Document:

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                                                                     Exhibit 4.3

                              AMENDED AND RESTATED
                               SECURITY AGREEMENT

                          Dated as of January 28, 2003

                                      from

                            XM SATELLITE RADIO INC.,

                                   as Pledgor

                                       to

                              THE BANK OF NEW YORK,

                               as Collateral Agent

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                                TABLE OF CONTENTS

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                                                                            Page
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<S>                                                                           <C>
1.   Definitions...............................................................2

2.   Grant of Security Interest................................................2

3.   Security for Obligations..................................................3

4.   Delivery of Collateral....................................................4

5.   Representations and Warranties............................................5

6.   As to the Collateral......................................................6

7.   Additional Shares.........................................................7

8.   Payment of Taxes and Claims...............................................8

9.   Covenants and Agreements..................................................9

10.  The Collateral Agent Appointed Attorney-in-Fact..........................10

11.  The Collateral Agent May Perform.........................................11

12.  The Collateral Agent's Duties............................................11

13.  Notice of Event of Default...............................................12

14.  Remedies.................................................................12

15.  Expenses.................................................................13

16.  Repayment in Bankruptcy, etc.............................................13

17.  No Segregation of Moneys; No Interest....................................13

18.  Continuing Security Interest; Termination................................14

19.  Notices..................................................................14

20.  Margin Regulations.......................................................14

21.  Other Provisions.........................................................14
</TABLE>

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                     AMENDED AND RESTATED SECURITY AGREEMENT

          AMENDED AND RESTATED SECURITY AGREEMENT (this "Agreement"), dated as
of January 28, 2003, made by XM Satellite Radio Inc., a Delaware corporation
(the "Pledgor"), to The Bank of New York, as collateral agent (the "Collateral
Agent") for the Secured Parties (as defined herein).

                                    RECITALS

          A.   The Pledgor and The Bank of New York, as Trustee (in such
capacity, the "Original Trustee"), have entered into that certain Indenture
dated as of March 15, 2000 (as amended, restated, supplemented or otherwise
modified from time to time, the "Original Indenture"), pursuant to which the
Pledgor (a) issued $325,000,000 aggregate principal amount at maturity of its
14% Senior Secured Notes due 2010 (the "Original Notes"), and (b) executed and
delivered a Security Agreement, dated as of March 15, 2000 (the "Original
Security Agreement"), to The Bank of New York, as Collateral Agent for the
benefit of the holders under the Original Indenture.

          B.   The Pledgor and The Bank of New York, as Trustee (in such
capacity, the "New Trustee"), have entered into that certain Indenture, dated as
of the date hereof, pursuant to which the Pledgor may issue up to $474,200,000
aggregate principal amount at maturity of its 14% Senior Secured Discount Notes
due 2009 (the "New Notes").

          C.   The Pledgor, XM Satellite Radio Holdings Inc., a Delaware
corporation ("Holdings"), and certain noteholders (the "Convertible Notes
Noteholders") have entered into that certain Note Purchase Agreement, dated as
of December 21, 2002, pursuant to which the Pledgor and Holdings are issuing 10%
Senior Secured Discount Convertible Notes due 2009 in an aggregate principal
amount at maturity of up to $415,800,000.

          D.   The Pledgor and Holdings have entered into (a) that certain
Credit Agreement with General Motors Corporation ("General Motors"), dated as of
the date hereof, pursuant to which the Pledgor and Holdings may receive certain
advances in an aggregate principal amount not to exceed $100,000,000, and (b)
that certain Note Purchase Agreement, with OnStar Corporation ("OnStar") dated
as of December 21, 2002, pursuant to which the Pledgor and Holdings are issuing
10% Series GM Senior Secured Convertible Notes due 2009 in the aggregate
principal amount of $89,042,387.

          E.   From time to time after the date hereof, the Pledgor may, subject
to the terms and conditions of the agreements described in Paragraphs A through
D above, incur additional indebtedness to obligees (the "Additional Creditors")
that is pari passu in right of payment to the obligations of the Pledgor under
such agreements.

          F.   The Original Trustee, the New Trustee, General Motors, OnStar,
the Convertible Notes Noteholders, the Additional Creditors that may from time
to time become party thereto and The Bank of New York, as Collateral Agent, have
entered into that certain Intercreditor and Collateral Agency Agreement (FCC
Licence Subsidiary Pledge Agreement), dated as of the date hereof (as amended,
restated, supplemented or otherwise modified from time to time, the
"Intercreditor Agreement"), pursuant to which, among other things, The Bank of

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New York was appointed to serve as Collateral Agent under this Agreement on
behalf of the Original Trustee, the New Trustee, the Convertible Notes
Noteholders, General Motors, OnStar and the Additional Creditors (the Original
Trustee, the New Trustee, the Convertible Notes Noteholders, General Motors,
OnStar and the Additional Creditors are hereinafter referred to collectively as
the "Secured Parties").

          G.   The Pledgor is the owner of the issued and outstanding capital
stock described in Schedule I hereto (the "Pledged Shares") representing 100% of
the issued and outstanding capital stock of XM Radio Inc., a Delaware
corporation (the "FCC License Subsidiary"), and there are (i) no outstanding or
existing options, warrants or other securities exercisable for, or exchangeable
for, or convertible into, capital stock of the FCC License Subsidiary and (ii)
no agreements with respect to the issuance or sale of any of the foregoing.

          H.   The Pledgor and the Collateral Agent have agreed to amend and
restate the Original Security Agreement to grant to the Collateral Agent, for
the benefit of the Secured Parties, the pledge and assignment contemplated by
this Agreement.

          In consideration of the premises, the agreements herein contained and
other good and valuable consideration, the receipt and sufficiency of which are
hereby acknowledged, the Pledgor hereby covenants and agrees with the Collateral
Agent for the benefit of the Secured Parties, to amend and restate the Original
Security Agreement in its entirety so that on and after the date hereof the
Original Security Agreement shall read in its entirety as follows:

1.   Definitions.

          All capitalized terms used but not otherwise defined herein have the
meanings given to them in the Intercreditor Agreement.

2.   Grant of Security Interest.

     (a)  The Pledgor hereby unconditionally assigns, pledges and grants to the
Collateral Agent for its benefit and the benefit of the Secured Parties, a first
priority security interest in and to all of the Pledgor's right, title and
interest in and to the following, whether now owned or existing or hereafter
arising or acquired and wheresoever located (collectively, the "Collateral"):

          (i)     the Pledged Shares and the certificates representing the
     Pledged Shares, and all dividends, cash, instruments and other property
     from time to time received, receivable or otherwise distributed in respect
     of or in exchange for any or all of the Pledged Shares;

          (ii)    all additional shares of issued and outstanding shares,
     interests, participations, warrants or other equivalents (however
     designated) of corporate stock ("Stock") of the FCC License Subsidiary from
     time to time acquired by the Pledgor in any manner, and the certificates
     representing such additional shares, and all dividends, cash, instruments
     and other property from time to time received, receivable or otherwise
     distributed in respect of or in exchange for any or all of such shares; and

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          (iii)   all Proceeds (as defined herein) of any and all of the
     foregoing Collateral (including, without limitation, proceeds that
     constitute property of the types described in clauses (i) and (ii) above).

