SatRadio

Satellite Radio News (4.21.04)

The following is a summary of today's satellite radio headlines:

SIRIUS Satellite Radios Available at Nation's Largest Retailer (Sirius Satellite Radio, 4.21.04) Press release notes that Sirius Satellite Radio today announced that select Wal-Mart locations across the country will soon offer one of its satellite radio products. Select Wal-Mart locations will offer the Jensen/SIRIUS portable "Plug & Play" satellite radio with a car installation kit for $149.87. A boombox accessory will also be available for $99.87. "We are very pleased to have SIRIUS product in Wal-Mart," said Joseph P. Clayton, President and CEO of SIRIUS. "With their strong presence throughout the country, and their excellent reputation for offering value to their customers, Wal-Mart is a perfect venue for SIRIUS. We believe that our Jensen/SIRIUS portable 'Plug & Play' satellite radio and accessory boombox will be very popular with Wal-Mart customers." (Read more)

Sirius' Earnings Disappoint (The Motley Fool, 4.21.04) Investment article notes that Sirius Satellite Radio released its quarterly earnings report (or maybe I should say "results report") today with revenues and subscriber numbers well below what the most optimistic company watchers had hoped for, coming in at 351,000, or a 35% quarter-over-quarter rise. Management maintained predictions that the company would have in excess of 1 million subscribers by year-end. That's the stuff this company's stock is built on -- nothing silly like current results, which is why 35% gains (usually cause for delirious parties at almost every other company in the world) are a disappointment at Sirius. (Read more)

Sirius Sags Under Heavy Losses (TheStreet.com, 4.21.04) Investment article notes that Sirius Satellite Radio boosted its subscriber count in the latest quarter, but not as much as its fans on Wall Street had hoped. The satellite radio broadcaster's shares slipped 6% Wednesday, after a first-quarter financial report showed the company improving its top line but failing to make substantial inroads into its massive losses. The New York company added 90,602 new customers in the quarter ended March 31. That's a 35% gain, taking its subscriber count to 351,663 at the end of the first quarter. But Wall Street analysts had expected the company to expand its user rolls by something like 110,000 subscribers. (Read more)

Sirius posts loss and adds clients, but stock dips (Reuters, 4.21.04) News article notes that Sirius Satellite Radio posted a first-quarter loss on Wednesday, but said its subscriber base grew 35 percent in the quarter, showing continued growth in the fledgling industry. Still that subscriber growth wasn't enough for some investors who sent the company's shares down 5 percent in morning trading. Sirius added 90,902 subscribers in the quarter, which met some analyst forecasts, but fell short of others who believed the company could well exceed 100,000 new subscribers in the wake of competitor XM Satellite Radio's robust first-quarter gains. "Given the size of XM's blowout quarter, investors will likely be disappointed that Sirius did not have a similar upside to original estimates," said Kit Spring, analyst at Stifel, Nicolaus & Co. "It was above my estimate of 82,000, but below the whisper number which was above 100,000," Spring said. (Read more)

Sirius backs 1 mln subscriber target for year-end (Reuters, 4.21.04) News article notes that Sirius Satellite Radio is on track to reach its goal of 1 million subscribers by the end of the year, Chief Executive Joseph Clayton said. "The momentum is building," Clayton said on a conference call, following the New York-based satellite radio operator's earnings report. (Read more)

XM Satellite Execs Cash In (TheStreet.com, 4.21.04) Investment article notes that XM Satellite Radio executives enjoyed major raises last year as the satellite operator's stock price zoomed skyward. Chairman Gary Parsons received a salary and bonus of $750,000, a 50% rise from the $500,000 bonus he received as compensation one year earlier, according to the XM proxy statement filed with the Securities and Exchange Commission Wednesday. President and CEO Hugh Panero received $824,000, up 18% from his salary and bonus in 2003. Additionally, the men received stock option grants valued -- when they were made -- in the range of $1.2 million to $3 million for Panero and $1.8 million to $3.4 million for Parsons, depending on one's assumptions about XMSR's stock-price appreciation. (Read more)

Satellite Radio News (4.20.04)

The following is a summary of today's satellite radio headlines:

