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                                  STATEMENT OF

                            CHAIRMAN KEVIN J. MARTIN

   Re: Sirius Satellite Radio Inc.

   Re:   XM Radio, Inc.

   The Commission has longstanding technical rules regarding the marketing of
   equipment, including FM modulators, and the construction and operation of
   terrestrial repeaters pursuant to Special Temporary Authority. These rules
   serve important consumer protection and competitive goals. As I have said
   before, the Commission takes a licensee's obligation to comply with our
   rules very seriously and will not tolerate non-compliance.

   In order to resolve the Commission's investigation into whether these
   license holders were violating the Commission's technical requirements
   regarding FM modulators, as well as our rules regarding the construction
   and operation of terrestrial repeaters, the two companies have agreed to
   undertake significant corrective actions and implement various reforms to
   ensure future compliance with the Commission's rules. They also have
   agreed to make significant contributions to the U.S. Treasury totaling
   nearly $19.6 million.

   In reaching a conclusion to these investigations, the apparently
   intentional nature of some of the violations was troubling. Indeed, the
   ability and willingness to conform one's conduct to the requirements of
   the Commission's rules are central to the qualifications of any Commission
   licensee. On balance, however, the public's interest in the continued
   availability and viability of satellite radio services and the impact on
   the public and other licensees that the violations precipitated, taken
   together with the rigorous oversight and reporting obligations and
   substantial voluntary contribution, persuade me that settlement of these
   matters would best serve the public interest.

   Through this strong enforcement action that we take today, the Commission
   has provided clear guidance to the licensees that we expect them to
   conform their conduct to the Commission's rules and sends a strong message
   that we will not tolerate non-compliance.