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This excerpt taken from the SIRI 8-K filed Mar 11, 2009. YEAR ENDED DECEMBER 31, 2008 VERSUS YEAR ENDED DECEMBER 31, 2007 For the year ended December 31, 2008, SIRIUS XM recognized total pro forma revenue of $2.4 billion compared with $2.1 billion for the year ended December 31, 2007. This 18.4%, or $378.1 million, increase in revenue was primarily driven by a $367.6 million increase in subscriber revenue resulting from the net increase in subscribers of 1,655,234 during 2008. Total ARPU for the year ended December 31, 2008 was $10.51, compared to $10.61 for the year ended December 31, 2007. The decrease was driven by an increase in the mix of discounted OEM promotional subscriptions, subscriber winback programs, second subscribers and a decline in net advertising revenue per average subscriber. The company's pro forma adjusted loss from operations decreased ($429.2) million to ($136.3) million for the year ended December 31, 2008 from ($565.5) million for the year ended December 31, 2007 (refer to the reconciliation table of net loss to adjusted income (loss) from operations). This decrease was driven by an 18.4%, or $378.1 million, increase in revenue and a 4.2%, or $129.5 million, decrease in expenses. Programming and content costs for the year ended December 31, 2008 increased 11%, or $45.2 million, including a one-time payment to a programming provider of $27.5 million due upon completion of the merger. Excluding this one-time payment, programming costs increased by 4% or $17.7 million. Revenue share and royalties expense increased by 19%, or $74.9 million, over the prior year, maintaining a flat percentage of revenue of approximately 20% in 2008 and 2007. Customer service and billing costs increased 12%, or $26.8 million, from the prior year due to a larger subscriber base, mitigated by scale efficiencies. Sales and marketing costs declined 17%, or $70.8 million, due to reduced advertising and cooperative marketing spend, offset in part by higher customer retention spending. As a percentage of revenue, sales and marketing costs improved from 20% in 2007 to 14% in 2008. Subscriber acquisition costs declined nearly 12%, or $77.6 million, and as a percentage of revenue improved from 32% to 24%. This improvement was primarily driven by a 14% improvement in SAC per gross addition due to improved product economics and lower retail and OEM subsidies. Subscriber acquisition costs also declined as a result of the 5% decline in gross additions in the year. SAC, as adjusted, per gross subscriber addition improved by 14% to $74 from $86 for the years ended December 31, 2008 and 2007, respectively. The decrease was primarily driven by lower retail and OEM subsidies due to better product economics. General and administrative costs decreased 2%, or $4.8 million, and declined as a percent of revenue, reflecting one time costs in connection with the merger in the prior year and early integration savings. Engineering, design and development costs decreased 17%, or $10.4 million, due to fewer OEM platform launches and lower product development costs.
This excerpt taken from the SIRI 8-K filed May 13, 2008. FIRST QUARTER 2008 VERSUS FIRST QUARTER 2007 For the first quarter of 2008, SIRIUS recognized total revenue of $270.4 million compared to $204.0 million for the first quarter of 2007. This 33%, or $66.4 million, increase in revenue was driven by a $64.8 million increase in subscriber revenue resulting from the net increase in subscribers of 2,063,274 from the first quarter of 2007. The company’s adjusted loss from operations decreased $44.5 million to ($39.5) million for the first quarter of 2008 from ($84.0) million for the first quarter of 2007 (refer to the reconciliation table of net loss to adjusted loss from operations). This decrease was driven by the increase in total revenue of $66.4 million offset by a $21.8 million increase in non-operating expenses. Satellite and transmission expenses decreased $0.3 million to $7.0 million for the first quarter of 2008 compared to $7.3 million for the first quarter of 2007 as a result of lower maintenance expenses in the first of quarter 2008. Programming and content expenses increased $1.8 million to $58.9 million for the first quarter of 2008 from $57.1 million for the first quarter of 2007. The increase was primarily attributable to higher compensation-related costs for additions to headcount. Revenue share and royalties increased $15.2 million to $42.3 million for the first quarter of 2008 from $27.1 million for the first quarter of 2007. This increase was attributable to the determination by the Copyright Royalty Board in January 2008 of the royalty rate under the statutory license covering the performance of sound recordings. The 33% growth in the company’s revenues also contributed to the increase in revenue share and royalties. Customer service and billing expenses increased $4.9 million to $26.6 million for the first quarter of 2008 from $21.7 million for the first quarter of 2007. The increase was primarily attributable to higher call center operating costs necessary to accommodate the increase in the company’s subscriber base. Customer service and billing expenses per average subscriber per month declined 9.0% to $1.05 for the first quarter of 2008 from $1.15 for the first quarter of 2007. Sales and marketing expenses decreased $2.2 million to $33.2 million for the first quarter of 2008 from $35.4 million for the first quarter of 2007. This decrease was primarily attributable to lower advertising and reduced cooperative marketing spend with the company’s distributors compared to the year-ago first quarter. Subscriber acquisition costs (SAC) decreased $8.4 million, or 9%, to $89.8 million for the first quarter of 2008 from $98.2 million for the first quarter of 2007. This decrease was primarily attributable to production efficiencies and a higher average retail selling price, offset by increased OEM unit production.
SAC per gross subscriber addition decreased 10% to $91 for the first quarter of 2008 from $101 for the first quarter of 2007. The decrease was driven by lower per unit subsidies due to production efficiencies
and a higher average retail selling price, offset by a higher mix of OEM gross additions. 
General and administrative expenses increased $13.4 million to $36.8 million for the first quarter of 2008 from $23.4 million for the first quarter of 2007. The increase was primarily the result of higher litigation related costs and compensation-related costs to support the growth of our business. Engineering, design and development expenses decreased $3.9 million to $7.5 million for the first quarter of 2008 from $11.4 million for the first quarter of 2007. This decrease was attributable to reduced OEM and product development costs. SIRIUS reported a net loss of ($104.1) million, or ($0.07) per share, for the first quarter of 2008 compared to a net loss of ($144.7) million, or ($0.10) per share, for the first quarter of 2007.
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