Who Says No One Will Pay For Radio? XM Hits 2.5 Million

(CelebrityAccess MediaWire) — XM Satellite Radio finished the third quarter 2004 with more than 2,500,000 subscribers. XM added more than 415,000 net new subscribers in the quarter and is on pace to exceed 3,100,000 subscribers by year’s end. The XM subscriber gain during the quarter is 75% higher than the 237,000 net new subscribers added in the third quarter of 2003.

“We continue to be pleased with the cost-efficient growth of our subscriber base and the continuing strong demand for XM’s products and programming in both the new car and aftermarket channels,” said Hugh Panero, President and CEO of XM Satellite Radio. “Aftermarket sales during the third quarter would have been higher, but for a temporary reduction in Delphi XM Roady2 receiver production during a four-week period in the quarter while a low-yield component was being replaced. Roady2 production returned to normal capacity in late August.”

“The second half of the year is shaping up very well, with third quarter subscriber gain reflecting consistent progress towards exceeding our 2004 year-end guidance of 3.1 million subscribers,” added Panero. –Bob Grossweiner and Jane Cohen