National Car Rental and Alamo Rent a Car Launch XM Satellite Radio in Rental Vehicles Nationwide

WASHINGTON, Dec. 14, 2004 -- XM Satellite Radio, the nation's leading provider of satellite radio with more than 2.5 million subscribers, today announced that Vanguard Car Rental USA Inc., operator of National Car Rental and Alamo Rent A Car, which together comprise one of the world's largest car rental companies, is now offering thousands of vehicles equipped with XM Radio nationwide.

National and Alamo customers can receive XM Radio for no additional charge on all 2005 model Chevrolet Cobalts, Pontiac G6s, and Buick LaCrosses in the two brands' fleets. The two rental brands also are offering XM for no extra charge on select 2005 Chevrolet Monte Carlos, Chevrolet Impalas and Pontiac Bonnevilles.

"We're very excited that the broad, diverse base of customers who rent National and Alamo vehicles can now experience XM Satellite Radio," said Paul Kirsch, Vice President of OEM for XM Satellite Radio. "The rental vehicle is an ideal place for consumers to experience XM Radio firsthand, and we believe that this exposure will lead many of them to get XM for the car, the home, and 'on the go.'"

"Vanguard is committed to providing our customers with the best possible rental experience, and XM Radio is just one of the ways we can do that," said Jeff Parell, Chief Operating Officer of Vanguard. "XM is the number-one satellite radio service in the country, and offers an amazing line-up of commercial-free music and a wide variety of talk and sports programming, including college basketball and football, NASCAR, and starting next spring, Major League Baseball. We know that National and Alamo customers will love the XM Radio experience."

In addition to its availability in rental vehicles and new cars, XM also offers a wide variety of products at retail stores for the holiday season, including the award-winning Delphi MyFi XM2Go, the first portable, hand-held satellite radio, and the Delphi XM SKYFi2, the first satellite radio to offer pause and replay features.

About Vanguard Car Rental USA Inc.

Vanguard Car Rental USA Inc. is the operator of the National Car Rental and Alamo Rent A Car brands. Together, National and Alamo make up one of the world's largest car rental companies, with annual revenue of $2.4 billion in 2002. Headquartered in Fort Lauderdale, Florida, the worldwide organization employs more than 14,000 associates, has more than 3,200 hundred locations in 83 countries. Domestically, Vanguard's brands serve customers with a fleet of more than 217,000 automobiles.

About XM Satellite Radio

XM is America's #1 satellite radio service with more than 2.5 million subscribers. Broadcasting live daily from studios in Washington, DC, New York City and Nashville at the Country Music Hall of Fame, XM's 2004 lineup includes more than 130 digital channels of choice from coast to coast: 68 one-hundred-percent commercial-free music channels, featuring hip hop to opera, classical to country, bluegrass to blues; more than 40 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. XM was named Best Radio Service at the 2004 Billboard Digital Entertainment Awards. Popular Science recently chose XM products for two prestigious "Best of What's New 2004" Awards. As the Official Satellite Radio Network for Major League Baseball (MLB) and the Exclusive Satellite Radio Service for NASCAR, as well as the Official Satellite Radio Service for ACC, PAC-10 and Big-10 collegiate football and basketball, XM Satellite Radio is the industry leader in sports radio programming, offering thousands of live sporting events each year.

XM, the leader in satellite radio for the automobile market through partnerships with General Motors and Honda, among others, is available in more than 110 different car models for 2005. XM also is available in Avis, National, and Alamo rental cars and will soon be available on JetBlue and AirTran Airways. Additionally, consumers can experience XM over the Internet through XM Radio Online at http://listen.xmradio.com/. For more information about XM hardware, programming and partnerships, please visit http://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 XM Satellite Radio's service, XM'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.