00% Notes	$	—	$	216
Compound embedded derivative with the 2019 Facility Agreement	—		(702)
Total derivative loss	$	—	$	(486)

The fair value of each embedded derivative is marked-to-market at the end of each reporting period, or more frequently as deemed necessary, with any changes in value reported in the Company's condensed consolidated statements of operations and its condensed consolidated statements of cash flows as a non-cash operating activity. See Note 7: Fair Value Measurements for further discussion.

The instruments and related features embedded in the debt instruments that are required to be accounted for as derivatives are described below.

Compound Embedded Derivative with 2013 8.00% Notes

The 2013 8.00% Notes contained a conversion option and contingent put feature that were required to be bifurcated and recorded as a compound embedded derivative. The Company determined the fair value of the compound embedded derivative liability using a Monte Carlo simulation model. During the first quarter of 2022, the remaining principal amount of the 2013 8.00% Notes was converted into shares of Globalstar common stock; accordingly, the associated derivative was extinguished and is no longer outstanding.

Compound embedded derivative with the 2019 Facility Agreement

The 2019 Facility Agreement contained certain contingently exercisable put features that were required to be bifurcated and recorded as a compound embedded derivative. The Company determined the fair value of this derivative using a probability weighted discounted cash flow model. In November 2022, the Company exchanged a portion of the 2019 Facility Agreement into Series A Preferred Stock. In March 2023, the Company refinanced the remaining principal outstanding under the 2019 Facility Agreement with proceeds from the issuance of its Notes. As a result of this activity, the Company wrote off the embedded derivative associated with the 2019 Facility Agreement, which is included in "Loss on extinguishment of debt" on the condensed consolidated statement of operations; therefore, no balance remains as of March 31, 2023. See Note 5: Long-Term Debt and Other Financing Arrangements for further discussion.

Fair Value Measurements

3 Months Ended

Mar. 31, 2023

Fair Value Disclosures [Abstract]

Fair Value Measurements

7. FAIR VALUE MEASUREMENTS

The Company follows the authoritative guidance for fair value measurements relating to financial and non-financial assets and liabilities, including presentation of required disclosures herein. This guidance establishes a fair value framework requiring the categorization of assets and liabilities into three levels based upon the assumptions (inputs) used to price the assets and liabilities. Level 1 provides the most reliable measure of fair value, whereas Level 3 generally requires significant management judgment. The three levels are defined as follows:

Level 1: Unadjusted quoted prices in active markets that are accessible at the measurement date for identical assets or liabilities.

Level 2: Quoted prices in markets that are not active or inputs which are observable, either directly or indirectly, for substantially the full term of the asset or liability.

Level 3: Prices or valuation techniques that require inputs that are both significant to the fair value measurement and unobservable (i.e., supported by little or no market activity).

Recurring Fair Value Measurements

The following tables provide a summary of the liabilities measured at fair value on a recurring basis (in thousands):


	December 31, 2022
	(Level 1)		(Level 2)		(Level 3)		Total Balance





Compound embedded derivative with the 2019 Facility Agreement	—		—		(122)		(122)
Total liabilities measured at fair value	$	—	$	—	$	(122)	$	(122)

The Company marks-to-market its derivatives at each reporting date, or more frequently as deemed necessary, with the changes in fair value recognized in the Company’s consolidated statements of operations. In March 2023, the Company refinanced the remaining principal balance outstanding under the 2019 Facility Agreement and wrote off the associated embedded derivative balance; therefore, no balance remains as of March 31, 2023. See Note 6: Derivatives for further discussion.

The compound embedded derivative within the 2019 Facility Agreement was valued using a probability weighted discounted cash flow model. The most significant observable input used in the fair value measurement was the discount yield. The unobservable inputs used in the fair value measurement included the probability of change of control and the estimated timing and amounts of cash flows associated with certain mandatory prepayments within the debt agreement. See Note 5: Long-Term Debt and Other Financing Arrangements for further discussion.

Rollforward of Recurring Level 3 Assets and Liabilities

The following table presents a rollforward for all assets and liabilities measured at fair value on a recurring basis using significant unobservable inputs (Level 3) (in thousands):


	Three Months Ended March 31, 2023		Twelve Months Ended December 31, 2022
Balance at beginning of period, January 1, 2023 and 2022, respectively	$	(122)	$	(880)
Derivative adjustment related to conversions	—		1,563
Derivative adjustment related to extinguishment of debt	122		—
Unrealized loss, included in derivative loss	—		(805)
Balance at end of period, March 31, 2023 and December 31, 2022, respectively	$	—	$	(122)

Fair Value of Debt and Other Financing Arrangements

The Company believes it is not practicable to determine the fair value of its Notes or the 2019 Facility Agreement without incurring significant additional costs. Unlike typical long-term debt, certain terms for these instruments are not readily available and generally involve a variety of factors, including due diligence by the debt holders. The Company's vendor financing arrangement was recorded at net carrying value, which approximated fair value.

See Note 5: Long-Term Debt and Other Financing Arrangements for further discussion of the Company's debt instruments.

- Definition

The entire disclosure for the fair value of financial instruments (as defined), including financial assets and financial liabilities (collectively, as defined), and the measurements of those instruments as well as disclosures related to the fair value of non-financial assets and liabilities. Such disclosures about the financial instruments, assets, and liabilities would include: (1) the fair value of the required items together with their carrying amounts (as appropriate); (2) for items for which it is not practicable to estimate fair value, disclosure would include: (a) information pertinent to estimating fair value (including, carrying amount, effective interest rate, and maturity, and (b) the reasons why it is not practicable to estimate fair value; (3) significant concentrations of credit risk including: (a) information about the activity, region, or economic characteristics identifying a concentration, (b) the maximum amount of loss the entity is exposed to based on the gross fair value of the related item, (c) policy for requiring collateral or other security and information as to accessing such collateral or security, and (d) the nature and brief description of such collateral or security; (4) quantitative information about market risks and how such risks are managed; (5) for items measured on both a recurring and nonrecurring basis information regarding the inputs used to develop the fair value measurement; and (6) for items presented in the financial statement for which fair value measurement is elected: (a) information necessary to understand the reasons for the election, (b) discussion of the effect of fair value changes on earnings, (c) a description of [similar groups] items for which the election is made and the relation thereof to the balance sheet, the aggregate carrying value of items included in the balance sheet that are not eligible for the election; (7) all other required (as defined) and desired information.

