XM Satellite Radio Holdings Inc.

1500 Eckington Pl. NE

Year founded: 1992

Industry: Media

Post 200 Category: Top 125 Companies

Revenue: $244.44 Million

Net Income/Loss: ($642,368,000.00)

Earnings per share: ($3.30)

Dividend: n/a

Stockholder equity: $336.16 Million

Auditor: KPMG LLP

Stock: XMSR

Assets: $1.82 Billion

Market capitalization: $6.09 Billion

52-week high: 40.89 12/20/2004

52-week low: 20.35 5/10/2004

President and CEO: Hugh Panero

CFO: Joseph J. Euteneuer

Employees: 577

Local employees: 446

Description: XM Satellite Radio is the nation's largest satellite radio service, with more than 150 digital-quality channels coast to coast. XM subscribers pay $9.95 or $12.95 a month for two Boeing Co. satellites, "XM Rock" and "XM Roll," to beam a wide array of music and talk channels into specially equipped radios.

Developments: While neither has turned a profit yet, XM and its New York-based rival Sirius Satellite Radio Inc. spent much of 2004 trying to outdo each other with high-profile programming deals. XM inked a broadcast and marketing agreement with Major League Baseball worth up to $650 million over 11 years. Sirius, meanwhile, landed shock jock Howard Stern at a cost of $500 million over five years. Sirius also signed a $220 million, seven-year deal with the National Football League in 2003. XM's talent roster has a slew of less expensive stars, such as former NPR "Morning Edition" host Bob Edwards and onetime Watergate figure G. Gordon Liddy. The cost of XM's content deals, and of research and development, produced wider losses for the year: $642.4 million, compared with $584.5 million in 2003. But company officials said they still expect to break even in 2006 because of the pace of subscriber growth. In the first quarter of 2005, XM added 540,000 subscribers, bringing the total number of subscribers to 3.77 million — compared with 1.2 million for rival Sirius. Part of that success was due to the introduction of Delphi XM Satellite MyFi, the first portable satellite radio receiver. Growth in the number of subscribers sent XM's revenue for 2004 soaring to $244.4 million, up from $91.8 million for 2003. The cost to add each new subscriber fell from $137 in 2003 to $100 in 2004. The real growth in the future, analysts said, is in the automobile market. XM has agreements with carmakers such as Honda, General Motors and Nissan to install XM in a total of 1.5 million model year 2005 cars. XM hopes to reach a total of 5.5 million subscribers by the end of this year. To keep up with anticipated growth, XM launched a third satellite in February; a fourth is under construction. The theme for 2005 is likely to be convergence. XM and its rival each has approached Apple about adding satellite radio content to iPods, but Apple so far isn't interested. Not to be deterred, XM executives are in talks with other electronics makers about getting XM content on MP3 players, cell phones and other devices.

Executive Compensation
President and CEO: Hugh Panero
Total Cash: $1,052,704.00
Total Compensation: $28,757,809.00

Chairman: Gary Parsons
Total Cash: $728,511.00
Total Compensation: $26,955,019.00

CFO: Joseph J. Euteneuer
Total Cash: $520,398.00
Total Compensation: $3,476,579.00

Executive Vice President, Sales: Stephen Cook
Total Cash: $443,569.00
Total Compensation: $3,401,431.00

Executive Vice President: Stelios Patsiokas
Total Cash: $434,653.00
Total Compensation: $3,392,886.00