Satellite Radio Makes the Locals Sweat (The Motley Fool, 4.19.04) Investment article notes that the National Association of Broadcasters sent a petition to the Federal Communications Commission last week asking that XM Satellite Radio and Sirius be blocked from providing any locally tailored radio service, even if it is broadcast nationally over their satellite systems. The FCC has long held radio service to be in the public interest, but that's not what this battle is about at all. This isn't about the public interest: It's about the terrestrial and satellite radio commercial ones. The big markets are where the big advertising dollars are -- and they're under attack by a new delivery system. That's all it is, and once again, where the government picks favorites it does us all a disservice. What we have in SDARS is a new delivery platform, and it's making the installed base nervous. There are some flaws in the specifics, but the last time I checked, that's just capitalism. (Read more)

Mercedes-Benz Announces Availability of Sirius Satellite Radio (Sirius Satellite Radio, 4.19.04) Press release notes that Sirius Satellite Radio and Mercedes-Benz USA are pleased to announce availability of the premier satellite radio service as a dealer installed option for most model year 2004 and newer Mercedes-Benz vehicles at authorized dealerships in the contiguous United States. The equipment required to receive SIRIUS satellite radio is specifically engineered for each Mercedes-Benz model, and is fully integrated into the Mercedes-Benz audio system. This allows the customer to enjoy pure digital sound, and to view content information from SIRIUS -- such as title and artist name of the music that is being played -- live on the head-unit display. In addition, the Mercedes-Benz supplied equipment is fully backed by the Mercedes-Benz new car limited warranty, which covers the equipment for up to 4 years. If the customer chooses to have SIRIUS installed after initial delivery, the Mercedes-Benz warranty covers the equipment for the remainder of the new car limited warranty, or one year, whichever is greater. (Read more)

Satellite Radio News (4.16.04)

The following is a summary of today's satellite radio headlines:

Broadcasters seek ban on local satellite radio (Reuters, 4.16.04) News article notes that U.S. radio broadcasters have asked federal regulators to bar rival satellite radio services from offering content tailored to local markets, according to a petition obtained on Friday. The National Association of Broadcasters, which represents radio conglomerates like Clear Channel Communications Inc., filed the request due to concerns the up and coming satellite services are trying to replace local radio outlets. Both XM Satellite Radio and Sirius Satellite Radio Inc. now offer traffic and weather for several cities on its national service, but are barred from using ground-based transmitters that extend service into hard-to-reach areas to air programming aimed specifically at a local market. "This foray into local content is directly contrary to ... repeated and express promises that satellite radio service would be limited to delivering national programming to serve the unserved and underserved," according to the petition obtained by Reuters. NAB said the two companies may also be developing satellite radios that can receive advertisements, news and other content targeting a local market by using Global Positioning Satellite (GPS). The broadcasters' group demanded that the Federal Communications Commission, which licenses satellite services, explicitly ban their rivals from using any technology to offer content in one area that is different from another location. The NAB also asked that the FCC bar XM Satellite Radio Holdings Inc. and Sirius Satellite Radio Inc. from offering local services on nationally distributed channels. (Read more)

The 2004 NFL Schedule Is Here, and You Can Hear it First on SIRIUS Satellite Radio (Sirius Satellite Radio, 4.14.04) Press release notes that Sirius Satellite Radio will broadcast the official announcement of the NFL 2004 week-by-week and team-by-team regular-season playing schedule this afternoon at 5pm ET on SIRIUS Sports // 124. The SIRIUS broadcast will be the audio accompaniment to the NFL Network's NFL Total Access, hosted by Rich Eisen. In addition to highlighting the key match-ups of the 2004 season, the special will feature interviews with current players and coaches to gauge their reactions to the schedule as it comes out and also provide viewers with the list of games airing nationally on each network week by week. The two-hour special will also feature special guests Warren Sapp, who this year will play for the Oakland Raiders; FOX broadcaster Troy Aikman and ESPN announcer Joe Theismann. (Read more)