+ References + Details

Commitments and Contingencies	3 Months Ended
Commitments and Contingencies	Mar. 31, 2023
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingencies	8. COMMITMENTS AND CONTINGENCIES Service Agreements The Service Agreements set forth the primary terms for the Company to provide services to Partner and incur costs related primarily to new gateways and upgrades at existing gateways as well as satellite construction and launch costs. The Service Agreements have an indefinite term but provide that either party may terminate subject to certain notice requirements and, in some cases, other conditions. The Service Agreements also provide for various commitments with which the Company must comply, including to: •Allocate 85% of its current and future network capacity to support the Services; •Provide and maintain all resources, including personnel, software, satellite, gateways, satellite spectrum and regulatory rights necessary to provide the Services (the “Required Resources”); •Prioritize the Services and provide Partner with priority access to the Required Resources, including the Company’s licensed satellite spectrum; •Maintain minimum quality and coverage standards and provide continuity of service; •Maintain minimum liquidity of $10.0 million, increasing to $30 million once funding under the Prepayment Agreement commences in the second quarter of 2023; •Allow Partner to recoup advance payments made to Globalstar from future service fees or, to the extent recoupment is not possible, to repay such amounts in cash; and, •Provide the Resource Protections as defined in the Service Agreements. The Service Agreements also required the Company (i) upon commencement of the Services, to refinance all loans outstanding under the 2019 Facility Agreement that are held by affiliates of the Thermo and (ii) to refinance all loans outstanding under the 2019 Facility Agreement that are held by persons other than Thermo by March 13, 2023. The required refinancings have been completed as of March 31, 2023. Partner has the right, but not the obligation, to participate in certain issuances of the Company’s equity securities, in order to maintain its percentage interest in the Company (determined on a fully diluted basis, assuming exercise of all the Warrants). Refer to Note 1: Basis of Presentation, Note 2: Revenue, Note 3: Leases, Note 4: Property and Equipment and Note 5: Long-Term Debt and Other Financing Arrangements for further discussion. Satellite Procurement Agreement In February 2022, the Company entered into a satellite procurement agreement with MDA pursuant to which Globalstar will acquire 17 satellites that will replenish Globalstar's existing constellation of satellites and ensure long-term continuity of its mobile satellite services. Globalstar is acquiring the satellites to provide continuous satellite services to Partner under the Service Agreements, as well as services to Globalstar’s current and future customers. Globalstar maintains the option to acquire additional satellites under the contract. Globalstar plans to contract separately for launch services and launch insurance for the new satellites. The initial contract price for 17 satellites is $327 million; Globalstar has the option to purchase additional satellites at a lower per unit cost, subject to certain conditions. The satellites are expected to be launched in 2025. In addition, MDA will procure a satellite operations control center for $4.9 million. Under the Service Agreements, subject to certain terms and conditions, Partner has agreed to make service payments equal to 95% of the approved capital expenditures under the satellite procurement agreement (to be paid on a straight-line basis over the useful life of the satellites) and certain other costs incurred for the new satellites, as adjusted based on certain provisions, beginning with the Phase 2 Service Period. Refer to Note 5: Long-Term Debt and Other Financing Arrangements for further discussion of the vendor financing arrangement with MDA.

Related Party Transactions	3 Months Ended
Related Party Transactions	Mar. 31, 2023
Related Party Transactions [Abstract]
Related Party Transactions	9. RELATED PARTY TRANSACTIONS Thermo is the principal owner and largest stockholder of Globalstar. The Company's Executive Chairman of the Board controls Thermo. Two other members of the Company's Board of Directors are also directors, officers or minority equity owners of various Thermo entities. Payables to Thermo related to normal purchase transactions were $0.1 million and $0.3 million as of March 31, 2023 and December 31, 2022, respectively. Transactions with Thermo Certain general and administrative expenses are incurred by Thermo on behalf of the Company. These expenses include: i) non-cash expenses, such as stock compensation costs as well as costs recorded as a contribution to capital as they relate to services provided by certain executive officers of Thermo, and ii) expenses incurred by Thermo on behalf of the Company that are charged to the Company; these charges are based on actual amounts (with no mark-up) incurred by Thermo or upon allocated employee time. The Company has a lease agreement with Thermo Covington, LLC for the Company's headquarters office. Annual lease payments started at $1.4 million per year increasing at a rate of 2.5% per year, for a lease term of ten years. During each of the three months ended March 31, 2023 and 2022, the Company incurred lease expense of $0.4 million under this lease agreement. To fulfill its obligations under the Service Agreements, in November 2022, the Company entered into an Exchange Agreement with Thermo and certain other Exchanging Lenders providing for the exchange of all the outstanding principal amount of, and accrued and unpaid interest on, the Exchanging Lenders’ loans under the 2019 Facility Agreement for shares of the Company's Series A Preferred Stock. The terms of the Exchange Agreement were reviewed and approved by the Company's Board of Directors and Audit Committee. Thermo's ownership portion in the Series A Preferred Stock is $136.7 million. Holders of Series A Preferred Stock are entitled to receive, when, as and if declared by our Board of Directors, cumulative cash dividends based on the liquidation preference of the Series A Preferred Stock, at a fixed rate equal to 7.00% per annum, payable quarterly in arrears on January 1, April 1, July 1 and October 1 of each year. The Company paid Thermo dividends of $1.2 million for the period November 15, 2022 through December 31, 2022 and $2.4 million for the first quarter of 2023. Also in connection with the Service Agreements, Partner and Thermo entered into a lock-up and right of first offer agreement that generally (i) requires Thermo to offer any shares of Globalstar common stock to Partner before transferring them to any other Person other than affiliates of Thermo and (ii) prohibits Thermo from transferring shares of Globalstar common stock if such transfer would cause Thermo to hold less than 51.00% of the outstanding common stock of the Company for a period of five years from the launch of Services in November 2022. Subject to applicable shareholder approval, amounts payable by the Company in connection with the 2023 Prepayment with Partner would be guaranteed by Thermo. In addition, Thermo has agreed to provide support of certain of the Company’s obligations under the Service Agreements, the Satellite Procurement Agreement, and certain related contracts directly to the Partner. See Note 5: Long-Term Debt and Other Financing Arrangements for further discussion of the Company's debt and financing transactions with Thermo.