     (b)  As used herein, the term "Proceeds" shall have the meaning assigned to
such term under Article 9 of the Uniform Commercial Code from time to time in
effect in the State of New York (the "UCC"; provided that in the event that, by
reason of mandatory provisions of law, any or all of the attachment, perfection
or priority of the Collateral Agent's security interest in any Collateral is
governed by the Uniform Commercial Code as in effect in a jurisdiction other
than the State of New York, the term "UCC" shall mean the Uniform Commercial
Code as in effect in such other jurisdiction for purposes of the provisions
hereof relating to such attachment, perfection or priority and for purposes of
definitions related to such provisions) and, to the extent not otherwise
included, shall include, but not be limited to, (i) any stock dividend or
distribution in connection with any increase or reduction of capital,
reclassification, merger, consolidation, sale of assets, combination of shares,
stock split, spin-off or split-off; (ii) any option or other right, whether as
an addition to, in substitution of or in exchange for any Pledged Shares or
otherwise; (iii) distributions payable in property (whether real, personal,
tangible, intangible, or mixed property; collectively "Property"); (iv)
dividends or distributions on dissolution, or in partial or total liquidation,
or from capital, capital surplus or paid-in surplus; (v) any and all payments
(in any form whatsoever) made or due and payable to the Pledgor from time to
time in connection with any requisition, confiscation, condemnation, seizure or
forfeiture of all or any part of the Collateral by any nation or government, any
state or other political subdivision thereof, any entity exercising executive,
legislative, judicial, regulatory or administrative functions of or pertaining
to government and any court or arbitrator (a "Governmental Body"); and (vi) any
and all other amounts from time to time paid or payable under or in connection
with the Collateral.

3.   Security for Obligations.

          This Agreement secures the payment of all of the obligations and
liabilities of any kind of the Pledgor under this Agreement and the Secured
Agreements, now or hereafter existing in each case, whether liquidated,
unliquidated, direct, indirect, fixed, contingent, matured, unmatured, disputed,
undisputed, legal, equitable, secured or unsecured, and whether for principal,
interest, fees, costs, expenses or otherwise (whether arising or accruing before
or after the occurrence of any "Event of Default" as defined in any Secured
Agreement (each, an "Event of Default") and whether discharged, stayed or
otherwise affected or allowed as a claim in any bankruptcy proceeding of the FCC
License Subsidiary), and all costs, fees and expenses of the Collateral Agent,
the Secured Parties, the Original Holders or the New Holders (including
reasonable attorneys' fees and expenses and with respect to the Collateral Agent
and reasonable allocated costs and expenses of in-house counsel and legal staff)
incurred in enforcing, preserving and protecting its rights against the Pledgor,
whether or not suit is instituted, as the foregoing obligations and liabilities
may be amended, increased, modified, renewed, refinanced, refunded or extended
from time to time (collectively, the "Secured Obligations").

          Without limiting the generality of the foregoing, this Agreement
secures the payment of all amounts that constitute part of the Secured
Obligations and would be owed by the Pledgor to the Collateral Agent or the
Secured Parties, the Original Holders or the New Holders

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under this Agreement or the Secured Agreements, as the case may be, but for the
fact that they are unenforceable or not allowable due to the existence of a
bankruptcy, reorganization or similar proceeding involving the Pledgor.

          The parties hereto intend to maintain the validity, effectiveness,
enforceability, perfection and priority of the Original Security Agreement and
this Agreement is intended, inter alia, to continue, increase and modify the
obligations and indebtedness secured by the security interests and pledges
created under the Original Security Agreement. Except as specifically provided
herein and in the Intercreditor Agreement, this Agreement shall not have the
effect of terminating, limiting, modifying or otherwise affecting the validity,
effectiveness, enforceability, perfection and priority of the security interests
or the pledges created under the Original Security Agreement, which is hereby
ratified and confirmed, as set forth herein.

4.   Delivery of Collateral.

     (a)  All certificates and other instruments at any time owned or acquired
by the Pledgor representing or evidencing the Pledged Shares or any other
Collateral shall be delivered to and held by or on behalf of the Collateral
Agent pursuant hereto and shall be in suitable form for transfer by delivery, or
shall be accompanied by duly executed instruments of transfer or assignment in
blank, all in form and substance satisfactory to the Collateral Agent. Upon the
occurrence and during the continuance of an Event of Default, the Collateral
Agent shall have the right, subject to the requirements of the Intercreditor
Agreement, without notice to the Pledgor, to transfer to or to register in the
name of the Collateral Agent or any of its nominees any or all of the
Collateral. In addition, upon the occurrence and during the continuance of an
Event of Default, the Collateral Agent shall have the right at any time to
exchange certificates or instruments representing or evidencing Collateral for
certificates or instruments of smaller or larger denominations.

     (b)  If there shall occur a change in applicable law or regulations
regarding (i) the steps necessary to obtain and maintain a perfected security
interest in any Collateral or (ii) the ability to obtain a security interest
directly in any license granted by the Federal Communications Commission or
Governmental Body succeeding to the functions thereof (the "FCC"), or if there
is Collateral for which the foregoing procedures are not effective to perfect a
security interest, the Pledgor will immediately upon its becoming aware thereof
so notify the Collateral Agent and will deliver to the Collateral Agent an
opinion of counsel setting forth the steps necessary for the Collateral Agent to
obtain and maintain such a perfected security interest in the Collateral
affected by such change or for which the foregoing procedures are not effective
to perfect a security interest, and the Collateral Agent, instead of the actions
specified in this Section 4, shall take such other action, as specified in such
opinion of counsel, as will create and maintain such perfected security
interest.

     (c)  Upon the execution and delivery of this Agreement, the Pledgor will
file, and the Collateral Agent hereby authorizes the filing of, proper financing
statements, initial financing statements in lieu of continuation statements, or
amendments to financing statements with the appropriate office or offices under
the Uniform Commercial Code, covering the Collateral described in this Agreement
and, thereafter, such renewals, amendments or continuations thereof or such
additional financing statements in such

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additional offices in such jurisdictions or in the appropriate filing offices in
such additional jurisdictions as shall be required or reasonably desirable from
time to time under the UCC in order to perfect and to continue the perfection of
the security interest in the Collateral.

