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Satellite Radio Expands Subscriber Base Again

10/13/2010 09:29:15 AM Eastern

New York - Sirius XM expanded its subscriber base for
the fifth consecutive quarter during the three-month period ending September,
adding more net new subscribers than it did during the year-ago period but
fewer than it did in the second

The company also reported
year-over-year and sequential gains in the conversion rate from a trial
subscription included in the sale of a new vehicle to a self-pay subscription

 In the third quarter, the satellite-radio
company added 334,727 net new subscribers, up from a year-ago addition of
102,295 subscribers but down from the second quarter's 583,249. First-quarter
nets adds were 171,441.

 For the three quarters ending September,
Sirius XM added 1,089,417 net new subscribers, compared with a year-ago
three-quarter net subscriber loss of 488,126. The total subscriber base reached
a record 19,862,175 subscribers at the end of September for gain of more than
1.3 million compared with September 2009.

 The company forecasts it will end the year
with a subscriber base of 20.1 million, up about 1.3  million from the end of 2009, which marked
satellite radio's first-ever subscriber-base contraction. The subscriber base
shrank 1.2 percent in 2009.

 The company will break out third-quarter net
adds by retail and OEM channel when it issues its third-quarter financial
report in November.

 In reporting conversion rates from a trial
subscription to a self-pay subscription, the company said the rates improved in
the third quarter on both a year-over-year and sequential basis. The
third-quarter conversion rate hit 48.1 percent, up from a year-ago 46.2 percent
and up from the second quarter's 46.7 percent, which in turn was up from a
year-ago 44.3 percent.

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