RESOLUTION OF THE INDEPENDENT SPANISH BROADCASTERS ASSOCIATION, ISBA,
          OPPOSING THE PROPOSED MERGER OF XM AND SIRIUS SATELLITE RADIO COMPANIES

                              APRIL 16, 2007

WHEREAS, XM and Sirius Satellite radio companies have announced their plans to form a government-sanctioned 
monopoly leaving only one company functioning in the satellite radio market; and 

WHEREAS, INDENPENANT SPANISH BROADCASTERS ASSOCIATION, ISBA, a trade association consisting of 
Hispanic broadcast owners of radio and televisions stations and companies from across the country and 

WHEREAS, the ISBA believes that such a merger creating a total government-sanctioned monopoly in the satellite 
radio market will be harmful to consumers, musicians, broadcasters and the public because the resulting monopoly: 

    * violates current Federal Communication Commission rules prohibiting only one provider of satellite radio in the 
      satellite radio market; 

    * will be able to exercise unlimited market power which will allow it to raise subscription rates without limit, reduce 
      program diversity and cause subscribers to incur long-run equipment costs; 

    * will be able to monopolize national and regional programming such as sports and entertainment events through 
      exclusive arrangements; 

    * will exploit its monopoly power and unfairly compete with other media for national advertising by offering artificially 
      low (subsidized) advertising rates; and 

    * will cross-subsidize its offering of new services and unfairly compete with local radio stations through its monopolization 
      of the only national multi-channel, mobile, radio service in the country. 

WHEREAS, in 1997 when the Federal Communications Commission first considered the issuance of licenses for satellite 
radio services, Sirius’ predecessor filed comments with the Commission arguing that multiple providers were necessary 
to assure competition, guarantee program diversity and expressing concern that allowing mergers such as this to occur 
in the future would “have serious anticompetitive repercussions;” and 

WHEREAS, the satellite radio market has not changed significantly to justify altering current federal regulatory prohibitions 
against such mergers; and 

WHEREAS, given the past history of violating Federal Communication Commission rules by both XM and Sirius there is 
ample cause to be concerned and alarmed that any concessions agreed to by the merging parties will not be fulfilled; and 

WHEREAS, the ISBA believes that competition is the cornerstone to an efficient and fair marketplace and that it is wrong 
for the government to sanction a monopoly in the satellite radio market and thereby disadvantage consumers, musicians, 
broadcasters and the public; now, therefore, be it 

RESOLVED by the ISBA, that the Congress, the Federal Communications Commission and the Attorney General of the 
United States and the Justice Department be urged to oppose any merger between the only two competing satellite radio 
companies and refrain from sanctioning a monopoly that such a merger will create; and 

RESOLVED FINALLY, That the President of ISBA transmit copies of this resolution to the: 

    President of the United States Senate, 
    Speaker of the U.S. House of Representatives, 
    Members of the Congress 
    Commissioners of the Federal Communications Commission, and 
    Attorney General for the United States 

so that they may be apprised of the sense of the ISBA in this matter.