5.   Representations and Warranties.

          The Pledgor hereby represents and warrants to the Collateral Agent as
follows:

     (a)  Organization; Good Standing. The Pledgor is duly organized, validly
existing and in good standing under the laws of the State of Delaware and is
duly qualified and in good standing in every other jurisdiction where it is
doing business, except where the failure to be so qualified or maintain good
standing would not have a Material Adverse Effect. The chief place of business
and chief executive office of the Pledgor are located at 1500 Eckington Place,
N.E., Washington, D.C. 20037.

     (b)  Corporate Power; Authorization. The execution, delivery and
performance by the Pledgor of this Agreement, and the performance and
consummation of the transactions contemplated hereby, (i) are within the
Pledgor's corporate authority; (ii) have been duly authorized by all necessary
or proper corporate action; (iii) are not in contravention of any provision of
the Pledgor's by-laws or charter; (iv) will not violate any law or regulation,
or any order or decree of any court or governmental instrumentality to which the
Pledgor or its property is subject; and (v) will not conflict with or result in
the breach or termination of, constitute a default under, or accelerate any
performance required by, any indenture, mortgage, deed of trust, lease,
agreement or other instrument to which the Pledgor is a party or by which the
Pledgor or any of its property is bound (except for such conflict, breach,
termination, default or acceleration as could not reasonably be expected to have
a Material Adverse Effect). Subject to Section 21(f) hereof, no authorization,
approval or action by, or notice to, or filing with, any governmental authority
or regulatory body is required under existing laws and regulations on the date
hereof (i) for the grant or perfection of the security interests contemplated
hereby or for the execution, delivery or performance of this Agreement by the
Pledgor, except as may be set forth in Section 4 with respect to actions to be
taken by the Collateral Agent, or a financial intermediary holding Collateral
and except for the filings referred to in Section 4(b) and 4(c) that may be
required in the future, or (ii) for the exercise by the Collateral Agent of the
voting or other rights provided for in this Agreement or its rights and remedies
in respect of the Collateral pursuant to this Agreement, except (A) as may be
required in connection with the disposition of Collateral by laws affecting the
offering and sale of securities, generally, and (B) with respect to Pledged
Shares, for authorizations, approvals, notices and filings that may be required
pursuant to regulations of the FCC (as defined herein), or any successor laws or
regulations.

     (c)  Enforceability. This Agreement is the legal, valid and binding
obligation of the Pledgor enforceable against it in accordance with its terms,
subject to applicable bankruptcy, insolvency, reorganization, moratorium or
similar law affecting creditors' rights or insolvent corporations generally, and
except to the extent that availability of the remedy of specific performance or
injunctive relief is subject to the discretion of the court before which any
proceeding therefor may be brought.

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     (d)  Absence of Liens. It is the sole legal and beneficial owner of the
Collateral free and clear of all Liens other than the security interest created
by this Agreement. No effective financing statement or other instrument similar
in effect covering all or any part of the Collateral is on file in any recording
office, except such as may have been filed in favor of the Collateral Agent
under this Agreement.

     (e)  Collateral. The Pledged Shares have been duly authorized and validly
issued and are fully paid and non-assessable. The Pledged Shares represent one
hundred percent (100%) of the total number of shares of the FCC License
Subsidiary which are issued and outstanding. There are (i) no outstanding or
existing options, warrants or other securities exercisable for, or exchangeable
for, or convertible into, capital stock of the FCC License Subsidiary and (ii)
no agreements with respect to the issuance or sale of any of the foregoing.

     (f)  Security Interest. This Agreement and the pledge of the Collateral
pursuant hereto create a valid and perfected first priority security interest in
the Collateral in favor of the Collateral Agent, securing the payment of all of
the Secured Obligations, and all filings and other actions necessary or
desirable as may be required by the Collateral Agent or the Secured Parties to
perfect and protect such security interest have been duly taken.

6.   As to the Collateral.

     (a)  So long as no event or circumstance which constitutes a Default shall
have occurred and be continuing:

          (i)     The Pledgor shall be entitled to exercise any and all voting
     and other consensual rights pertaining to the Collateral or any part
     thereof for any purpose not inconsistent with the terms of this Agreement
     or the Secured Agreements; provided, however, that the Pledgor shall not
     exercise or refrain from exercising any such right without the consent of
     the Collateral Agent if, in the Collateral Agent's judgment, such action or
     inaction would have a Material Adverse Effect of the type described in
     clause (a), (b), (d) or (e) of the definition thereof.

          (ii)    Any and all dividends and other distributions (whether or not
     in cash) paid or payable, and certificates, instruments and other Property
     received, receivable or otherwise distributed in respect of, or in exchange
     for, Collateral, shall be forthwith delivered to the Collateral Agent to be
     held as Collateral and shall, if received by the Pledgor, be received in
     trust for the benefit of the Collateral Agent and the Secured Parties, be
     segregated from the other Property of the Pledgor, and be forthwith
     delivered to the Collateral Agent, as Collateral in the same form as so
     received (with any necessary endorsement). Any cash dividends or
     distributions delivered to or otherwise held by the Collateral Agent
     pursuant to this Section 6, and any other cash constituting Collateral
     delivered to the Collateral Agent, shall be invested, at the written
     direction of the Pledgor (such direction to specify the particular
     investment to be made), by the Collateral Agent in Cash Equivalents.

          (iii)   The Collateral Agent shall execute and deliver (or cause to be
     executed and delivered) to the Pledgor all such proxies and other
     instruments as the Pledgor may

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     reasonably request for the purpose of enabling the Pledgor to exercise the
     voting and other rights which it is entitled to exercise pursuant to
     subsection (i) or (ii) above.

     (b)  Upon the occurrence and during the continuance of a Default (except as
provided below), at the Collateral Agent's option and following written notice
by the Collateral Agent to the Pledgor:

          (i)     all rights of the Pledgor to exercise the voting and other
     consensual rights which it would otherwise be entitled to exercise pursuant
     to Section 6(a)(i) shall cease. Except as provided in the prior sentence,
     after the occurrence and during the continuance of an Event of Default, all
     such voting and other consensual rights shall thereupon become vested in
     the Collateral Agent, who shall thereupon have the sole right to exercise
     such voting and other consensual rights, subject to the satisfaction of any
     regulatory requirements. Effective upon the occurrence and during the
     continuance of an Event of Default, the Pledgor hereby appoints the
     Collateral Agent the Pledgor's true and lawful attorney-in-fact and grants
     to the Collateral Agent an IRREVOCABLE PROXY to vote the Collateral in any
     manner the Collateral Agent deems advisable for or against all matters
     submitted or which may be submitted to a vote of shareholders. The
     power-of-attorney granted hereby is coupled with an interest and shall be
     irrevocable; and

          (ii)    the provisions of Section 6(a)(ii) shall continue in full
     force and effect, except that no dividends or distributions may be paid to
     the Pledgor.

