XM Satellite Radio to Be Featured on the 2004 Volkswagen 'Satellite Blue' New Beetle, Plus the 2005 New Beetle and Jetta

WASHINGTON, Feb. 18, 2004 -- XM Satellite Radio , America's leading satellite radio service, will be a standard feature on Volkswagen of America's new, limited edition 2004 Volkswagen "Satellite Blue" New Beetle, as well as a factory and dealer installed option on Volkswagen's 2005 New Beetle and Jetta.

"XM is proud to be the first satellite radio service offered as a standard feature by Volkswagen," said Hugh Panero, President and CEO of XM Satellite Radio. "The Satellite Blue New Beetle is the first vehicle whose name and theme are based on satellite radio, which is one more compelling example of XM Radio's enormous appeal to consumers."

The 2004 Volkswagen Satellite Blue New Beetle features an XM Satellite Radio receiver with free activation and a one-year subscription to the XM service. XM's 2004 programming lineup offers more than 120 digital radio channels of commercial-free music plus premiere news, sports, talk, and entertainment channels from coast to coast. XM will offer 24-hour traffic and weather channels for major metropolitan areas beginning March 1.

In addition to the standard XM radio, the 2004 Volkswagen Satellite Blue New Beetle has CD and MP3 audio capabilities and external portable audio jacks. Exclusive features include a new Satellite Blue exterior color and 17- inch alloy wheels with matching body-colored inserts.

The 2004 Volkswagen Satellite Blue New Beetle will be available for purchase at Volkswagen dealerships in the U.S. beginning in spring 2004.

XM will also be offered as a factory and dealer option in the 2005 New Beetle available later this year and in the 2005 all-new Jetta available in early 2005.

About XM Satellite Radio

XM is America's #1 satellite radio service with more than 1.5 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; 32 channels of premier sports, talk, comedy, children's and entertainment programming; and more than 20 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. 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 http://www.xmradio.com/.

  About Volkswagen of America, Inc.

Founded in 1955, Volkswagen of America, Inc. is headquartered in Auburn Hills, Michigan. It is a subsidiary of Volkswagen AG, headquartered in Wolfsburg, Germany. Volkswagen is one of the world's largest producers of passenger cars and Europe's largest automaker. Volkswagen of America and its affiliates employ approximately 3,000 people in the United States and are responsible for the sale and service of Audi, Bentley, Lamborghini and Volkswagen products through retail networks comprising approximately 800 independent U.S. dealers.