Loss Per Share

3 Months Ended

Mar. 31, 2023

Earnings Per Share [Abstract]

Loss Per Share

10. LOSS PER SHARE

The following table sets forth the computation of basic and diluted loss per common share during each of the three months ended March 31, 2023 and 2022 (amounts in thousands, except per share data):



	Three Months Ended
	March 31, 2023		March 31, 2022
Net loss	$	(3,480)	$	(20,462)
Effect of Series A Preferred Stock dividends	(2,615)		—
Adjusted net loss attributable to common shareholders	$	(6,095)	$	(20,462)

Weighted average shares outstanding	1,811,831		1,797,671
Net loss per common share - basic and diluted	$	0.00	$	(0.01)

For the three months ended March 31, 2023 and 2022, 19.7 million and 7.4 million shares, respectively, of potential common stock were excluded from diluted shares outstanding because the effects of potentially dilutive securities would be anti-dilutive. Included in these shares as of March 31, 2023 is a portion of the 49.1 million Warrants issued to Partner under the Service Agreements in 2022, which was determined after considering the exercise price of each tranch relative to the average market price during the period.

As discussed in Note 5: Long-Term Debt and Other Financing Arrangements, the Company's Board of Directors approved the payment of dividends totaling $2.6 million for the three months ended March 31, 2023 on its Series A Preferred Stock. This amount adjusts the numerator used to calculate loss per share.

Basis of Presentation (Policies)	3 Months Ended
Basis of Presentation (Policies)	Mar. 31, 2023
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Basis of Presentation	Globalstar, Inc. (“Globalstar” or the “Company”) provides Mobile Satellite Services (“MSS”) including voice and data communications and wholesale capacity services through its global satellite network. The Company’s only reportable segment is its MSS business. Thermo Companies, through commonly controlled affiliates, (collectively, “Thermo”) is the principal owner and largest stockholder of Globalstar. The Company’s Executive Chairman of the Board controls Thermo. The Company has prepared the accompanying unaudited interim condensed consolidated financial statements in accordance with generally accepted accounting principles in the United States of America (“U.S. GAAP”) for interim financial information. Certain information and footnote disclosures normally included in financial statements have been condensed or omitted pursuant to the rules and regulations of the Securities and Exchange Commission (the “SEC”); however, management believes the disclosures made are adequate to make the information presented not misleading. These financial statements and notes should be read in conjunction with the consolidated financial statements and notes thereto included in the Globalstar Annual Report on Form 10-K for the year ended December 31, 2022, as filed with the SEC on March 1, 2023 (the “2022 Annual Report”). The preparation of condensed consolidated financial statements in conformity with U.S. GAAP 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 reported amounts of revenues and expenses during the reporting period. Actual results could differ from estimates. The Company evaluates estimates on an ongoing basis. The Company has made certain reclassifications to prior period condensed consolidated financial statements to conform to current period presentation. These unaudited interim condensed consolidated financial statements include the accounts of Globalstar and all its subsidiaries. Intercompany transactions and balances have been eliminated in the consolidation. In the opinion of management, the information included herein includes all adjustments, consisting of normal recurring adjustments, that are necessary for a fair presentation of the Company’s condensed consolidated statements of operations, consolidated balance sheets, condensed consolidated statements of stockholders' equity and condensed consolidated statements of cash flows for the periods presented. The results of operations for the three months ended March 31, 2023 are not necessarily indicative of the results that may be expected for the full year or any future period.
Recently Issued Accounting Pronouncements	Recently Issued Accounting Pronouncements In September 2022, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update ("ASU") No. 2022-04: Liabilities — Supplier Finance Programs (Subtopic 405-50): Disclosure of Supplier Finance Program Obligations. ASU 2022-04 added certain disclosure requirements for buyers in supplier finance programs. The amendments in the update require that buyers disclose qualitative and quantitative information about their supplier finance programs. Interim and annual requirements include disclosure of outstanding amounts under the obligations as of the end of the reporting period, and annual requirements include a rollforward of those obligations for the annual reporting period, as well as a description of payment and other key terms of the programs. This update is effective for annual periods beginning after December 15, 2022, and interim periods within those fiscal years, except for the requirement to disclose rollforward information, which is effective for fiscal years beginning after December 15, 2023. The Company adopted this standard when it became effective on January 1, 2023 and expects this will impact future disclosures.
Derivative Liabilities	The fair value of each embedded derivative is marked-to-market at the end of each reporting period, or more frequently as deemed necessary, with any changes in value reported in the Company's condensed consolidated statements of operations and its condensed consolidated statements of cash flows as a non-cash operating activity.
Fair Value Measurements	The Company follows the authoritative guidance for fair value measurements relating to financial and non-financial assets and liabilities, including presentation of required disclosures herein. This guidance establishes a fair value framework requiring the categorization of assets and liabilities into three levels based upon the assumptions (inputs) used to price the assets and liabilities. Level 1 provides the most reliable measure of fair value, whereas Level 3 generally requires significant management judgment. The three levels are defined as follows: Level 1: Unadjusted quoted prices in active markets that are accessible at the measurement date for identical assets or liabilities. Level 2: Quoted prices in markets that are not active or inputs which are observable, either directly or indirectly, for substantially the full term of the asset or liability. Level 3: Prices or valuation techniques that require inputs that are both significant to the fair value measurement and unobservable (i.e., supported by little or no market activity).

Revenue (Tables)

3 Months Ended

Mar. 31, 2023

Revenue from Contract with Customer [Abstract]

Schedule of revenue disaggregated by product and services

The following table discloses revenue disaggregated by type of product and service (amounts in thousands):


	Three Months Ended
	March 31, 2023		March 31, 2022
Service revenue:
Subscriber services
Duplex	$	5,751	$	6,146
SPOT	11,314		11,255
Commercial IoT	5,178		4,670
Wholesale capacity services	30,411		6,843
Engineering and other services	300		430
Total service revenue	52,954		29,344

Subscriber equipment sales:
Duplex	$	19	$	130
SPOT	1,926		1,475
Commercial IoT	3,812		1,806
Other	(67)		17
Total subscriber equipment sales	5,690		3,428

Total revenue	$	58,644	$	32,772

The following table discloses revenue disaggregated by geographical market (amounts in thousands):


	Three Months Ended
	March 31, 2023		March 31, 2022
Service revenue:
United States	$	45,061	$	22,288
Canada	3,829		3,689
Europe	1,513		1,483
Central and South America	2,367		1,736
Others	184		148
Total service revenue	$	52,954	$	29,344

Subscriber equipment sales:
United States	$	1,983	$	1,556
Canada	2,306		798
Europe	820		636
Central and South America	577		429
Others	4		9
Total subscriber equipment sales	$	5,690	$	3,428

Total revenue	$	58,644	$	32,772

Schedule of accounts receivable and contract liabilities

The Company's receivable balances by type and classification are presented in the table below net of allowance for credit losses and may include amounts related to earned but unbilled receivables (amounts in thousands).