          As used in this Agreement, the term "Material Adverse Effect" shall
mean an effect resulting from any circumstance or event of whatever nature
(including any adverse determination in any litigation) which does, or could
reasonably be expected to, materially and adversely (a) impair the validity or
enforceability of the Intercreditor Agreement or any of the Secured Agreements
or the Collateral Agent's or any Secured Party's rights or remedies with respect
thereto; (b) cause a Default; (c) affect the business, property, business
prospects, operations, or financial or other condition of the FCC License
Subsidiary or Pledgor; (d) impair or affect the Collateral or the Collateral
Agent's Liens on the Collateral or the priority of such Liens; or (e) impair or
affect the ability of the Pledgor to perform its obligations hereunder or under
any of the Secured Agreements.

     (c)  In the event that all or any part of the securities or instruments
constituting the Collateral are lost, mutilated, destroyed or wrongfully taken
while such securities or instruments are in the possession of the Collateral
Agent, the Pledgor agrees that it will cause the delivery of new securities or
instruments in place of the lost, mutilated, destroyed or wrongfully taken
securities or instruments upon request therefor by the Collateral Agent without
the necessity of any indemnity bond or other security other than the Collateral
Agent's agreement or indemnity therefor customary for security agreements
similar to this Agreement.

7.   Additional Shares.

     (a)  The Pledgor agrees that it will cause the FCC License Subsidiary not
to issue any Stock of any kind.

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     (b)  Without derogating from paragraph (a) of this Section 7, in the event
that, during the term of this Agreement:

          (i)     any stock dividend, stock split, reclassification,
     readjustment, or other change is declared or made in the capital structure
     of the FCC License Subsidiary, all new, substituted, and additional shares,
     or other securities, issued by reason of any such change and received by
     the Pledgor (directly or indirectly) or to which the Pledgor shall be
     entitled shall be promptly delivered or otherwise transferred to the
     Collateral Agent, together with undated stock powers endorsed in blank by
     the Pledgor, and shall thereupon constitute additional Collateral to be
     held by the Collateral Agent under the terms of this Agreement; and

          (ii)    any subscriptions, warrants or any other rights or options
     shall be issued in connection with the Pledged Shares, all new stock or
     other securities acquired through such subscriptions, warrants, rights or
     options, and all additional shares of capital stock of the FCC License
     Subsidiary or any successor in interest thereto from time to time acquired
     by the Pledgor (directly or indirectly) in any manner whatsoever
     (including, without limitation, any shares of preferred stock issued by the
     FCC License Subsidiary) together with appropriate stock powers by the
     Pledgor, shall be promptly delivered or otherwise transferred to the
     Collateral Agent and shall thereupon constitute Collateral to be held by
     the Collateral Agent under the terms of this Agreement.

8.   Payment of Taxes and Claims.

          The Pledgor shall make payment of (i) all taxes, assessments, license
fees, levies and other charges of Governmental Bodies imposed upon it which if
unpaid, could reasonably be expected to have a Material Adverse Effect or become
a Lien on the Property of the Pledgor, unless and to the extent only that such
taxes, assessments, charges, license fees, levies and other charges shall be
contested in good faith and by appropriate proceedings diligently conducted by
the Pledgor and the Collateral Agent has received prompt notice of such contest,
(ii) all taxes, assessments, license fees, levies and other charges of
Governmental Bodies on any of the Collateral before any penalty or interest
accrues thereon, unless and to the extent only that such taxes, assessments,
charges, license fees, levies and other charges shall be contested in good faith
and by appropriate proceedings diligently conducted by the Pledgor and the
Collateral Agent has received prompt notice of such contest, before any penalty
or interest accrues thereon, and (iii) all claims (including, without
limitation, claims for labor, services, materials and supplies) for sums
materially adversely affecting the Collateral, which have become due and payable
and which by law have or may become a Lien upon any of the Collateral prior to
the time when any penalty or fine shall be incurred with respect thereto, unless
and to the extent such claim is being contested in good faith and by appropriate
proceedings diligently conducted by the Pledgor, the Collateral Agent has
received prompt notice of such contest, any proceeding to place a lien on the
Collateral or to enforce a lien on the Collateral has been stayed and such
contest is not reasonably expected to have a Material Adverse Effect.

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9.   Covenants and Agreements.

          The Pledgor covenants and agrees that on and after the date hereof
until the payment in full of the Secured Obligations and the termination and
discharge of the Secured Agreements, unless the Collateral Agent shall otherwise
consent in writing:

     (a)  At any time and from time to time, upon the request of the Collateral
Agent (at the written direction of the Acting Secured Parties (as defined
below)), and at the sole expense of the Pledgor, the Pledgor shall promptly do,
file, record, execute and deliver any and all such further notices, instruments
and documents and will take such further action as may be necessary or
reasonably desirable to obtain, protect and perfect the security interests
granted hereby and enforce and give effect to the rights, remedies and powers
hereunder, including, without limitation, the recording or filing of all
instruments and documents reasonably necessary to perfect and protect the
perfection of the security interests granted hereby under Articles 8 or 9 of the
Uniform Commercial Code in effect in any applicable jurisdiction. In connection
therewith, the Collateral Agent is hereby irrevocably authorized and empowered
as the Pledgor's attorney-in-fact, solely to make, at the Collateral Agent's
option, all filings and to give all other notices as it shall reasonably deem
necessary with respect to any of the Collateral, all of which may be done with
or without the signature of the Pledgor. The Pledgor agrees that the foregoing
power constitutes a power coupled with an interest which shall survive until the
payment in full of all of the Secured Obligations. The Pledgor agrees to
reimburse the Collateral Agent on demand for any actual and reasonable expenses
(including reasonable attorneys' fees and expenses with respect to the
Collateral Agent, including reasonable allocated costs and expenses of in-house
counsel and legal staff) incurred by the Collateral Agent in connection with
such matters and, until such reimbursement, such expenses shall be a part of the
Secured Obligations. The Pledgor agrees that the Collateral Agent is authorized
and empowered to file financing statements and continuation statements with
respect to the Collateral in such jurisdictions as it deems appropriate. "Acting
Secured Parties" shall mean, as of any date of determination, the Secured
Parties holding (or, in the case of the Original Trustee and the New Trustee,
acting as trustee for the Original Notes or the New Notes, as applicable) more
than 20% of the sum of (a) the unpaid principal amount of the Original Notes,
(b) the unpaid Accreted Value of the New Notes, (c) the unpaid Accreted Value of
the Convertible Notes, (d) the unpaid principal amount owing under the GM
Convertible Notes, (e) the unpaid principal amount owing under the GM Loan
Agreement, and (f) the unpaid principal amount owing under the Additional Debt
(if any), or, if such debt is issued at a discount, the unpaid accreted value of
such Additional Debt. Any action taken by the Original Trustee or the New
Trustee shall constitute an action on behalf of all of the Original Holders or
New Holders, as applicable, without regard to the percentage of the Original
Holders or New Holders directing or authorizing the Original Trustee or the New
Trustee to take such action.

