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Ford Motor Company and SIRIUS Satellite Radio Extend Exclusive
Relationship
6/6/05
Ford Motor Company and SIRIUS Satellite Radio Extend Exclusive
Relationship
- All Ford Brands Included
- Expanded Factory Installation Programs Expected
- Factory Installed Volumes Expected To Significantly Increase
NEW YORK and DETROIT, June 6 /PRNewswire-FirstCall/ -- SIRIUS Satellite Radio (Nasdaq: SIRI), and the Ford Motor Company (NYSE: F), today
announced an agreement that extends SIRIUS' exclusive relationship with
Ford through September 2011, on certain terms and conditions. All Ford
Motor Company brands in the U.S. -- Ford, Lincoln Mercury, Land Rover,
Jaguar, Volvo, Aston Martin and Mazda -- are covered by the agreement.
"Subscriptions to SIRIUS have increased dramatically over the past
several years," said Phil Martens, Ford's Group Vice President of
Product Creation. "So, it's only natural that Ford would want to
continue to make SIRIUS' unique mix of programming available to Ford
buyers in the future. Our relationship provides customers with the best of
both worlds -- innovative technology, style and driving experience."
"We are delighted that Ford has decided to extend its exclusivity
with SIRIUS, enabling future Ford buyers to experience the best
programming in satellite radio," said Mel Karmazin, CEO of SIRIUS.
"Ford and SIRIUS are both dedicated to providing our customers with
the best quality possible. Now, Ford buyers can be assured that our two
companies will continue to work together in the future to make their
driving experience even more pleasurable."
Earlier this year, Ford and Lincoln Mercury announced plans to target
up to 21 vehicle lines for factory installation of SIRIUS over the 2006
and 2007 model years, and announced that they expect to generate up to one
million SIRIUS subscribers over the two model year period. In total,
nearly 90% of Ford and Lincoln Mercury vehicles will have SIRIUS as a
factory installed option for the 2008 model year. Factory installed
volumes are expected to significantly increase.
Land Rover recently announced plans to offer SIRIUS as a
factory-installed option on select vehicle lines, beginning with the 2006
model year. Volvo, Jaguar and Mazda currently offer SIRIUS as a
dealer-installed option, with future plans to offer SIRIUS as a
factory-installed option and/or as an option installed as overseas
vehicles enter U.S. ports.
Ford has the option to extend the agreement through September 2013. The
agreement also contains customary terms and conditions, including
termination rights. Beginning in January 2009, Ford may elect to become
nonexclusive under the agreement, in which case Ford would forfeit all
future economic benefits, which could be significant.
About SIRIUS Satellite Radio
SIRIUS delivers more than 120 channels of the best commercial-free
music, compelling talk shows, news and information, and the most exciting
sports programming to listeners across the country in digital quality
sound. SIRIUS offers 65 channels of 100% commercial-free music, and
features over 55 channels of sports, news, talk, entertainment, traffic
and weather. SIRIUS also broadcasts live play-by-play games of the NFL and
NBA, and is the Official Satellite Radio partner of the NFL.
Click on http://www.sirius.com
to listen to SIRIUS live, or to find a
SIRIUS retailer or car dealer.
Any statements that express, or involve discussions as to,
expectations, beliefs, plans, objectives, assumptions, future events or
performance with respect to SIRIUS Satellite Radio Inc. are not historical
facts and may be forward-looking and, accordingly, such statements involve
estimates, assumptions and uncertainties which could cause actual results
to differ materially from those expressed in any forward-looking
statements. Accordingly, any such statements are qualified in their
entirety by reference to the factors discussed in our Annual Report on
Form 10-K for the year ended December 31, 2004 filed with the Securities
and Exchange Commission. Among the key factors that have a direct bearing
on our operational results are: our dependence upon third parties,
including manufacturers of SIRIUS radios, retailers, automakers and
programming partners, our competitive position and any events which affect
the useful life of our satellites.
O-SIRI SOURCE SIRIUS Satellite Radio
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