	As of:
	March 31, 2023		December 31, 2022
Accounts receivable, net of allowance for credit losses
Subscriber accounts receivable	$	15,460	$	14,850
Wholesale capacity accounts receivable	11,204		7,234
Agency agreement accounts receivable	1,343		4,245
Total accounts receivable, net of allowance for credit losses	$	28,007	$	26,329
Long-term wholesale capacity accounts receivable	124,386		111,026
Total accounts receivable (short-term and long-term), net of allowance for credit losses	$	152,393	$	137,355

The Company's contract liabilities by type and classification are presented in the table below (amounts in thousands).


	As of:
	March 31, 2023		December 31, 2022
Short-term contract liabilities
Subscriber contract liabilities	$	20,981	$	21,987
Wholesale capacity contract liabilities	59,892		52,652
Total short-term contract liabilities	$	80,873	$	74,639
Long-term contract liabilities
Subscriber contract liabilities	$	1,981	$	1,704
Wholesale capacity contract liabilities, net of contract asset	155,114		156,099
Total long-term contract liabilities	$	157,095	$	157,803
Total contract liabilities	$	237,968	$	232,442

The components of wholesale capacity contract liabilities are presented in the table below (amounts in thousands).


	March 31, 2023		December 31, 2022
Wholesale capacity contract liabilities, net:
Advanced payments for services expected to be performed with the second-generation satellite constellation during Phase 1 (1)	$	94,323	$	99,671
Advanced payments for services expected to be performed with the recently launched ground spare satellite during Phases 1 and 2	24,992		25,438
Advanced payments (both received and contractually owed) for services expected to be performed with the next-generation satellite constellation during Phase 2	129,147		117,466
Advanced payments for the Phase 1 service fee and service-related operating expenses and capital expenditures	19,871		18,872
Contract asset (2)	(53,327)		(52,696)
Wholesale capacity contract liabilities, net	$	215,006	$	208,751

Leases (Tables)

3 Months Ended

Mar. 31, 2023

Leases [Abstract]

Schedule of lease assets and liabilities

The following tables disclose the components of the Company’s finance and operating leases (amounts in thousands):


	As of:
	March 31, 2023		December 31, 2022
Operating leases:
Right-of-use asset, net	$	33,583	$	30,859

Short-term lease liability (recorded in accrued expenses)	2,731		2,747
Long-term lease liability	28,788		27,635
Total operating lease liabilities	$	31,519	$	30,382

Finance leases:
Right-of-use asset, net (recorded in intangible and other current assets, net)	$	99	$	104

Short-term lease liability (recorded in accrued expenses)	16		16
Long-term lease liability (recorded in non-current liabilities)	67		71
Total finance lease liabilities	$	83	$	87

Schedule of components of lease cost

The components of lease cost are reflected in the table below (amounts in thousands):


	Three Months Ended
	March 31, 2023		March 31, 2022
Operating lease cost:
Amortization of right-of-use assets	$	684	$	733
Interest on lease liabilities	615		660
Capitalized lease cost	—		(536)
Finance lease cost:
Amortization of right-of-use assets	5		1
Short-term lease cost	241		80
Total lease cost	$	1,545	$	938

The following table discloses the weighted-average remaining lease term and discount rate for finance and operating leases.

As of:

March 31, 2023

December 31, 2022

Weighted-average lease term

Finance leases

4.4 years

4.6 years

Operating Leases

10.3 years

10.1 years

Weighted-average discount rate

Finance leases

10.2

Operating leases

8.6

8.5

The below table discloses supplemental cash flow information for operating leases (in thousands):


	Three Months Ended
	March 31, 2023		March 31, 2022
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows for operating leases	$	1,712	$	1,357

Schedule of maturities of operating leases liabilities

The following table reflects undiscounted cash flows on an annual basis for the Company’s lease liabilities as of March 31, 2023 (amounts in thousands):


	Operating Leases		Finance Leases

2023 (remaining)	$	4,040	$	19
2024	5,253		23
2025	5,281		23
2026	5,328		23
2027	5,207		15
Thereafter	22,364		—
Total lease payments	$	47,473	$	103
Imputed interest	(15,954)		(20)
Discounted lease liability	$	31,519	$	83

Schedule of maturities of finance leases liabilities

The following table reflects undiscounted cash flows on an annual basis for the Company’s lease liabilities as of March 31, 2023 (amounts in thousands):


	Operating Leases		Finance Leases

2023 (remaining)	$	4,040	$	19
2024	5,253		23
2025	5,281		23
2026	5,328		23
2027	5,207		15
Thereafter	22,364		—
Total lease payments	$	47,473	$	103
Imputed interest	(15,954)		(20)
Discounted lease liability	$	31,519	$	83

Property and Equipment (Tables)

3 Months Ended

Mar. 31, 2023

Property, Plant and Equipment [Abstract]

Schedule of property and equipment

Property and equipment consists of the following (in thousands):


	March 31, 2023		December 31, 2022
Globalstar System:
Space component	$	1,246,343	$	1,246,343

Ground component	98,328		98,128
Construction in progress:
Space component	129,320		110,068
Ground component	9,427		5,316
Other	10,261		9,167
Total Globalstar System	1,493,679		1,469,022
Internally developed and purchased software	22,868		22,509
Equipment	8,622		8,042
Land and buildings	1,704		1,681
Leasehold improvements	2,085		2,083
Total property and equipment	1,528,958		1,503,337
Accumulated depreciation	(964,531)		(942,966)
Total property and equipment, net	$	564,427	$	560,371

Long-Term Debt and Other Financing Arrangements (Tables)

3 Months Ended

Mar. 31, 2023

Debt Disclosure [Abstract]

Schedule of long-term debt

Long-term debt and vendor financing consists of the following (in thousands):


	March 31, 2023						December 31, 2022
	Principal Amount		Unamortized Discount and Deferred Financing Costs		Carrying Value		Principal Amount		Unamortized Discount and Deferred Financing Costs		Carrying Value
13% Senior Notes	$	200,000	$	17,757	$	182,243	$	—	$	—	$	—
2019 Facility Agreement	—		—		—		143,213		11,098		132,115
Vendor financing	—		—		—		59,575		—		59,575
Total debt and vendor financing	$	200,000	$	17,757	$	182,243	$	202,788	$	11,098	$	191,690
Less: current portion	—		—		—		59,575		—		59,575
Long-term debt and vendor financing	$	200,000	$	17,757	$	182,243	$	143,213	$	11,098	$	132,115