SIRIUS OUTQ Gay & Lesbian Radio Celebrates 1st Anniversary With New Ventures and Special Guests (Sirius Satellite Radio, 4.14.04) Press release notes that Sirius Satellite Radio OutQ, the nation's first 24-hour radio channel providing Gay/Lesbian/Bisexual/Transgender news, talk and entertainment from coast-to-coast, celebrates its first year of broadcasting on Wednesday, April 14 by announcing several new ventures as well as a host of special guests who'll be part of its April 14th programs. SIRIUS OutQ and The Advocate newsmagazine are pleased to announce an exclusive joint news operation combining the best of print GLBT journalism with the immediacy and impact of radio news. Beginning May 1, The Advocate will offer on its website streaming audio news reports updated by SIRIUS OutQ's news department. In addition, SIRIUS will regularly feature guests from The Advocate staff discussing current affairs and stories breaking in the magazine. Listeners may hear The Advocate / SIRIUS OutQ News at the top of every hour on SIRIUS OutQ, channel 149, or online at www.siriusoutq.com. The Advocate / SIRIUS OutQ News is available on demand at www.advocate.com. (Read more)

Heavenly Paycheck for Sirius Chief (TheStreet.com, 4.13.04) News article notes that Sirius Satellite Radio executives received hefty rewards for their part in restructuring the money-losing company last year. On top of his $1.3 million salary and bonus, CEO Joseph Clayton received restricted stock worth $14 million at 2003's close, as well as stock options valued at between $19 million and $39 million, depending on the rate one assumes the company's stock price will appreciate over the next 10 years. The disclosure came in Sirius's proxy statement filed with the Securities and Exchange Commission on Tuesday. While Clayton alone received 11.3 million options -- 21.1% of total options granted to employees -- other senior executives received a total of 12.2 million options last year. Like most of Clayton's options, the other executives' options were priced below the market price for the stock on the day they were granted; approximately 36% of the non-Clayton options vested last month, upon satisfaction of 2003 performance criteria set by the Sirius' board. (Read more)

Satellite Radio News (4.12.04)

The following is a summary of today's satellite radio headlines:

Saab to Offer XM Satellite Radio (XM Satellite Radio, 4.8.04) Press release notes that XM Satellite Radio XM Satellite Radio announced that Saab will offer XM Radio in its vehicle models, beginning with the brand-new 2005 Saab 9-7X sport utility vehicle. The Saab 9-7X makes its world debut this week at the New York International Auto Show. The new model is Saab's first sport utility vehicle. The new 9-7X with factory-installed XM Radio will be built at GM's Moraine Assembly plant in Ohio, beginning in the first quarter of 2005. Additionally, beginning this fall, Saab will offer XM as a dealer-installed option on all of its models through its Saab Accessory program.) Saab will further expand the availability of XM as a factory installed feature on additional Saab models in the 2006 model year. (Read more)

XM Radio and NAVTEQ Introduce XM NavTraffic: The Nation's First Satellite Traffic Information Service for Vehicle Navigation Systems (XM Satellite Radio, 4.7.04) Press release notes that XM Satellite Radio unveiled a groundbreaking new satellite data information service called XM NavTraffic. The service is powered by NAVTEQ Traffic, a new product from NAVTEQ, the leading global provider of digital map data for vehicle navigation systems. XM NavTraffic is the nation's first satellite traffic information service that enables a vehicle's on-board navigation system to display current traffic information for a driver's chosen route. XM NavTraffic will debut this fall as the provider of traffic data to the AcuraLink communication system that will be a standard feature on the all-new 2005 Acura RL. The state-of-the-art Acura Satellite Navigation System will provide drivers with real-time traffic information integrated with an in- vehicle navigation system, a first in North America. (Read more)

Honda to Double Production of Vehicles Factory-Installed With XM Radio for 2005 Model Year (XM Satellite Radio, 4.7.04) Press release notes that XM Satellite Radio announced that American Honda will increase the number of models which will be sold with XM radios as standard equipment for the 2005 model year. Honda estimates that the number of models should result in an increase in sales from 200,000 vehicles in 2004 to 400,000 vehicles in 2005. All of Honda's XM-equipped models will be sold with a three-month free trial subscription. According to American Honda Motor Co., Inc., a total of seven model year 2005 Acura and Honda models will include XM as a factory-installed standard feature. Further details regarding XM availability on additional 2005 models will be announced later this year by American Honda. For the 2004 model year, XM is a standard factory-installed feature on the Acura RL, Acura TL and select Honda Accord models. Also, XM is available as a dealer-installed option on the 2004 Honda Pilot, Honda Odyssey, Honda S2000 and Acura TSX. (Read more)