     (b)  The Pledgor shall defend its ownership interest in and to the
Collateral and the Collateral Agent's security interest in and to the Collateral
against all claims and demands of all Persons at any time claiming the same or
any interest therein adverse to the interests of the Collateral Agent.

     (c)  The Pledgor shall, at all times, maintain or cause to be maintained
accurate books and records with respect to the Collateral, and shall promptly
furnish to the Collateral Agent such

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information concerning such Collateral as the Collateral Agent may from time to
time reasonably request at the written direction of the Acting Secured Parties.
The Collateral Agent and its designees are hereby given the right, at the
Pledgor's expense, to inspect and copy, following prior notice to the Pledgor
and during regular business hours, or the Pledgor shall furnish the Collateral
Agent with copies of, all records and documents reasonably required by the
Collateral Agent relating to the Collateral.

     (d)  The Pledgor shall not further hypothecate, assign, pledge, encumber,
transfer, sell or otherwise dispose of, or grant any option with respect to, or
create or suffer to exist a security interest in, or a Lien on, the Collateral
or any portion thereof, except for the pledge, assignment and security interest
created by this Agreement in favor of the Collateral Agent. The inclusion of
"Proceeds" of the Collateral under the security interest granted herein shall
not be deemed a consent by the Collateral Agent to any sale or other disposition
of any Collateral except as expressly permitted herein.

     (e)  The Pledgor shall promptly notify the Collateral Agent of any change
occurring in or to the Collateral, of a change in the Pledgor's mailing address,
of any material change in any fact or circumstance warranted or represented by
the Pledgor in this Agreement or furnished to the Collateral Agent, or if any
Event of Default shall have occurred. The Pledgor shall not change its name or
jurisdiction of organization unless it (i) shall have notified the Collateral
Agent in writing, which notice shall identify such new proposed name or
jurisdiction of organization and shall be delivered at least thirty (30) days
prior to any such change and (ii) shall have taken all actions necessary to
maintain the continuous validity and perfection of the Collateral Agent's
security interest in the Collateral intended to be granted hereby.

     (f)  The Pledgor shall not, without the prior written consent of the
Collateral Agent, sign or file or authorize the signing or filing of any
document, financing statement or instrument creating or perfecting, or
purporting to create or perfect, any Lien or other encumbrance on all or any
part of its Collateral except in favor of the Collateral Agent as required
hereby.

     (g)  The security interest granted hereby constitutes and shall at all
times constitute a perfected continuing first priority security interest in the
Collateral.

10.  The Collateral Agent Appointed Attorney-in-Fact.

          Effective upon the occurrence and during the continuance of an Event
of Default, the Pledgor hereby irrevocably appoints the Collateral Agent its
attorney-in-fact, with full authority in the place and stead of the Pledgor and
in the name of the Pledgor or otherwise, from time to time in the Collateral
Agent's discretion, to take any action and to execute any instrument which the
Collateral Agent may deem necessary or advisable to accomplish the purposes of
this Agreement, including, without limitation:

     (a)  to ask, demand, collect, sue for, recover, compromise, receive and
give acquittance and receipts for moneys due and to become due under or in
respect of any of the Collateral and/or extend the time of payment, arrange for
payment in installments, or otherwise modify the terms of, or release, any
Collateral or obligations, without otherwise discharging or

                                       10

<PAGE>

affecting the Secured Obligations, the Collateral or the security interests
granted by this Agreement,

     (b)  to file any claims or take any action or institute any proceedings
which the Collateral Agent may deem necessary or desirable for the collection of
any of the Collateral or otherwise to enforce the rights of the Collateral Agent
with respect to any of the Collateral, and

     (c)  to receive, indorse and collect any drafts or other instruments and
documents made payable to the Pledgor in connection with clause (a) above or
representing any dividend or other distribution in respect of the Collateral or
any part thereof and to give full discharge for the same.

          The power-of-attorney granted hereby is coupled with an interest and
shall be irrevocable.

11.  The Collateral Agent May Perform.

          If the Pledgor fails to perform any agreement contained herein or make
payment of any amount required hereunder, the Collateral Agent may itself
perform, or cause performance of, or provide payment for the performance
thereof, and the reasonable expenses of the Collateral Agent incurred in
connection therewith shall be payable by the Pledgor under Section 15 of this
Agreement and any such payment made shall be deemed an advance by the Collateral
Agent to the Pledgor, payable on demand together with interest at the interest
rate then payable under the Original Indenture.

12.  The Collateral Agent's Duties.

          The powers conferred on the Collateral Agent hereunder are solely to
protect its interest in the Collateral and shall not impose any duty upon it to
exercise any such powers. Except for the safe custody of any Collateral in its
possession and the accounting for moneys actually received by it hereunder, the
Collateral Agent shall have no duty as to any Collateral, including the filing
of any financing or continuation statements relating to the Collateral. The
Collateral Agent shall be deemed to have exercised reasonable care in the
custody and preservation of the Collateral in its possession if the Collateral
is accorded treatment substantially equal to that which the Collateral Agent
accords its own Property, it being understood that the Collateral Agent shall
not be under any obligation to (a) ascertain or take action with respect to
calls, conversions, exchanges, maturities, tenders or other matters relative to
any Collateral, whether or not the Collateral Agent has or is deemed to have
knowledge of such matters, or (b) take any necessary steps to preserve rights
against prior parties or any other rights pertaining to any Collateral, but may
do so at its option, and all reasonable expenses incurred in connection
therewith shall be for the sole account of the Pledgor, and shall be added to
the Secured Obligations. No provision of this Agreement shall require the
Collateral Agent to expend or risk its own funds or otherwise incur any
financial liability in the performance of any of its duties hereunder, or in the
exercise of any of its rights or powers, if it shall have reasonable grounds for
believing that repayment of such funds or adequate indemnity against such risk
or liability is not reasonably assured to it.

                                       11

<PAGE>

13.  Notice of Event of Default.

          The Pledgor agrees to notify the Collateral Agent of the occurrence of
an Event of Default promptly upon its obtaining knowledge thereof.

14.  Remedies.

          Upon the occurrence and during the continuation of an Event of
Default, the Collateral Agent may, subject to the requirements of the
Intercreditor Agreement and regulatory requirements, exercise any and all
remedies and other rights provided under this Agreement and by applicable law,
including, without limitation, the following:

     (a)  The Collateral Agent may exercise in respect of the Collateral, in
addition to other rights and remedies provided for herein or otherwise available
to it, all the rights and remedies of a secured party upon default under the UCC
(whether or not the UCC applies to the affected Collateral) and also may without
notice, except as specified below, sell, lease, assign, grant an option or
options to purchase or otherwise dispose of the Collateral or any part thereof
in one or more parcels at public or private sale, at any exchange, broker's
board or at any of the Collateral Agent's offices or elsewhere, for cash, on
credit or for future delivery, and upon such other terms as the Collateral Agent
may deem commercially reasonable. The Pledgor agrees that, to the extent notice
of sale shall be required by law, at least ten days' notice to the Pledgor of
the time and place of any public sale or the time after which any private sale
is to be made shall constitute reasonable notification. The Collateral Agent
shall not be obligated to make any sale of Collateral regardless of notice of
sale having been given. The Collateral Agent may adjourn any public or private
sale from time to time by announcement at the time and place fixed therefor, and
such sale may, without further notice, be made at the time and place to which it
was so adjourned.

