Hughes Space and Communications Co. [GMH] will build at least three additional satellites for New ICO, the reorganized and refinanced company that has emerged from the bankrupt ICO Global Communications.

The company also will modify 11 other satellites that are under construction for the revamped New ICO system to improve the voice and packet data services that New ICO is planning.

Hughes announced the contract today. Hughes Space and Communications is a subsidiary of Hughes Electronics Corp. [GMH]. Financial terms of the contract were not disclosed.

However, it is likely to be an important one for Hughes, which had won only two satellite construction contracts this year, according to Clay Mowry,executive director of the Satellite Industry Association, speaking at a recent meeting of the Mid-Atlantic Chapter of the Society of Satellite Industry Professionals (SSPI).

“The New ICO program is alive and healthy and promises to be a success in the world market,” said Tig Krekel, president and CEO of HSC.

“These three new Hughes 601 satellites, coupled with modifications on the entire fleet, will provide enhanced voice and data services for New ICO’s customers through the next decade,” Krekel added.

“This new contract assures New ICO a full constellation at service start in 2003. We have the utmost confidence in New ICO,” he said.