...NEW YORK (Standard & Poor's) Oct. 6, 2004-- Standard & Poor's Ratings Services said today that Sirius Satellite Radio Inc.'s (###/Stable/--) exclusive five-year agreement with radio personality Howard Stern and his production company does not affect the company's rating or outlook. Under the agreement, Stern will produce one or more channels, which will include his weekday morning show, for Sirius's pay radio service, starting on Jan. 1, 2006. While the popular shock jock, who has roughly 12 million regular daily listeners for his nationally syndicated show, should help accelerate subscriptions for Sirius, his participation will also boost operating costs substantially. Estimated annual fixed costs for the agreement are $100 million, plus various stock incentive compensation and revenue-sharing arrangements. This adds to the company's already considerable operating costs, which is a concern given that Sirius incurred a $304 million discretionary cash flow deficit in the 12 months ended...