     (b)  Any cash held by the Collateral Agent as Collateral and all cash
proceeds received by the Collateral Agent in respect of any sale of, collection
from or other realization upon all or any part of the Collateral shall be held
by the Collateral Agent as Collateral for, and then or at any time thereafter
applied (after the payment of any amounts payable to the Collateral Agent
pursuant to Section 15 hereof) in whole or in part by the Collateral Agent for
the benefit of the Secured Parties against the Secured Obligations in such order
of application as is required by the Intercreditor Agreement.

     (c)  The Pledgor acknowledges and agrees that the Collateral Agent may
elect, with respect to the offer or sale of any or all of the Collateral, to
conduct such offer and sale in such a manner as to avoid the need for
registration or qualification of the Collateral or the offer and sale thereof
under any federal or state securities laws and that the Collateral Agent is
authorized to comply with any limitation or restriction in connection with such
sale as counsel may advise the Collateral Agent is necessary in order to avoid
any violation of applicable law, including, without limitation, compliance with
such procedures as may restrict the number of prospective bidders and
purchasers, require that such prospective bidders and purchasers have certain
qualifications, and restrict such prospective bidders and purchasers to Persons
who will represent and agree that they are purchasing for their own account for
investment and not with a view to the distribution or resale of such Collateral,
or in order to obtain any required approval of the sale

                                       12

<PAGE>

or of the purchaser by any Governmental Body. The Pledgor further acknowledges
and agrees that any such transaction may be at prices and on terms less
favorable than those which may be obtained through a public sale and not subject
to such restrictions and agrees that, notwithstanding the foregoing, the
Collateral Agent is under no obligation to conduct any such public sale and may
elect to impose any or all of the foregoing restrictions, or any other
restrictions which may be necessary or desirable in order to avoid any such
registration or qualification, at its sole discretion or with the consent or
direction of the parties entitled to give direction pursuant to the
Intercreditor Agreement, and that any such offer and sale shall, taking into
account the possible restrictions on such offer and sale described in this
subsection (c), be conducted in a commercially reasonable manner.

     (d)  The Pledgor hereby expressly waives and covenants not to assert any
appraisement, valuation, extension, redemption or similar laws, now or at any
time hereafter in force, which might delay, prevent or otherwise impede the
performance or enforcement of this Agreement.

15.  Expenses.

          The Pledgor will upon demand make payment to the Collateral Agent of
any and all reasonable out-of-pocket sums, costs and expenses, which the
Collateral Agent may pay or incur pursuant to the provisions of this Agreement
or in perfecting, defending, protecting or enforcing this Agreement or the
security interests granted herein or in enforcing payment of all of the Secured
Obligations or otherwise in connection with the provisions hereof, including,
but not limited to court costs, reasonable collection charges, reasonable travel
expenses, and reasonable attorneys' fees and expenses (including with respect to
the Collateral Agent, the reasonable allocated costs and expenses of in-house
counsel and legal staff) all of which together with interest at the highest rate
then payable under the Original Indenture, shall be part of the Secured
Obligations. The covenants contained in this Section 15 shall survive payment or
satisfaction in full of all other of the Secured Obligations.

16.  Repayment in Bankruptcy, etc.

          Notwithstanding anything to the contrary contained in this Agreement,
if, at any time or times subsequent to the payment of all or any part of the
Secured Obligations, the Collateral Agent shall be required to repay any amounts
previously paid by or on behalf of the FCC License Subsidiary or the Pledgor in
reduction thereof by virtue of an order of any court having jurisdiction
thereof, including, without limitation, as a result of an adjudication that such
amounts constituted preferential payments or fraudulent conveyances, the Pledgor
unconditionally agrees to make payment to the Collateral Agent within 10 days
after demand of the amount of such repayment, together with interest on such
amount from the date of such repayment by the Collateral Agent to the date of
payment to the Collateral Agent at the default interest rate set forth in the
Original Indenture.

17.  No Segregation of Moneys; No Interest.

          No moneys or any other property received by the Collateral Agent
hereunder need be segregated in any manner except to the extent required by law,
and any such moneys or other

                                       13

<PAGE>

Property may be deposited under such general conditions as may be prescribed by
law applicable to the Collateral Agent, and the Collateral Agent shall not be
liable for any interest thereon.

18.  Continuing Security Interest; Termination.

     (a)  This Agreement shall create a continuing perfected first security
interest in the Collateral and shall (i) remain in full force and effect until
the termination of the Intercreditor Agreement pursuant to Section 8.10 thereof
or, if later, payment in full of the Secured Obligations, (ii) be binding upon
the Pledgor, its successors and assigns and (iii) inure, together with the
rights and remedies of the Collateral Agent hereunder, to the benefit of the
Collateral Agent, the Secured Parties, the Original Holders and the New Holders
and their respective successors, transferees and assigns.

     (b)  Upon termination of this Agreement, the Collateral Agent shall, at the
request and expense of the Pledgor, cause to be assigned, transferred and
delivered, against receipt but without recourse, warranty or representation
whatsoever, any remaining Collateral, to or on the order of the Pledgor, and
shall execute and deliver to the Pledgor an instrument or instruments
acknowledging the release of such Collateral from the Lien of this Agreement.

19.  Notices.

          All notices and other communications provided for hereunder shall be
in writing (including telecopy) and mailed, telecopied or delivered to it, if to
the Pledgor, addressed to it at XM Satellite Radio Inc., 1500 Eckington Place,
N.E., Washington, D.C. 20002, Attention: Chief Executive Officer, if to the
Collateral Agent, at the address of the Collateral Agent specified in the
Intercreditor Agreement, or as to any party at such other address as shall be
designated by such party in a written notice to each other party. All such
notices and other communications shall, when mailed or telecopied, be effective
when deposited in the mails or transmitted by telecopier, respectively.

20.  Margin Regulations.

          The Pledgor shall take such steps as may be necessary so that it shall
comply with Regulations T, U and X (in so far as Regulation X applies to
Regulations T and U) promulgated by the Board of Governors of the Federal
Reserve System, in each case as in effect from time to time and to the extent
such Regulations are at the time applicable to the Notes issued by the Pledgor.

