Date: 01-14-2008
XM Satellite Radio Holdings Inc. and Starbucks Corp., have ended a marketing deal that included music promotions in the coffee chain's stores and co-branded CD releases. The companies cited the reason to end the pact as "mutual." XM Satellite disclosed a $22 million stock payout to Starbucks in connection with the termination of the marketing deal. XM and Starbucks signed this marketing deal in 2004 which was originally scheduled to last through 2009. XM Satellite is currently under $5 billion merger plans with Sirius Satellite Radio Inc., which has received approval from shareholders of both companies, but is currently under surveillance by the Federal Communications Commission.
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