NEW YORK, ENGLEWOOD, Colo., and FORT WORTH, Texas, Feb. 12 /PRNewswire-FirstCall/ -- RadioShack Corporation (NYSE: RSH), EchoStar Communications Corporation (Nasdaq: DISH) and SIRIUS Satellite Radio (Nasdaq: SIRI) today announced the formation of a satellite entertainment alliance that positions EchoStar's DISH Network and SIRIUS as the only satellite entertainment brands offered at RadioShack. DISH Network also announced it will make SIRIUS music programming available to the majority of its 9-million customers
. The three-way alliance allows RadioShack to offer DISH Network -- a service offering already available at RadioShack -- and SIRIUS Satellite Radio, providing customers with one-stop shopping for their satellite entertainment needs.
This satellite entertainment alliance will substantially increase both DISH Network's and SIRIUS' sales presence throughout the country and is expected to open up new markets for both satellite broadcasters as they tap into RadioShack's ubiquitous distribution network and knowledgeable sales associates.
"The synergy created through these new arrangements with SIRIUS and DISH Network is a win for everyone involved," said Leonard Roberts, Chairman and Chief Executive Officer of RadioShack. "RadioShack has long had the reputation for introducing consumers to innovative, leading edge products, and at the same time making it easy for them to buy and activate subscription-based products and services. With our engaged, knowledgeable sales associates and 7,000 points of distribution in every neighborhood in America, we're in the unique position of being a market-maker for innovative technologies. This affiliation fits perfectly into our plans to be a complete entertainment source for America's consumers."
Beginning in mid-2004, RadioShack will distribute, sell and market SIRIUS in-home and transportable satellite radios, through more than 7,000 neighborhood retail stores in the U.S. and through www.RadioShack.com
. RadioShack plans to offer a variety of portable Plug & Play and home do-it-yourself products, including docking kits and boomboxes, featuring SIRIUS' service offerings.
"These agreements represent a giant step forward for SIRIUS which should generate significant additional subscribers," said Joseph P. Clayton, President and Chief Executive Officer, SIRIUS. "Now, millions of RadioShack and DISH Network customers will be able to experience for themselves the pleasures of SIRIUS Satellite Radio's 100% commercial-free music, and to see how this programming can add a valuable dimension to their overall entertainment. We are confident that once they hear SIRIUS, they will be eager to have our service -- including a strong news line-up and unequalled NBA, NHL, and NFL sports coverage -- in their vehicles or boats as well. We also know that RadioShack excels in taking new products from introduction to mass acceptance, and covers the country more completely than anyone with their vast network of retail stores. Together, we're an unbeatable combination."
"DISH Network provides the best content at the lowest price possible," said Charles Ergen, Chairman and Chief Executive Officer of EchoStar. "These alliances with RadioShack and SIRIUS significantly strengthen our distribution with a pre-eminent services retailer in America -- RadioShack, and give DISH Network customers the best music experience available -- SIRIUS Satellite Radio. We believe these partnerships will add tremendous value for all of our customers and provide our retailers with a sales tool that is complementary to satellite TV."
RadioShack, DISH Network and SIRIUS plan to work together to provide advertising and marketing support for their satellite entertainment alliance. This will include print and radio broadcast advertising, as well as monthly promotional flyers and inserts to customers, plus in-store displays, sales training and other promotional activities.
EchoStar, SIRIUS and RadioShack also announced that the three companies intend to develop other marketing strategies to promote their alliance, including possible development of other innovative product and service offerings.