XM-2, a Boeing 702 satellite —
designated “Rock” — built for XM Satellite Radio, Inc. was successfully
launched today on board Sea Launch platform at the Equator in the Pacific

Liftoff occurred at 2:33 p.m. PST, and the spacecraft’s first signals were
received 70 minutes later at Perth, Australia confirming that systems are
operating normally.

“Rock” is the first of two satellites built for XM Satellite Radio, Inc.,
Washington D.C., by Boeing Satellite Systems (BSS), Inc., a unit of The
Boeing Company, (NYSE:BA). The second satellite “Roll” is scheduled to
launch in May.

The satellite will be turned over to XM Satellite Radio, Inc., in
approximately two months to begin the operational phase. XM Satellite Radio
system will deliver up to 100 channels of digital quality music, news and
information to cars, homes and other listening environments.

“We are extremely happy to launch the first of two XM Satellite Radio
spacecraft,” said Randy H. Brinkley, president of Boeing Satellite Systems.
“I’d like to congratulate Hugh Panero and the entire XM team on this
historic day. Boeing is looking forward to launching “Roll” in May and
completing the final testing on the spare third satellite. Having “Rock” and
“Roll” as two powerful Boeing 702 satellites on orbit will help XM Satellite
Radio ensure maximum signal quality and system reliability to each user. We
are proud to be a part of the first generation of digital radio.”

The XM “Rock” satellite has two 16.4 ft folding deployable S-band transmit
reflectors and one X-band global receive antenna. The satellite spans 132.5
feet in length and 46.6 feet in width, with antennas fully deployed, and has
a total spacecraft power of 18 kilowatts. To generate such high power, each
of the satellite’s two solar wings employ five panels of high-efficiency,
dual-junction gallium arsenide solar cells developed by Spectrolab, Inc., a
Boeing Satellite Systems subsidiary.

To provide 15 years’ service, the Boeing 702 carries the flight-proven xenon
ion propulsion system (XIPS), built by Boeing Electron Dynamics Devices,
another Boeing Satellite Systems subsidiary, for all on-orbit maneuvering.
The satellite carries a digital audio radio payload which features two
active transponders generating approximately 3,000 watts of radio frequency
power, making these the most powerful commercial transponders ever built.
Rock is operating in a geosynchronous orbit at 85 degrees West longitude and
weighs approximately 10,284 pounds (4,666 kg) at launch.

XM will create and package up to 100 channels of digital-quality sound and
provide coast-to-coast coverage of music, news, sports, talk, comedy and
children’s programming. XM’s strategic investors include America’s leading
car, radio and satellite TV companies — General Motors, American Honda
Motor Co. Inc., Clear Channel Communications, DIRECTV and Motient
Corporation (Nasdaq: MTNT), the company’s largest shareholder. XM has a
long-term distribution agreement with General Motors to integrate XM-ready
radios into its vehicles commencing in 2001.

Boeing Satellite Systems, Inc. is the world’s leading manufacturer of
commercial communications satellites, and is also a major provider of space
systems, satellites, and payloads for national defense, science and
environmental applications.

The Boeing Company, headquartered in Seattle, is the largest aerospace
company in the world and the United States’ leading exporter. It is the
world’s largest manufacturer of commercial jetliners and military aircraft,
and the largest NASA contractor. The company’s capabilities in aerospace
also include rotorcraft, electronic and defense systems, missiles, rocket
engines, launch vehicles, and advanced information and communication
systems. The company has an extensive global reach with customers in 145
countries and manufacturing operations throughout the Untied States, Canada
and Australia.