WASHINGTON, July 25 /EMWNews/ -- XM Satellite Radio

Holdings Inc. (Nasdaq: XMSR) today announced that it has executed the

previously disclosed amendment of the indenture for its $400 million

aggregate principal amount of 1.75% Convertible Senior Notes due 2009.

Pursuant to the amendment and subject to consummation of the proposed

merger of XM with a subsidiary of Sirius Satellite Radio Inc., the interest

rate on the convertible notes will be increased to 10% per annum,

retroactive to July 2, 2008. As previously announced, XM entered into an

agreement with holders of the convertible notes to increase the interest

rate on the notes and such holders have agreed not to assert any claim that

the merger constitutes a "Fundamental Change" under the indenture. In light

of the amendment, holders of the convertible notes are no longer required

to obtain joinders upon transfer of their notes.