21.  Other Provisions.

     (a)  Except as expressly provided in this Agreement, the Pledgor hereby
waives presentment, demand for payment, notice of default, nonperformance and
dishonor, protest and notice of protest of or in respect of the Secured
Agreements or the Secured Obligations, notice of acceptance of this Agreement
and reliance hereupon by the Collateral Agent and notice of any sale of
collateral security or any default of any sort.

                                       14

<PAGE>

     (b)  The Pledgor waives all errors or omissions of the Collateral Agent in
connection with the administration of the security interests created hereby and
the Collateral, except errors or omissions which constitute gross negligence or
willful misconduct.

     (c)  The Pledgor agrees that the Collateral Agent, any Secured Party, any
Original Holder and any New Holder may at any time, without notice to or consent
of the Pledgor, and without in any manner affecting the liability of the Pledgor
hereunder, amend, modify or waive any term or condition of any Secured Agreement
and any of the other Secured Obligations and any collateral security therefor
and otherwise deal with Pledgor as if this Agreement did not exist.

     (d)  The Pledgor is not relying upon the Collateral Agent to provide to the
Pledgor any information concerning the FCC License Subsidiary, including,
without limitation, information which might have a Material Adverse Effect, and
the Pledgor has made arrangements satisfactory to the Pledgor to obtain from the
FCC License Subsidiary on a continuing basis such information concerning the FCC
License Subsidiary as the Pledgor may desire.

     (e)  In addition to all other rights it may have at law or otherwise, upon
the occurrence and during the continuance of an Event of Default, the Collateral
Agent is hereby authorized at any time and from time to time, without notice, to
set-off against any and all obligations which the Collateral Agent may owe to
the FCC License Subsidiary or the Pledgor, of any kind or nature, and the
Pledgor shall continue to be liable to the Collateral Agent for any deficiency
with interest at the applicable interest rate forth in the Original Indenture.

     (f)  Notwithstanding anything to the contrary contained in Secured
Agreements or in any other agreement, instrument or document executed by the
Pledgor in connection with the Secured Agreements, the Collateral Agent will not
take any action pursuant to this Agreement or any document referred to above
which would constitute or result in any assignment of any FCC license or any
change of control (whether de jure or de facto) of the Pledgor or the FCC
License Subsidiary if such assignment of any FCC license or change of control
would require, under then existing law, the prior approval of the FCC without
first obtaining such prior approval of the FCC. Upon the occurrence of an Event
of Default or at any time thereafter during the continuance thereof, subject to
terms and conditions of this Agreement, the Pledgor agrees to take any action
that the Collateral Agent may reasonably request in order to obtain from the FCC
such approval as may be necessary to enable the Collateral Agent to exercise and
enjoy, the full rights and benefits granted to the Collateral Agent by this
Agreement and the other documents referred to above, including specifically, at
the cost and expense of the Pledgor, the use of its best efforts to assist in
obtaining approval of the FCC for any action or transaction contemplated by this
Agreement for which such approval is or shall be required by law, and
specifically, without limitation, upon request, to prepare, sign and file with
the FCC the assignor's or transferor's portion of any application or
applications for consent to the assignment of license or transfer of control
necessary or appropriate under the FCC's rules and regulations for approval of
(i) any sale or other disposition of the Collateral by or on behalf of the
Collateral Agent, or (ii) any assumption by the Collateral Agent of voting
rights in the Collateral effected in accordance with the terms of this
Agreement. It is understood and agreed that all foreclosure and related actions
will be made in accordance with the Communications Act of 1934, as amended, and
the rules and regulations promulgated thereunder, as from time to time in effect
(the

                                       15

<PAGE>

"Communications Act") and other applicable FCC regulations and published
policies and decisions.

     (g)  The Pledgor agrees to indemnify and hold harmless the Collateral
Agent, the Secured Parties, the Original Holders and the New Holders, the
respective affiliates of the Collateral Agent, the Secured Parties, the Original
Holders and the New Holders, and the respective officers, directors, employees,
agents (including, without limitation each of their counsel), and controlling
persons of the Collateral Agent, the Secured Parties, the Original Holders and
the New Holders, and each such affiliate (each, an "Indemnified Party") from and
against any and all claims, actions and suits whether groundless or otherwise,
and from and against any and all liabilities, losses, damages and costs and
expenses (including, without limitation, the reasonable fees and disbursements
of counsel and with respect to the Collateral Agent, reasonably allocated costs
and expenses of in-house counsel and legal staff) of every nature and character
arising out of or in connection with any actual or threatened claim, litigation,
investigation or proceeding relating to this Agreement or the Secured Agreements
or the transactions contemplated hereby or thereby (other than any such actions
or expenses resulting from the gross negligence or willful misconduct of the
Indemnified Parties seeking indemnity under this Agreement), in each case
including, without limitation, the reasonable fees and disbursements of counsel
and allocated costs of in-house counsel and legal staff incurred in connection
with any such investigation, litigation or other proceeding whether or not such
Indemnified Party is a party thereto, and the Pledgor agrees to reimburse each
Indemnified Party, upon demand, for all out-of-pocket costs and expenses
(including, without limitation, the reasonable fees and disbursements of counsel
and with respect to the Collateral Agent, reasonably allocated costs and
expenses of in-house counsel and legal staff) incurred in connection with any of
the foregoing. In litigation, or the preparation therefor, the Collateral Agent,
the Secured Parties, the Original Holders and the New Holders shall be entitled
to select their own counsel and, in addition to the foregoing indemnity, the
Pledgor agrees to pay promptly the reasonable fees and expenses of such counsel.
If, and to the extent that the obligations of the Pledgor under this Section
21(g) are unenforceable for any reason, the Pledgor hereby agrees to make the
maximum contribution to the payment in satisfaction of such obligations which is
permissible under applicable law.

          The Pledgor shall not make any claim against any Indemnified Party for
any special, indirect or consequential damages in respect of any breach or
wrongful conduct (whether the claim therefor is based in contract, tort or duty
imposed by law) in connection with, arising out of or in any way related to the
transactions contemplated by, and the relationship established by the Secured
Agreements or any act, omission or event occurring in connection therewith, and
the Pledgor hereby waives, releases and agrees not to sue upon any such claim
for any such damages, whether or not accrued and whether or not known or
suspected to exist in the Pledgor's favor.

          The covenants contained in this Section 21(g) shall survive payment or
satisfaction in full of all other of the Secured Obligations.

     (h)  The Pledgor hereby appoints C T Corporation System (the "Process
Agent") located at 111 Eighth Avenue, New York, New York 10011, as its legally
authorized process agent to accept service on behalf of the Pledgor.

