Palo Alto, CA-MacDonald, Dettwiler and Associates Ltd. ("MDA" or the "Company")(TSX: MDA), a global communications and information company, today announced that its U.S. business unit, SSL, has entered into an agreement with the U.S.Defense Advanced Research Projects Agency(DARPA) to develop the capability to service and maintain spacecraft and other infrastructure in the geostationary arc. DARPA's Robotic Servicing of Geosynchronous Satellites (RSGS) program will be the foundation of a new business for SSL that will serve both commercial and government operators with repair, upgrade, relocation, and refueling of on-orbit assets.

"This will be SSL's first spacecraft contract with the Department of Defense in recent years and it is the third time that we have been selected by the U.S. government for a major program in just two months, following our recent selections for NASA's Restore-L and Psyche missions," said Howard Lance, chief executive officer, SSL MDA Holdings. "It clearly demonstrates the success of our strategy to bring the benefits of our commercial business to a broader audience and to grow our business with U.S. government work."

Based on its industry leading platform, SSL is expected to provide a spacecraft to carry the robotic servicing payload and will manage integration and operation of the spacecraft. DARPA will contribute the robotics technology, expertise, and a government-provided launch. MDA will add a refueling capability to the RSGS program.

When launched, RSGS will have the capability to perform multiple servicing missions for both planned and urgent customer needs, including: high-resolution inspection; refueling; correction of mechanical anomalies; assistance with relocation and other orbital maneuvers; and installation of attachable payloads, enabling upgrades to existing assets. The company will market these services as a commercial business and is already in discussion with several key customers.

"RSGS's capability will be marketed to both commercial and government satellite operators, providing them with unprecedented flexibility in fleet management and capital deployment," said Steve Oldham, senior vice president, strategic business development, SSL. "Refueling provides a compelling value proposition and our sophisticated robotic capability will enable new on-orbit applications only available from RSGS."

SSL is a US-based company, employing over 2300 people in Palo Alto, California where it has done business for 60 years. The work scope for the DARPA mission will be performed by SSL in its US facilities by its US staff.

In apress releaselast year, SSL announced that it is working with the U.S. Naval Research Laboratory (NRL), through MDA US Systems, based in Pasadena, California, to design and build robotic arm flight hardware for the RSGS program.

About MDA

MDA(TSX: MDA), is a global communications and information company providing operational solutions to commercial and government organizations worldwide.

MDA's business is focused on markets and customers with strong repeat business potential, primarily in the Communications sector and the Surveillance and Intelligence sector. In addition, the Company conducts a significant amount of advanced technology development.

MDA's established global customer base is served by more than 4,800 employees operating from 15 locations in the United States, Canada, and internationally.

MacDonald, Dettwiler and Associates Ltd.'s (MDA) common shares trade on the Toronto Stock Exchange under the symbol "MDA."

About SSL

Space Systems Loral (SSL) is a leading provider of commercial satellites with broad expertise to support satellite operators and innovative space related missions. The company designs and manufactures spacecraft for services such as direct-to-home television, video content distribution, broadband internet, mobile communications, and Earth observation. As a Silicon Valley innovator for more than 50 years, SSL's advanced product line also includes state-of-the-art small satellites, and sophisticated robotics and automation solutions for remote operations. For more information, visitwww.sslmda.com.

About SSL MDA Holdings

SSL MDA Holdings, Inc., based in San Francisco, CA, is a wholly owned subsidiary of MacDonald, Dettwiler and Associates Ltd. and serves as the operating company for all MDA businesses.

Related Websites
www.mdacorporation.com
www.sslmda.com

Forward-Looking Statements
This release contains forward-looking statements and information, which reflect the current view of MacDonald, Dettwiler and Associates Ltd. ("MDA" or the "Company") with respect to future events and financial performance. The forward-looking statements in this regard include statements regarding the award of a U.S. government contract. Any such forward-looking statements are based on MDA's current expectations, estimates, projections and assumptions in light of its experience and its perception of historical trends. The factors and assumptions underlying the forward-looking statements in this release include contracts with any government agency not being terminated. Any such forward-looking statements are subject to a number of risks and uncertainties that could cause actual results to differ materially from current expectations. MDA cautions readers that should certain risks or uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary significantly from those expected. The risks that could cause actual results to differ from current expectations include, but are not limited to: changes in government priorities, mandates, policies, funding levels, contracts and regulations; failure of third parties and subcontractors; and failure of systems to meet performance requirements.

For additional information with respect to certain of these risks or factors, plus additional risks or factors, reference should be made to the Company's continuous disclosure materials filed from time to time with Canadian securities regulatory authorities, which are available online under the Company's profile atwww.sedar.comor on the Company's website atwww.mdacorporation.com.

The Toronto Stock Exchange has neither approved nor disapproved the form or content of this release.