Mel Karmazin Named Chief Executive Officer of SIRIUS Satellite Radio
Joseph P. Clayton to Remain as Chairman of the Company
NEW YORK - November 18, 2004 - The Board of Directors of SIRIUS Satellite Radio (NASDAQ: SIRI) has named Mel Karmazin as Chief Executive Officer. He succeeds Joseph P. Clayton, who will remain at SIRIUS as Chairman of the Board of Directors.
Mr. Clayton said, "The hiring of Mel Karmazin is the final piece in the turnaround of SIRIUS that began when I joined the company three years ago. My contract was ending on December 31, and I advised the Board of Directors that I was willing to stay on for a transitional period. When Mel left Viacom, we all felt we had a unique opportunity."
Mr. Clayton added, "I am very confident that Mel will accelerate the very positive momentum that we have established at SIRIUS in the past two years. Our recent announcement of the signing of Howard Stern, our exclusive relationship with the National Football League and the partnerships with automakers such as DaimlerChrysler, Ford and BMW are all indications that satellite radio has a central role in the future of broadcast media. We fully expect to achieve the subscriber projections we have given to Wall Street for this year."
Mr. Karmazin, who served as President and COO of Viacom until earlier this year, said, "This is a perfect opportunity for me because I want to lead a growth company that can reshape the landscape of the radio business. I took Infinity Broadcasting and Westwood One to leadership positions in the industry and am confident that SIRIUS will become a market leader in short order. I will inherit a first-class management group led by co-presidents Scott Greenstein and James Meyer. I look forward to working closely with Joe Clayton and the strong team that he has assembled."
Mr. Greenstein said, "Mel Karmazin is a legend in the entertainment industry and can help us build the new medium of satellite radio." Mr. Meyer added, "I see increased enthusiasm in our retail channel and more confidence in our automotive partners. They can see what we are doing with the SIRIUS brand and service offering."
SIRIUS, now available to over 10 million DISH Network satellite TV and SIRIUS Satellite Radio subscribers, provides listeners with over 120 channels of the best commercial-free music, sports, information and entertainment, with digital quality sound coast-to-coast, broadcast daily from New York City, Los Angeles, Nashville, New Orleans, Houston and Daytona. SIRIUS offers 65 channels of 100% commercial-free music, and features over 55 channels of world-class sports, news, talk, entertainment, traffic and weather for a monthly subscription fee of only $12.95, with greater savings for upfront payments of multiple months or a year or more. SIRIUS also broadcasts live play-by-play games of the NHL and the NFL, and is the Official Satellite Radio partner of the NFL.
SIRIUS Satellite Radio products for the car, truck, home, RV and boat are manufactured by Alpine, Audiovox, Blaupunkt, Brix Labs, Clarion, Delphi, Eclipse, Jensen, JVC, Kenwood, Sanyo and XACT Communications and can be purchased at major retailers including Advance Auto Parts, Audio Express, Best Buy, Car Toys, Circuit City, Crutchfield, Good Guys, Office Depot, Sears, Tweeter, Ultimate Electronics and Wal-Mart, along with RadioShack and DISH Network outlets. SIRIUS is also available at heavy truck dealers and truck stops nationwide.
SIRIUS' exclusive automotive partners DaimlerChrysler, Ford and BMW represent over 40% of new cars and light trucks sold annually in the United States. Automotive brands currently offering SIRIUS radios in select new car models include BMW, MINI, Chrysler, Dodge, Jeep , Nissan, Infiniti, Mazda, Audi, Ford, Lincoln-Mercury, Mercedes-Benz, Porsche and Volkswagen. Automotive brands that have announced plans to offer SIRIUS radios in select models include Jaguar, Volvo, Land Rover and Aston Martin. In 2004, SIRIUS radios are expected to be available in over 80 different car models, with more than 50 of them factory programs. SIRIUS is also available as a factory option on select Freightliner, Kenworth and Peterbilt Class 8 trucks.
Also, Hertz currently offers SIRIUS in over 30 vehicle models at 53 major locations around the country. In addition, the Penske companies - Penske Auto Group and United Auto Group - are offering SIRIUS radios as a factory installed option, where available, in their cars and trucks through their dealerships.
In addition, some of the best names in boating and recreational vehicles offer SIRIUS including Carver, Formula, Four Winns, Glastron, Godfrey, Hydra Sports, Larson, Lowe, Mastercraft, Monterrey, Ranger, Regal, Sea Ray, Skier's Choice and Wellcraft, as well as RV and coach builders Winnebago, Fleetwood, American Coach, Starcraft and Alfa Leisure.
Click on www.sirius.com to listen to SIRIUS live, or to find a SIRIUS retailer or car dealer in your area.
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, 2003 filed with the Securities and Exchange Commission. Among the key factors that have a direct bearing on our results of operations are: our dependence upon third parties to manufacture, distribute, market and sell SIRIUS radios and components for those radios; the unproven market for our service; our competitive position and any events which affect the useful life of our satellites.