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Strategies & Market Trends : Rande Is . . . HOME -- Ignore unavailable to you. Want to Upgrade?

To: ALTERN8 who wrote (12922)	9/29/1999 4:53:00 PM
From: Rande Is	Read Replies (1) \| Respond to of 57584

CD Radio Raises $200 Million; Completes Offerings of Common Stock and Convertible Debt PR Newswire - September 29, 1999 16:17 NEW YORK, Sept. 29 /PRNewswire/ -- CD Radio Inc. (Nasdaq: CDRD) today announced that it completed concurrent offerings of three million shares of common stock for $74.25 million and $125 million of its 8-3/4% Convertible Subordinated Notes due 2009. The proceeds will be used for the continued buildout of CD Radio's satellite-to-car radio broadcast system, and for general corporate purposes. CD Radio is building a digital satellite radio system that will broadcast up to 100 channels of music and other programming to motorists throughout the United States. The company plans to offer 50 channels of commercial-free music and up to 50 channels of news, sports and entertainment programming for a monthly subscription fee of $9.95. CD Radio recently announced an exclusive agreement with Ford Motor Company to install CD Radio receivers in Ford vehicles as early as fourth quarter 2000. CD Radio has also announced numerous content agreements, including agreements with National Public Radio, Bloomberg and the BBC, as well as manufacturing agreements with Panasonic, Alpine, Delphi Delco Electronics Systems and Recoton. Commercial operations are scheduled to commence at the end of the fourth quarter of 2000. The securities are covered by the company's $500 million universal shelf registration statement filed with the SEC. The underwriters of the common stock offering are Merrill Lynch, Pierce, Fennner & Smith Incorporated, Lehman Brothers Inc., Bear, Stearns & Co. Inc., Banc of America Securities LLC and C.E. Unterberg Towbin. The underwriters of the convertible subordinated notes offering are Merrill Lynch, Pierce, Fennner & Smith Incorporated, Lehman Brothers Inc., Bear, Stearns & Co. Inc. and Banc of America Securities LLC. Any statements that express, or involve discussions as to, expectations, beliefs, plans, objectives, assumptions, future events or performance 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 the forward-looking statements. Accordingly, any such statements are qualified in their entirety by reference to the factors discussed in CD Radio's Annual Report on Form 10-K for the year ended December 31, 1998. Among the key factors that have a direct bearing on CD Radio's results of operations are the potential risk of delay in implementing CD Radio's business plan; increased costs of construction and launch of necessary satellites; dependence on satellite construction and launch contractors; dependence on Lucent Technologies; risk of launch failure; unproven market and unproven applications of existing technology; unavailability of CD Radio receivers; and CD Radio's need for additional financing. SOURCE CD Radio Inc. /CONTACT: Jesse Stone, 212-453-2021, for CD Radio Inc./