Schedule of short-term debt

Reflected in the table below is a rollforward of the Company's obligations under its vendor financing arrangement with MDA (amounts in thousands):


	As of
	March 31, 2023		December 31, 2022
Confirmed obligations outstanding, January 1, 2023 and 2022, respectively	$	59,575	$	—
Invoices confirmed during the periods	—		73,575
Confirmed invoices paid during the periods	(59,575)		(14,000)
Confirmed obligations outstanding, March 31, 2023 and December 31, 2022, respectively	$	—	$	59,575

- Definition

Tabular disclosure of long-debt instruments or arrangements, including identification, terms, features, collateral requirements and other information necessary to a fair presentation. These are debt arrangements that originally required repayment more than twelve months after issuance or greater than the normal operating cycle of the entity, if longer.

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+ Details

Derivatives (Tables)

3 Months Ended

Mar. 31, 2023

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Schedule of fair values of derivative instruments

The following table discloses the fair values of the derivative instruments on the Company’s consolidated balance sheet (in thousands):


	March 31, 2023		December 31, 2022
Derivative liabilities:
Compound embedded derivative with the 2019 Facility Agreement	$	—	(122)

Schedule of derivative losses (gains)

The following table discloses the changes in value recorded as derivative loss in the Company’s condensed consolidated statement of operations (in thousands):


	Three Months Ended
	March 31, 2023		March 31, 2022
Compound embedded derivative with the 2013 8.00% Notes	$	—	$	216
Compound embedded derivative with the 2019 Facility Agreement	—		(702)
Total derivative loss	$	—	$	(486)

Fair Value Measurements (Tables)

3 Months Ended

Mar. 31, 2023

Fair Value Disclosures [Abstract]

Schedule of financial liabilities measured at fair value on recurring basis

The following tables provide a summary of the liabilities measured at fair value on a recurring basis (in thousands):


	December 31, 2022
	(Level 1)		(Level 2)		(Level 3)		Total Balance





Compound embedded derivative with the 2019 Facility Agreement	—		—		(122)		(122)
Total liabilities measured at fair value	$	—	$	—	$	(122)	$	(122)

Schedule of rollforward of assets and liabilities measured at fair value

The following table presents a rollforward for all assets and liabilities measured at fair value on a recurring basis using significant unobservable inputs (Level 3) (in thousands):


	Three Months Ended March 31, 2023		Twelve Months Ended December 31, 2022
Balance at beginning of period, January 1, 2023 and 2022, respectively	$	(122)	$	(880)
Derivative adjustment related to conversions	—		1,563
Derivative adjustment related to extinguishment of debt	122		—
Unrealized loss, included in derivative loss	—		(805)
Balance at end of period, March 31, 2023 and December 31, 2022, respectively	$	—	$	(122)

Loss Per Share (Tables)

3 Months Ended

Mar. 31, 2023

Earnings Per Share [Abstract]

Schedule of reconciliation of basic weighted average share to diluted weighted average common shares outstanding

The following table sets forth the computation of basic and diluted loss per common share during each of the three months ended March 31, 2023 and 2022 (amounts in thousands, except per share data):



	Three Months Ended
	March 31, 2023		March 31, 2022
Net loss	$	(3,480)	$	(20,462)
Effect of Series A Preferred Stock dividends	(2,615)		—
Adjusted net loss attributable to common shareholders	$	(6,095)	$	(20,462)

Weighted average shares outstanding	1,811,831		1,797,671
Net loss per common share - basic and diluted	$	0.00	$	(0.01)

Revenue - Disaggregation of Revenue (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Disaggregation of Revenue [Line Items]
Revenue	$ 58,644	$ 32,772
Service revenue:
Disaggregation of Revenue [Line Items]
Revenue	52,954	29,344
Service revenue: \| United States
Disaggregation of Revenue [Line Items]
Revenue	45,061	22,288
Service revenue: \| Canada
Disaggregation of Revenue [Line Items]
Revenue	3,829	3,689
Service revenue: \| Europe
Disaggregation of Revenue [Line Items]
Revenue	1,513	1,483
Service revenue: \| Central and South America
Disaggregation of Revenue [Line Items]
Revenue	2,367	1,736
Service revenue: \| Others
Disaggregation of Revenue [Line Items]
Revenue	184	148
Duplex
Disaggregation of Revenue [Line Items]
Revenue	5,751	6,146
SPOT
Disaggregation of Revenue [Line Items]
Revenue	11,314	11,255
Commercial IoT
Disaggregation of Revenue [Line Items]
Revenue	5,178	4,670
Wholesale capacity services
Disaggregation of Revenue [Line Items]
Revenue	30,411	6,843
Engineering and other services
Disaggregation of Revenue [Line Items]
Revenue	300	430
Subscriber equipment sales:
Disaggregation of Revenue [Line Items]
Revenue	5,690	3,428
Subscriber equipment sales: \| United States
Disaggregation of Revenue [Line Items]
Revenue	1,983	1,556
Subscriber equipment sales: \| Canada
Disaggregation of Revenue [Line Items]
Revenue	2,306	798
Subscriber equipment sales: \| Europe
Disaggregation of Revenue [Line Items]
Revenue	820	636
Subscriber equipment sales: \| Central and South America
Disaggregation of Revenue [Line Items]
Revenue	577	429
Subscriber equipment sales: \| Others
Disaggregation of Revenue [Line Items]
Revenue	4	9
Duplex
Disaggregation of Revenue [Line Items]
Revenue	19	130
SPOT
Disaggregation of Revenue [Line Items]
Revenue	1,926	1,475
Commercial IoT
Disaggregation of Revenue [Line Items]
Revenue	3,812	1,806
Other
Disaggregation of Revenue [Line Items]
Revenue	$ (67)	$ 17

