Canadian Satellite Radio Holdings Inc. Fourth Quarter and Year Ended - PowerPoint PPT Presentation

Canadian Satellite Radio Holdings Inc. Fourth Quarter and Year Ended August 31, 2007 1

Forward-Looking Statements Certain statements included above may be forward-looking in nature. Such statements can be identified by the use of forward-looking terminology such as "expects," "may," "will," "should," "intend," "plan," or "anticipates" or the negative thereof or comparable terminology, or by discussions of strategy. Forward-looking statements include estimates, plans, expectations, opinions, forecasts, projections, targets, guidance or other statements that are not statements of fact. Although CSR believes that the expectations reflected in such forward-looking statements are reasonable, it can give no assurance that such expectations will prove to have been correct. CSR's forward- looking statements are expressly qualified in their entirety by this cautionary statement. CSR makes no commitment to revise or update any forward-looking statements in order to reflect events or circumstances after the date any such statement is made. Additional information identifying risks and uncertainties is contained in CSR's filings with the Canadian securities regulators, available at www.sedar.com. 2

Strategic Review John Bitove 3

Strong Performance in 2007 • Cash usage declines to $800,000 in the fourth quarter • NHL exclusivity gaining momentum • Subscribers increase >100% to over 306,000 • Over 50% share at major retailers in September • 285,000 vehicles with factory installed XM Satellite Radios on the road or on order 130 unbeatable channels, including news, talk, sports, 4 4 entertainment, children’s content & specialty channels

Growing Retail Market Share XM Canada’s Market Share of Major Retailers 52% 49% 26% Jul-07 Aug-07 Sep-07 Source: XM Canada 5

Leading the OEM Market in Canada Vehicles with Factory Installed XM Satellite Radios* 480,000 285,000 78,000 2006 2007 2008E ** 6 * Cumulative vehicles on the road and on order. ** As of October 2007.

Expanding Through Strategic Partnerships • Air Canada: As exclusive music channel provider for Canada’s largest airline, we have the opportunity to access more than 32 million flight passengers every year • Avis Budget Group: This partnership introduces XM Satellite Radio into Avis and Budget rental cars across Canada • TELUS and Rogers: Agreements with both TELUS and Rogers gives us access to two-thirds of more than 18M wireless customers in Canada 7 7

Leading the Canadian Satellite Radio Market XM Canada Sirius Canada Jazz 3 3 Lifestyle 5 5 Dance 3 2 Classical 5 5 World 3 3 Christian 3 3 Kids 2 2 Comedy 4 4 Rock/Urban/Country/Hits/Latin 47 45 Sports/News/Talk 55 38 Total 130 110 8 Source: XM Canada and the Sirius Canada website

Scoring With NHL Exclusivity • Exclusive satellite radio partner of the NHL until 2015 • Comprehensive coverage with nine play-by-play channels • NHL Hour , a candid interactive talk show hosted by NHL Commissioner, Gary Bettman • Already seeing positive impact of NHL exclusivity on key areas of our business: – subscriber growth – retail market share 9

Looking Forward to 2008 • Growth in OEM as XM radios become a standard feature in several automotive models • Subscriber growth expected to be driven by: – NHL – better retail sales execution – dominant position in OEM – strategic partnerships • Focused on achieving positive cash flow Canada’s premier digital audio entertainment & information company 10 10

Financial Review Michael Washinushi 11

Subscribers 306,300 269,900 237,500 188,100 151,600 185,400 152,500 136,400 101,800 91,200 Q4 '06 Q1 '07 Q2 '07 Q3 '07 Q4 '07 Self-Paying Other Paying OEM Promotional 12

Revenue ($ millions) 21.2 6.8 6.9 3.4 Q4 FY 2006 2007 13

Lower ARPU, Higher Deferred Revenue (Cash) Change in Deferred Revenue* ARPU (millions) $12.23 $10.1 $11.78 $11.33 $11.32 $4.0 $3.1 $2.0 Q4 FY Q4 FY 2006 2007 2006 2007 14 * Includes current and long-term deferred revenue.

SAC and CPGA SAC CPGA $268 $242 $208 $68 $183 $59 $58 $51 Q4 FY Q4 FY 2006 2007 2006 2007 15

Cost per Average Self-Paying Subscriber Customer Care and Billing Operations Broadcast & Operations $7.45 $6.39 $4.25 $3.35 $4.07 $2.24 $1.90 $1.16 Q2 '06 Q3 '06 Q4 '06 Q4'07 Q2 '06 Q3 '06 Q4 '06 Q4 '07 2006 2007 2006 2007 General & Administrative $45.11 $21.33 $23.28 $7.51 Q2 '06 Q3 '06 Q4 '06 Q4 '07 16 2006 2007

Adjusted Operating Loss ($ millions) Q4 FY (12.2) (14.4) (50.6) (56.4) 2006 2007 17

Quarterly Cash* Usage ($millions) $12.6 $8.7 $8.3 $0.8 Q1 '07 Q2 '07 Q3 '07 Q4 '07 * Includes changes in cash and short-term investments. 18

Liquidity ($ millions) • Pro forma includes the net proceeds of the convertible debenture • Based on USD/CAD exchange rate of $0.96 (as of Nov 13/07), the Senior notes would be valued at C$96M Aug 31, Aug 31, Pro forma (1) Aug 31, 2007 2006 2007 Cash and short-term investments 45.2 14.8 34.3 Restricted investments 33.0 19.3 19.3 Total cash and investments 78.2 34.1 53.6 Outstanding Debt Senior notes 110.7 105.6 105.6 XM credit facility drawn (2)(3) ― 2.1 2.1 Convertible debentures, net proceeds ― ― 19.5 Available & Unused Credit Facilities XM credit facility undrawn 45.0 42.9 42.9 19 (1) Pro forma for net proceeds of C$20 million convertible debentures issued September 12, 2007. (2) Total amount drawn on the credit facility, including both the liability and equity components. (3) Includes accumulated interest expense on facility.

Q&A 20

Canadian Satellite Radio Holdings Inc. Fourth Quarter and Year Ended August 31, 2007 21