Sirius Says Some of Its Radios Don't Comply With FCC Rules
Associated Press

July 20, 2006 9:13 a.m.

http://online.wsj.com/article/SB115340040688912349.html?mod=technology_main_whats_news


NEW YORK -- Sirius Satellite Radio Inc. has found that some of its radio 
units with FM transmitters didn't comply with Federal Communications 
Commission rules, the company said in a regulatory filing Thursday.

Sirius says it has taken steps to correct the problem and believes that the 
units currently in production comply with FCC standards. However, the 
company also said it had found in an internal review that some of its staff 
had asked manufacturers to make radio units that didn't comply with FCC rules.

Sirius said it is taking "significant steps" to make sure that doesn't 
happen again, including adopting a "comprehensive compliance plan" that was 
approved by its board of directors.

Sirius competitor XM Satellite Radio Holdings Inc. has also had FCC 
compliance problems with its own units that contain FM transmitters. Late 
Wednesday, XM said the FCC had rejected its proposed solution for bringing 
certain radio units into compliance with FCC standards.

Both sets of units are designed to be used in cars, where they send the 
satellite radio signal to a standard FM radio over a frequency that isn't 
being used by a regular radio station. The signal for some of these 
transmitters was found to be too strong, but the companies said there was 
no health or safety issue involved.

Sirius said in its filing Thursday that it didn't expect the issues to have 
any effect on its financial guidance.


================================
George Antunes, Political Science Dept
University of Houston; Houston, TX 77204
Voice: 713-743-3923  Fax: 713-743-3927
antunes at uh dot edu



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