Revenue - Accounts Receivable and Contract Liabilities (Details) - USD ($) $ in Thousands	Mar. 31, 2023	Dec. 31, 2022
Disaggregation of Revenue [Line Items]
Wholesale capacity accounts receivable	$ 28,007	$ 26,329
Accounts receivable	152,393	137,355
Short-term contract liabilities	80,873	74,639
Long-term contract liabilities	157,095	157,803
Total contract liabilities	237,968	232,442
Subscriber driven
Disaggregation of Revenue [Line Items]
Wholesale capacity accounts receivable	15,460	14,850
Short-term contract liabilities	20,981	21,987
Long-term contract liabilities	1,981	1,704
Wholesale capacity services
Disaggregation of Revenue [Line Items]
Wholesale capacity accounts receivable	11,204	7,234
Long-term wholesale capacity accounts receivable	124,386	111,026
Short-term contract liabilities	59,892	52,652
Long-term contract liabilities	155,114	156,099
Total contract liabilities	215,006	208,751
Agency agreement accounts receivable
Disaggregation of Revenue [Line Items]
Wholesale capacity accounts receivable	$ 1,343	$ 4,245

Revenue - Narrative (Details) - USD ($) $ in Millions	1 Months Ended	3 Months Ended
Revenue - Narrative (Details) - USD ($) $ in Millions	Feb. 28, 2022	Mar. 31, 2023	Mar. 31, 2022
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Contract with customer, revenue recognized		$ 6.5
Capital expenditure reimbursement	95.00%
Satellites
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Accounts receivable, current		7.2
Accounts receivable, noncurrent		124.4
Subscriber driven
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Contract with customer, revenue recognized		8.4	$ 9.9
Wholesale capacity services
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Contract with customer, revenue recognized		22.0	$ 0.1
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2023-04-01 \| Subscriber driven
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Revenue, remaining performance obligation, amount		$ 21.0
Revenue remaining performance obligation, percentage		91.00%
Revenue, remaining performance obligation, expected timing of satisfaction, period		12 months
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2023-04-01 \| Wholesale capacity services
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Revenue, remaining performance obligation, amount		$ 59.9
Revenue remaining performance obligation, percentage		28.00%
Revenue, remaining performance obligation, expected timing of satisfaction, period		12 months

Revenue - Wholesale Capacity Contract Liabilities (Details) - USD ($) $ in Thousands	Mar. 31, 2023	Dec. 31, 2022	Nov. 30, 2022
Disaggregation of Revenue [Line Items]
Total contract liabilities	$ 237,968	$ 232,442
Contract with customer, imputed interest	5,300	5,300
Warrants issued			$ 48,300
Wholesale capacity services
Disaggregation of Revenue [Line Items]
Reimbursements (and anticipated reimbursement)	129,147	117,466
Contract asset	(53,327)	(52,696)
Total contract liabilities	215,006	208,751
Wholesale capacity services \| Space component
Disaggregation of Revenue [Line Items]
Advanced payments for services expected to be performed	94,323	99,671
Wholesale capacity services \| Ground component
Disaggregation of Revenue [Line Items]
Advanced payments for services expected to be performed	24,992	25,438
Wholesale capacity services \| Phase 1 Service Fee, Service-Related Operating Expenses, And Capital Expenditures
Disaggregation of Revenue [Line Items]
Advanced payments for services expected to be performed	$ 19,871	$ 18,872

Leases - Components of Finance and Operating Leases (Details) - USD ($) $ in Thousands	Mar. 31, 2023	Dec. 31, 2022
Operating leases:
Right-of-use asset, net	$ 33,583	$ 30,859
Short-term lease liability (recorded in accrued expenses)	2,731	2,747
Long-term lease liability	28,788	27,635
Total operating lease liabilities	31,519	30,382
Finance leases:
Right-of-use asset, net (recorded in intangible and other current assets, net)	99	104
Short-term lease liability (recorded in accrued expenses)	16	16
Long-term lease liability (recorded in non-current liabilities)	67	71
Total finance lease liabilities	$ 83	$ 87

Leases - Lease Cost (Details) - USD ($) $ in Thousands	3 Months Ended
Leases - Lease Cost (Details) - USD ($) $ in Thousands	Mar. 31, 2023	Mar. 31, 2022
Operating lease cost:
Amortization of right-of-use assets	$ 684	$ 733
Interest on lease liabilities	615	660
Capitalized lease cost	0	(536)
Finance lease cost:
Amortization of right-of-use assets	5	1
Short-term lease cost	241	80
Total lease cost	$ 1,545	$ 938

Leases - Narrative (Details) - USD ($) $ in Millions	3 Months Ended
Leases - Narrative (Details) - USD ($) $ in Millions	Mar. 31, 2023	Mar. 31, 2022
Leases [Abstract]
Finance lease, interest expense (less than)	$ 0.1	$ 0.1
Operating cash flows from finance leases (less than)	$ 0.1	$ 0.1

Leases - Supplemental Lease Information (Details)	Mar. 31, 2023	Dec. 31, 2022
Leases [Abstract]
Weighted-average lease term, Finance leases	4 years 4 months 24 days	4 years 7 months 6 days
Weighted-average lease term, Operating leases	10 years 3 months 18 days	10 years 1 month 6 days
Weighted-average discount rate, Finance leases	10.20%	10.20%
Weighted-average discount rate, Operating leases	8.60%	8.50%

Leases - Supplemental Cash Flow Information (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows for operating leases	$ 1,712	$ 1,357

Leases - Maturity Analysis (Details) - USD ($) $ in Thousands	Mar. 31, 2023	Dec. 31, 2022
Operating Leases
2023 (remaining)	$ 4,040
2024	5,253
2025	5,281
2026	5,328
2027	5,207
Thereafter	22,364
Total lease payments	47,473
Imputed interest	(15,954)
Discounted lease liability	31,519	$ 30,382
Finance Leases
2023 (remaining)	19
2024	23
2025	23
2026	23
2027	15
Thereafter	0
Total lease payments	103
Imputed interest	(20)
Discounted lease liability	$ 83	$ 87

Property and Equipment - Schedule of Property and Equipment (Details) - USD ($) $ in Thousands	Mar. 31, 2023	Dec. 31, 2022
Property, Plant and Equipment [Line Items]
Property and equipment, gross	$ 1,528,958	$ 1,503,337
Accumulated depreciation	(964,531)	(942,966)
Total property and equipment, net	564,427	560,371
Space component
Property, Plant and Equipment [Line Items]
Property and equipment, gross	1,246,343	1,246,343
Ground component
Property, Plant and Equipment [Line Items]
Property and equipment, gross	98,328	98,128
Globalstar System
Property, Plant and Equipment [Line Items]
Property and equipment, gross	1,493,679	1,469,022
Internally developed and purchased software
Property, Plant and Equipment [Line Items]
Property and equipment, gross	22,868	22,509
Equipment
Property, Plant and Equipment [Line Items]
Property and equipment, gross	8,622	8,042
Land and buildings
Property, Plant and Equipment [Line Items]
Property and equipment, gross	1,704	1,681
Leasehold improvements
Property, Plant and Equipment [Line Items]
Property and equipment, gross	2,085	2,083
Construction in progress \| Space component
Property, Plant and Equipment [Line Items]
Property and equipment, gross	129,320	110,068
Construction in progress \| Ground component
Property, Plant and Equipment [Line Items]
Property and equipment, gross	9,427	5,316
Construction in progress \| Other
Property, Plant and Equipment [Line Items]
Property and equipment, gross	$ 10,261	$ 9,167

