Quarterly report pursuant to Section 13 or 15(d)

Interest Costs

v2.4.0.8
Interest Costs
6 Months Ended
Jun. 30, 2013
Interest Costs Disclosure [Abstract]  
Interest Costs
Interest Costs

We capitalized a portion of the interest on funds borrowed as part of the cost of constructing our satellites and related launch vehicle. We are currently capitalizing the interest associated with our FM-6 satellite and related launch vehicle and will continue to do so until its launch. We also incur interest costs on our debt instruments and on our satellite incentive agreements. The following is a summary of our interest costs:
 
For the Three Months Ended June 30,
 
For the Six Months Ended June 30,
 
2013
 
2012
 
2013
 
2012
Interest costs charged to expense
$
49,728

 
$
72,770

 
$
95,902

 
$
149,742

Interest costs capitalized
8,038

 
8,128

 
16,008

 
16,082

Total interest costs incurred
$
57,766

 
$
80,898

 
$
111,910

 
$
165,824



Included in interest costs incurred is non-cash interest expense, consisting of amortization related to original issue discounts, premiums and deferred financing fees of $5,490 and $10,384 for the three months ended June 30, 2013 and 2012, respectively, and $10,932 and $21,031 for the six months ended June 30, 2013 and 2012, respectively.