News Release
WORLDSPACE® Inc. Satellite Radio Reports Going Concern Qualification
SILVER SPRING, MD--April 4, 2008--WORLDSPACE® Satellite Radio (NASDAQ:WRSP), one of the world leaders in satellite-based digital radio services, today announced that its independent registered public accounting firm, Grant Thornton LLP, has included an explanatory paragraph in their audit opinion for the fiscal year ended December 31, 2007, and included in the Company's Annual Report on Form 10-K filed on March 31, 2008, that expresses doubt about the Company's ability to continue as a going concern based on its current financial resources. The Company acknowledges it needs to raise additional capital this year.
As of December 31, 2007, the Company had cash and cash equivalents and short term investments of approximately $3.6 million. The going concern qualification is based upon the Company's current financial resources. The Company confirms its need to secure additional capital to fund operations before the end of the second quarter of 2008.
This announcement is being made in compliance with Nasdaq Marketplace Rule 4350(b)(1)(B), which requires separate disclosure of receipt of an audit opinion that contains a going concern qualification.
About WORLDSPACE® Satellite Radio
Based in the Washington, DC metropolitan area, Worldspace, Inc.
(NASDAQ:WRSP) is the world's only global media and entertainment
company positioned to offer a satellite radio experience to consumers
in more than 130 countries with five billion people, driving 300
million cars. WORLDSPACE® delivers the latest tunes, trends and
information from around the world and around the corner. WORLDSPACE
subscribers benefit from a unique combination of local programming,
original WORLDSPACE content and content from leading brands around the
globe including the BBC, CNN International, RFI and Virgin Radio UK.
WORLDSPACE has two satellites covering two-thirds of the earth's population with six beams. Each beam is capable of delivering up to 80 channels of high quality digital audio and multimedia programming directly to WORLDSPACE Satellite Radios anytime and virtually anywhere in its coverage areas. WORLDSPACE is a pioneer of satellite-based digital radio services (DARS) and was instrumental in the development of the technology infrastructure used today by XM Satellite Radio. For more info, visit http://www.WORLDSPACE.com.
Forward-looking Statements
This press release may contain certain forward-looking statements
within the meaning of the Private Securities Litigation Reform Act of
1995. These statements are based on management's current expectations
or beliefs about future events and financial, political and social
trends and assumptions it has made based on information currently
available to it. The Company cannot assure that any expectations,
forecasts or assumptions made by management in preparing these
forward-looking statements will prove accurate, or that any
projections will be realized. Such forward-looking statements may be
affected by inaccurate assumptions or by known or unknown risks or
uncertainties. Actual results may vary materially from those expressed
or implied by the statements herein. For factors that could cause
actual results to vary, perhaps materially, from these forward-looking
statements, please refer to the Company's Form 10-K, filed with the
Securities and Exchange Commission, and other subsequent filings.
Forward-looking statements contained herein speak only as of the date
of this release. The Company does not undertake any obligation to
update or revise publicly any forward-looking statements, whether to
reflect new information, future events or otherwise.
Media Inquiries: Contact Us.