Property and Equipment - Narrative (Details) - USD ($) $ in Millions	Mar. 31, 2023	Dec. 31, 2022
Property, Plant and Equipment [Line Items]
Accrued vendor financing, current	$ 48.6	$ 36.1
Satellites
Property, Plant and Equipment [Line Items]
Purchase obligation		327.0
Construction in progress	110.6	98.5
Prepaid satellite construction costs and related customer receivable	$ 10.8	$ 11.5

Long-Term Debt and Other Financing Arrangements - Schedule of Long-term Debt (Details) - USD ($) $ in Thousands	Mar. 31, 2023	Dec. 31, 2022	Nov. 30, 2019
Principal Amount
Debt instrument, principal amount outstanding	$ 200,000	$ 202,788
Debt instrument, face amount, current	0	59,575
Debt instruments, face amount, noncurrent	200,000	143,213
Unamortized Discount and Deferred Financing Costs
Total debt and vendor financing	17,757	11,098
Debt instrument, unamortized discount, current	0	0
Debt instrument, unamortized discount, noncurrent	17,757	11,098
Carrying Value
Total debt and vendor financing	182,243	191,690
Long-term debt, current maturities	0	59,575
Long-term debt	182,243	132,115
13% Senior Notes
Principal Amount
Debt instrument, principal amount outstanding	200,000	0
Unamortized Discount and Deferred Financing Costs
Total debt and vendor financing	17,757	0
Carrying Value
Total debt and vendor financing	$ 182,243	0
Loan interest rate	13.00%
2019 Facility Agreement
Principal Amount
Debt instrument, principal amount outstanding	$ 0	143,213	$ 199,000
Unamortized Discount and Deferred Financing Costs
Total debt and vendor financing	0	11,098
Carrying Value
Total debt and vendor financing	0	132,115
Loan interest rate			14.00%
Vendor financing
Principal Amount
Debt instrument, principal amount outstanding	0	59,575
Unamortized Discount and Deferred Financing Costs
Total debt and vendor financing	0	0
Carrying Value
Total debt and vendor financing	$ 0	$ 59,575

Long-Term Debt and Other Financing Arrangements - Narrative (Details) - USD ($) $ / shares in Units, $ in Thousands				1 Months Ended			2 Months Ended	3 Months Ended			4 Months Ended	12 Months Ended
	Mar. 31, 2023	Feb. 27, 2023	Nov. 15, 2022	Apr. 30, 2023	Jan. 31, 2023	Feb. 28, 2022	Dec. 31, 2022	Mar. 31, 2023	Mar. 01, 2023	Mar. 31, 2022	Jan. 31, 2023	Dec. 31, 2022	Nov. 30, 2019
Debt Instrument [Line Items]
Debt instrument, principal amount outstanding	$ 200,000						$ 202,788	$ 200,000				$ 202,788
Loss on debt extinguishment								10,194		$ 0
Purchase agreement interest rate						7.00%			10.50%
Confirmed invoices paid during the periods					$ 62,100			59,575			$ 76,100	$ 14,000
Interest expense, vendor financing	2,500							2,500
Partnership agreement, prepayment receivable		$ 252,000
Partnership agreement, payment	39,600
Partnership agreement, minimum liquidity requirement	$ 10,000	$ 30,000						$ 10,000
Preferred stock, shares issued (in shares)	0						0	0				0
Preferred stock	$ 0						$ 0	$ 0				$ 0
Dividends, preferred stock, cash								$ 3,952
Subsequent Event
Debt Instrument [Line Items]
Partnership agreement, proceeds from prepayment				$ 87,700
Partnership agreement, payment				$ 48,100
Series A Preferred Convertible Stock
Debt Instrument [Line Items]
Preferred stock, shares issued (in shares)	149,425		149,425				149,425	149,425				149,425
Preferred stock, dividend rate, percentage								7.00%
Preferred stock, liquidation preference (in USD per share)			$ 1,000
Preferred stock	$ 0		$ 105,300				$ 0	$ 0				$ 0
Dividends, preferred stock, cash							1,300	2,600
13% Senior Notes
Debt Instrument [Line Items]
Debt instrument, principal amount outstanding	$ 200,000						0	$ 200,000				0
Loan interest rate	13.00%							13.00%
Issue price, percentage of principal	95.00%							95.00%
Financing costs	$ 7,800
Interest rate, payable in cash	4.00%							4.00%
Interest rate, payable in-kind	9.00%							9.00%
Interest rate agreed upon, payable in cash	6.50%							6.50%
Interest rate, payable in-kind	6.50%							6.50%
13% Senior Notes \| Prior to March 15, 2025
Debt Instrument [Line Items]
Redemption price, percentage	100.00%
13% Senior Notes \| Beginning On The First Call Date
Debt Instrument [Line Items]
Redemption price, percentage	103.00%
13% Senior Notes \| After March 15, 2027
Debt Instrument [Line Items]
Redemption price, percentage	100.00%
13% Senior Notes \| Event Of A Change Of Control
Debt Instrument [Line Items]
Redemption price, percentage	101.00%
2019 Facility Agreement
Debt Instrument [Line Items]
Debt instrument, principal amount outstanding	$ 0						$ 143,213	$ 0				$ 143,213	$ 199,000
Loan interest rate													14.00%
Repayments of lines of credit	$ 148,000							148,281		$ 0
Loss on debt extinguishment								$ 10,400
Extinguishment of debt			$ 149,400

Long-Term Debt and Other Financing Arrangements - Obligations Under Vendor Financing Arrangement (Details) - USD ($) $ in Thousands	1 Months Ended	3 Months Ended	4 Months Ended	12 Months Ended
	Jan. 31, 2023	Mar. 31, 2023	Jan. 31, 2023	Dec. 31, 2022
Vendor Financing Obligations [Roll Forward]
Vendor financing, beginning balance	$ 59,575	$ 59,575		$ 0
Invoices confirmed during the periods		0		73,575
Confirmed invoices paid during the periods	$ 62,100	59,575	$ 76,100	14,000
Vendor financing, ending balance		$ 0		$ 59,575

