NEWS RELEASE HONDA TO DOUBLE PRODUCTION OF VEHICLES FACTORY-INSTALLED WITH XM RADIO FOR 2005 MODEL YEAR 4/7/2004 GROWING FROM 200,000 IN MODEL YEAR '04 TO 400,000 FOR MODEL YEAR '05 Washington D.C., April 07, 2004 -- XM Satellite Radio (NASDAQ: XMSR), the pioneer and leader in satellite radio, today announced that American Honda will increase the number of models which will be sold with XM radios as standard equipment for the 2005 model year. Honda estimates that the number of models should result in an increase in sales from 200,000 vehicles in 2004 to 400,000 vehicles in 2005. All of Honda's XM-equipped models will be sold with a three-month free trial subscription. "Throughout the 2004 model year, Honda has been increasing the sale of XM-equipped vehicles faster than expected," said Hugh Panero, XM President and CEO. "XM is thrilled that American Honda will broaden the availability of XM in such a significant way for the 2005 model year." "XM is proving to be a very popular feature that our customers want to see offered on a broader range of models," said Tom Elliott, Executive Vice President of American Honda Motor Co., Inc. "It's a feature that adds real value to the product and the customer experience." According to American Honda Motor Co., Inc., a total of seven model year 2005 Acura and Honda models will include XM as a factory-installed standard feature. Further details regarding XM availability on additional 2005 models will be announced later this year by American Honda. For the 2004 model year, XM is a standard factory- installed feature on the Acura RL, Acura TL and select Honda Accord models. Also, XM is available as a dealer- 1 installed option on the 2004 Honda Pilot, Honda Odyssey, Honda S2000 and Acura TSX. Earlier today at the New York International Auto Show, Honda debuted the all-new 2005 Acura RL, featuring the groundbreaking XM NavTraffic service, which enables a vehicle's on-board navigation system to display current traffic information for a driver's chosen route, and XM Satellite Radio's 120-plus channels of commercial-free music and premier news, sports, talk, and entertainment, both available as standard features. XM Satellite Radio will have its products on display at Booth CP11 in the Crystal Palace at the New York International Auto Show from April 7 to April 18. About XM Satellite Radio XM is America's #1 satellite radio service with more than 1.6 million subscribers today. Broadcasting live daily from studios in Washington, DC, New York City and Nashville, Tennessee at the Country Music Hall of Fame, XM's 2004 lineup includes more than 120 digital channels of choice from coast to coast: 68 commercial-free music channels, featuring hip hop to opera, classical to country, bluegrass to blues; 33 channels of premier sports, talk, comedy, children's and entertainment programming; and 21 channels of the most advanced traffic and weather information for major metropolitan areas nationwide. Affordable, compact and stylish XM satellite radio receivers for the home, the car, the computer and boom boxes for "on the go" are available from retailers nationwide. In addition, XM is available in more than 80 different 2004 car models. XM is a popular factory-installed option on more than 40 new General Motors models, as well as a standard feature on several top-selling Honda and Acura models. Avis customers can enjoy XM as a standard feature in the company's premium and luxury vehicles, and JetBlue Airways and AirTran Airways passengers will be able to listen to XM's programming in-flight later in 2004. For more information about XM, visit www.xmradio.com. Factors that could cause actual results to differ materially from those in the forward-looking statements in this press release include demand for the Company's service, the Company's dependence on technology and third party vendors, its potential need for additional financing, as well as other risks described in XM Satellite Radio Holdings Inc.'s Form 10-K filed with the Securities and Exchange Commission on 3-15-04. Copies of the filing are available upon request from XM Radio' s Investor Relations Department. Media Contact 2 Allen Goldberg Phone: 202-380-4316 [email protected] 3.