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Sirius Satellite Radio Deployed In 11 States, Sales Ramp Up

By Amy Gilroy -- TWICE, 4/29/2002

Sirius Satellite Radio announced last week that its service is now available in eleven states, with seventeen more to receive service as of May 15.

Sirius has been deployed statewide in Arizona, Colorado, Idaho, Iowa, Kansas, Montana, Nebraska, New Mexico, North Dakota, South Dakota and Wyoming. These are states which have limited choice in radio programming and which include a large trucking market

By May 1, seven more states are slated to receive Sirius service including Arkansas, Louisiana, Minnesota, Missouri, Nevada, Oklahoma and Utah. On May 15th, Alabama, Indiana, Kentucky, Michigan, Mississippi, Ohio, Tennessee, Texas, West Virginia and Wisconsin will come on line and Sirius will be available nationally on July 1, the company said.

According to supplier estimates, Sirius Satellite Radio signed up less than 6,000 subscribers in its initial launch phase.

During the launch period from Feb. 14 to mid-April, Clarion and Kenwood said they each shipped 1,000 Sirius tuners and sold out of inventory. Jensen shipped 4,000 tuners during that period but did not divulge sell-through data.

Kenwood said it sold out of its first allotment in three weeks and Clarion said it "was encouraged" by how quickly it sold out of its initial allotment, according to Jeff Abrams, manager of technical marketing.

For the current launch phase, Kenwood said it shipped quantities of "well over 1,000 tuners" by the end of April according to VP sales and marketing Bob Law and Clarion said it expects to ship another thousand units, also by the end of April. The second launch phase includes Arizona, Colorado, Idaho, Iowa, Kansas, Montana, Nebraska, New Mexico, North Dakota, South Dakota and Wyoming.

Ed Maloney, president of Cowboy Maloney's Electric City, which kicked off the Sirius launch in Jackson, said sales "are going pretty well. Until Sirius expands the rollout we still have a very limited market; we can only sell in one store but we have stores all over the state. We also have to qualify a customer and make sure they live in the launch area so that they get service." He said Sirius is outselling XM 2-to-1 at its location.

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