Derivatives - Schedule of Fair Value of Derivative Instruments (Details) - USD ($) $ in Thousands	Mar. 31, 2023	Dec. 31, 2022
Compound embedded derivative with the 2019 Facility Agreement
Derivative Liability, Fair Value, Amount Not Offset Against Collateral [Abstract]
Derivative liability	$ 0	$ (122)

Derivatives - Schedule of Derivative Gain (Loss) (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022	May 31, 2013
Derivative Instruments, Gain (Loss) [Line Items]
Derivative loss	$ 0	$ (486)
Compound embedded derivative with the 2013 8.00% Notes
Derivative Instruments, Gain (Loss) [Line Items]
Derivative loss	0	216
Compound embedded derivative with the 2019 Facility Agreement
Derivative Instruments, Gain (Loss) [Line Items]
Derivative loss	$ 0	$ (702)
Convertible 8.00% Notes
Derivative Instruments, Gain (Loss) [Line Items]
Loan interest rate			8.00%

Derivatives - Narrative (Details) - USD ($) $ in Thousands	Mar. 31, 2023	Dec. 31, 2022	May 31, 2013
2019 Facility Agreement
Derivative [Line Items]
Derivative liability	$ 0	$ 122
Convertible 8.00% Notes
Derivative [Line Items]
Loan interest rate			8.00%

Fair Value Measurements - Narrative (Details) - USD ($) $ in Thousands	Dec. 31, 2022	Mar. 31, 2022
2019 Facility Agreement
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Embedded derivative liability	$ 122	$ 0

Fair Value Measurements - Recurring Fair Value Measurements (Details) - USD ($) $ in Thousands	Dec. 31, 2022	Mar. 31, 2022
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total liabilities measured at fair value	$ (122)
Compound embedded derivative with the 2019 Facility Agreement
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Embedded derivative liability	(122)	$ 0
(Level 1)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total liabilities measured at fair value	0
(Level 1) \| Compound embedded derivative with the 2019 Facility Agreement
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Embedded derivative liability	0
(Level 2)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total liabilities measured at fair value	0
(Level 2) \| Compound embedded derivative with the 2019 Facility Agreement
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Embedded derivative liability	0
(Level 3)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total liabilities measured at fair value	(122)
(Level 3) \| Compound embedded derivative with the 2019 Facility Agreement
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Embedded derivative liability	$ (122)

Fair Value Measurements - Rollforward of Assets and Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation (Details) - USD ($) $ in Thousands	3 Months Ended	12 Months Ended
	Mar. 31, 2023	Dec. 31, 2022
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward]
Balances at beginning of period	$ (122)	$ (880)
Derivative adjustment related to conversions	0	1,563
Derivative adjustment related to extinguishment of debt	122	0
Unrealized loss, included in derivative loss	0	(805)
Balances at ending of period	$ 0	$ (122)

Commitment and Contingencies (Details) $ in Millions	1 Months Ended	3 Months Ended
Commitment and Contingencies (Details) $ in Millions	Feb. 28, 2022 USD ($) satellite	Mar. 31, 2023 USD ($)	Feb. 27, 2023 USD ($)	Dec. 31, 2022 USD ($)
Other Commitments [Line Items]
Network capacity to suppress services		0.85
Partnership agreement, minimum liquidity requirement		$ 10.0	$ 30.0
Number of satellites acquired \| satellite	17
Capital expenditure reimbursement	95.00%
Macdonald, Dettwiler and Associates
Other Commitments [Line Items]
Payments to acquire fixed assets	$ 4.9
Satellites
Other Commitments [Line Items]
Purchase obligation				$ 327.0

Related Party Transactions (Details) $ in Thousands	1 Months Ended	2 Months Ended	3 Months Ended
Related Party Transactions (Details) $ in Thousands	Sep. 30, 2022	Dec. 31, 2022 USD ($)	Mar. 31, 2023 USD ($)	Mar. 31, 2022 USD ($)	Nov. 30, 2019 USD ($)
Related Party Transaction [Line Items]
Payables to affiliates		$ 326	$ 142
Debt instrument, principal amount outstanding		202,788	200,000
Payment of dividends			$ 3,951	$ 0
Partnership agreement, minimum ownership threshold, percentage (less than)	0.5100
Series A Preferred Convertible Stock
Related Party Transaction [Line Items]
Preferred stock, dividend rate, percentage			7.00%
2019 Facility Agreement
Related Party Transaction [Line Items]
Debt instrument, principal amount outstanding		143,213	$ 0		$ 199,000
Thermo Capital Partners LLC
Related Party Transaction [Line Items]
Payables to affiliates		300	100
Annual base rental payments			$ 1,400
Annual rental payment escalation percentage			2.50%
Operating lease term			10 years
Rent expense			$ 400	$ 400
Payment of dividends		$ 1,200	$ 2,400
Partnership agreement, ownership threshold, period	5 years
Thermo Capital Partners LLC \| 2019 Facility Agreement
Related Party Transaction [Line Items]
Debt instrument, principal amount outstanding					$ 136,700

Loss Per Share - Schedule of Basic and Diluted Earnings Per Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Net loss	$ (3,480)	$ (20,462)
Adjusted net loss attributable to common shareholders	$ (6,095)	$ (20,462)
Weighted average common shares outstanding
Weighted average common shares outstanding, basic (in shares)	1,811,831	1,797,671
Weighted average common shares outstanding, diluted (in shares)	1,811,831	1,797,671
Net loss per common share:
Basic (in dollars per share)	$ (0.00)	$ (0.01)
Diluted (in dollars per share)	$ (0.00)	$ (0.01)
Series A Preferred Convertible Stock
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Effect of Series A Preferred Stock dividends	$ (2,615)	$ 0

Loss Per Share - Narrative (Details) - USD ($) $ in Thousands, shares in Millions	2 Months Ended	3 Months Ended
	Dec. 31, 2022	Mar. 31, 2023	Mar. 31, 2022
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Shares of potential common stock excluded from diluted shares outstanding (in shares)		19.7	7.4
Warrants outstanding (in shares)		49.1
Dividends, preferred stock, cash		$ 3,952
Series A Preferred Convertible Stock
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Dividends, preferred stock, cash	$ 1,300	$ 2,600