DaimlerChrysler, Sirius in new satellite radio pact (Reuters, 4.6.04) News article notes that Sirius Satellite Radio said that auto maker DaimlerChrysler would factory-install Sirius radios into a wide range of its new vehicles and offer bundled subscriptions, in a deal that could accelerate Sirius' subscriber growth. Sirius will fit 550,000 DaimlerChrysler cars with its radios by June 2006, and DaimlerChrysler will bundle a one-year subscription to Sirius service in those vehicles. Previously, Sirius was primarily available to car owners in the aftermarket, where local dealers install the equipment. (Read more)

Satellite Radio News (4.6.04)

The following is a summary of today's satellite radio headlines:

SIRIUS Satellite Radio Provides the Ultimate Choice: Three Full-Time Channels of Liberal and Conservative Talk Programming (Sirius Satellite Radio, 3.5.04) Press release notes that Sirius Satellite Radio announced that it will add Air America Radio to its lineup of programming that already includes the first radio channel dedicated to liberal viewpoints, SIRIUS LEFT. The two channels complement SIRIUS RIGHT, the talk radio channel dedicated to conservative viewpoints, which today announced the additions of such hard-hitting national stars as Michael Savage, Laura Ingraham and Tony Snow. SIRIUS LEFT begins its second year as America's first voice for liberals by adding seasoned radio hosts including Fox News Channel personality Alan Colmes, nationally-known liberal Midwesterner Ed Schultz, fiery New Yorker Lynn Samuels, San Francisco radio legend Alex Bennett and SIRIUS originals The Young Turks. SIRIUS RIGHT promises the fiery, unyielding opinions of national talk sensation Michael Savage; the biting conservative views of Laura Ingraham; and the unmatched knowledge and insights of Fox News Commentator Tony Snow and accomplished talk show hosts Rusty Humphries and Michael Reagan. (Read more)

XM Satellite Radio Shows Gains (Reuters, 4.1.04) News article notes that XM Satellite Radio reported greater-than-expected subscriber gains in the first quarter of 2004 in what many analysts believe is a critical year for building consumer acceptance of the nascent satellite radio industry. XM Radio reported 320,000 net new subscribers in the fourth quarter on Thursday, up 230 percent from the same period last year, bringing the company's total subscriber rolls to 1.68 million. The company said it expects 2.8 million subscribers by the end of 2004. Analysts had expected additions of 259,000 in the quarter, which is typically strong due to activations of new radios given as holiday gifts. XM's smaller competitor Sirius Satellite Radio said it plans to report first-quarter subscriber numbers with its first-quarter earnings, as is company policy. It expects to have 1 million subscribers by the end of the year. (Read more)

XM Satellite Radio Shows Gains (Reuters, 4.1.04) News article notes that XM Satellite Radio reported greater-than-expected subscriber gains in the first quarter of 2004 in what many analysts believe is a critical year for building consumer acceptance of the nascent satellite radio industry. XM Radio reported 320,000 net new subscribers in the fourth quarter on Thursday, up 230 percent from the same period last year, bringing the company's total subscriber rolls to 1.68 million. The company said it expects 2.8 million subscribers by the end of 2004. Analysts had expected additions of 259,000 in the quarter, which is typically strong due to activations of new radios given as holiday gifts. XM's smaller competitor Sirius Satellite Radio said it plans to report first-quarter subscriber numbers with its first-quarter earnings, as is company policy. It expects to have 1 million subscribers by the end of the year. (Read more)

XM Rockets Past Subscriber Target (TheStreet.com, 4.1.04) News article notes that XM Satellite Radio saw a big jump in new subscribers for the first quarter. The Washington, D.C., pay radio service added 320,000 net new subscribers for the quarter ended yesterday, exceeding the 260,000-addition target that some analysts had set. XM now counts 1.68 million users and says it is on track to reach its goal of 2.8 million subscribers by year-end. (Read more)