Net Gain: XM Radio Signs Ten-Year, $100M Deal With NHL

XM Satellite Radio and the NHL have inked a ten-year, $100M agreement making XM the exclusive satellite radio network of the league beginning with the ’07-08 season. XM will begin broadcasting games on a dedicated NHL channel this season and will gain exclusivity once Sirius Satellite Radio’s partnership with the league expires at the end of the ’06-07 season (THE DAILY). The HOLLYWOOD REPORTER’s Paul Bond notes the deal comes as XM and Sirius both have gained “final approval from Canada’s Federal Cabinet for bringing their services” to the country. XM said that Canadian Satellite Radio (CSR), its partner in Canada, “will fund an undisclosed portion of the NHL deal.” XM CEO Hugh Panero: “Our next goal is to be No. 1 in Canada, and we can’t think of a better content provider to join us than the NHL” (HOLLYWOOD REPORTER, 9/13). In Toronto, William Houston reports CSR “is expected to be up and running by Christmas.” NHL Commissioner Gary Bettman said that XM “promised to launch the talk radio channel no later than” January 1. Panero said that the channel “will probably be based in Canada” (GLOBE & MAIL, 9/13). Also in Toronto, Simon Tuck reports production costs “will be minimal as XM will simply feed existing local broadcasts from conventional radio stations via satellite” (GLOBE & MAIL, 9/13).

WHO’S ON? The chart below lists the sports rights held by XM and Sirius (THE DAILY).

SPORTS PROPERTIES ON XM AND SIRIUS SATELLITE RADIO
	DEAL BEGINS	LENGTH
XM SATELLITE RADIO
NHL^	2007	10
World Cup Soccer	2006	NA
IRL	2005	NA
MLB^^	2005	11
PGA Tour	2005	NA
USTA (U.S. Open Series and U.S. Open)	2005	3
NCAA (Pac-10, Big Ten, ACC football and men's and women's basketball)	2004	NA
NASCAR	2002	5
SIRIUS SATELLITE RADIO
NASCAR^^^	2007	5
NCAA (Men's Basketball Tournament)	2005	3
Wimbledon	2005	4
AVP	2004	1
CSTV	2004	NA
English Premier League^$	2004	3
NFL^#	2004	7
NHL	2004	3
NBA	2003	NA
AFL	NA	NA
Horse Racing	NA	NA

NOTES: ^ = Deal signed for $100M. ^^ = Deal signed for $650M. ^^^ = Deal signed for $107.5M. ^$ = Deal signed for $1.0M. ^# = Deal estimated at $220M. NA = Not available.