                                       16

<PAGE>

     (i)  This Agreement shall be governed by, and construed in accordance with,
the laws of the State of New York, without giving effect to any conflicts of
laws principles other than New York General Obligations Law Sections 5-1401 and
5-1402. The Pledgor agrees that any suit for the enforcement of this Agreement
may be brought in the courts of the State of New York or any federal court
sitting therein and consents to the nonexclusive jurisdiction of such court and
service of process in any such suit being made upon the Pledgor by mail to the
Process Agent at the address specified in Section 21(h). The Pledgor hereby
waives any objection that it may now or hereafter have to the venue of any such
suit or any such court or that such suit is brought in an inconvenient court.

     (j)  This Agreement and any amendment hereof may be executed in several
counterparts and by each party on a separate counterpart, each of which when so
executed and delivered shall be an original, and all of which together shall
constitute one instrument. In proving this Agreement it shall not be necessary
to produce or account for more than one such counterpart signed by the party
against whom enforcement is sought.

     (k)  This Agreement and any other documents executed in connection herewith
express the entire understanding of the parties with respect to the transactions
contemplated hereby. Neither this Agreement nor any term hereof may be changed,
waived, discharged or terminated, except as provided in Section 21(m).

     (l)  The Pledgor hereby waives its right to a jury trial with respect to
any action or claim arising out of any dispute in connection with this
Agreement, or any of the other loan documents, any rights or obligations
hereunder or thereunder or the performance of such rights and obligations.

          Except as prohibited by law, the Pledgor hereby waives any right it
may have to claim or recover in any litigation referred to in the preceding
sentence any special, exemplary, punitive or consequential damages or any
damages other than, or in addition to, actual damages. The Pledgor (a) certifies
that no agent or representative of the Collateral Agent, the Secured Parties or
any Holder, has represented, expressly or otherwise, that the Collateral Agent,
any Secured Party or any Holder, as the case may be, would not, in the event of
litigation, seek to enforce the foregoing waivers and (b) acknowledges that the
Collateral Agent, the Secured Parties, the Original Holders and the New Holders
have been induced to enter into this Agreement and Secured Agreements, as
applicable, based on, among other things, the waivers and certifications
contained herein.

     (m)  Any consent or approval required or permitted by this Agreement to be
given by the Collateral Agent may be given, and any term of this Agreement, may
be amended, and the performance or observance by the Pledgor of any terms of
this Agreement, or the continuance of any Default or Event of Default may be
waived (either generally or in a particular instance and either retroactively or
prospectively) with, but only with, the written consent of the Pledgor and the
written consent of the Collateral Agent. No waiver shall extend to or affect any
obligation not expressly waived or impair any right consequent thereon. No
course of dealing or delay or omission on the part of the Collateral Agent or
any Secured Party in exercising any right shall operate as a waiver thereof or
otherwise be prejudicial thereto. No notice to or demand upon the

                                       17

<PAGE>

Pledgor shall entitle the Pledgor to other or further notice or demand in
similar or other circumstances.

     (n)  Notwithstanding the foregoing, this Agreement may be amended, revised
and supplemented only with the consent of the parties hereto and in accordance
with the requirements of Sections 6.6 and 6.7 of the Intercreditor Agreement.

     (o)  The Pledgor hereby waives any and all rights against immunity from
jurisdiction, attachment (both before and after judgment) and execution to which
it might be entitled.

     (p)  The provisions of this Agreement are severable and if any one clause
or provision hereof shall be held invalid or unenforceable in whole or in part
in any jurisdiction, then such invalidity or unenforceability shall affect only
such clause or provision, or part thereof, in such jurisdiction, and shall not
in any manner affect such clause or provision in any other jurisdiction, or any
other clause or provision of this Agreement in any jurisdiction.

                                       18

<PAGE>

          IN WITNESS WHEREOF, the Pledgor has caused this Agreement to be duly
executed and delivered as of the date hereof.

                                   XM SATELLITE RADIO INC.

                                   By:      /s/ Joseph M. Titlebaum
                                      ------------------------------------------
                                   Name:  Joseph M. Titlebaum
                                   Title: Senior Vice President, General Counsel
                                          and Secretary

<PAGE>

Accepted and Agreed to:

THE BANK OF NEW YORK,
 as Collateral Agent

By: /s/ John Guiliano
    ---------------------------------
    Name:  John Guiliano
    Title: Vice President

<PAGE>

                                   SCHEDULE I

                                 Pledged Shares

100 shares of common stock, par value $.01 per share, of XM Radio Inc.<PAGE>

                                                                     Exhibit 4.4

================================================================================

                  Intercreditor And Collateral Agency Agreement
                          (General Security Agreement)

                          Dated as of January 28, 2003

                                  By and Among

                   The Noteholders Named In Schedule I Hereto,

                      The Bank of New York, as New Trustee,

                           General Motors Corporation,

                               Onstar Corporation

                                       and

                    The Bank of New York, As Collateral Agent

================================================================================

<PAGE>

                                TABLE OF CONTENTS

<TABLE>
<CAPTION>
                                                                                                       PAGE
      <S>                                                                                               <C>
      SECTION 1    Definitions...........................................................................2
      SECTION 2    Priority of Liens.....................................................................7
        Section 2.1.  Pari Passu Liens of the Secured Parties............................................7
        Section 2.2.  Nonavoidability of Liens...........................................................7
      SECTION 3    Relationships Among Secured Parties...................................................7
        Section 3.1.  Restrictions on Actions............................................................7
        Section 3.2.  Representations and Warranties.....................................................7
        Section 3.3.  Cooperation; Accountings...........................................................9
        Section 3.4.  Termination of any Secured Agreement...............................................9
        Section 3.5.  Additional Creditors...............................................................9
      SECTION 4    Appointment And Authorization Of Collateral Agent.....................................9
      SECTION 5    Agency Provisions....................................................................10
        Section 5.1.  Delegation of Duties..............................................................10
        Section 5.2.  Exculpatory Provisions............................................................10
        Section 5.3.  Reliance by Collateral Agent......................................................11
        Section 5.4.  Knowledge or Notice of Default, Event of Default..................................11
        Section 5.5.  Non-Reliance on Collateral Agent and Other Secured Parties........................12
        Section 5.6.  Indemnification...................................................................12
        Section 5.7.  Collateral Agent in Its Individual Capacity.......................................12
        Section 5.8.  Successor Collateral Agent........................................................13
      SECTION 6    Actions By The Collateral Agent......................................................14
        Section 6.1.  Duties and Obligations............................................................14
        Section 6.2.  Notification of Default...........................................................14
        Section 6.3.  Exercise of Remedies..............................................................14
        Section 6.4.  Instructions from Secured Parties.................................................14
        Section 6.5.  Emergency Actions.................................................................15
        Section 6.6.  Changes to Collateral Document....................................................15
        Section 6.7.  Release of Collateral.............................................................15
        Section 6.8.  Other Actions.....................................................................16
        Section 6.9.  Cooperation.......................................................................16
        Section 6.10. Distribution of Proceeds of Collateral............................................16
        Section 6.11. Authorized Investments............................................................16
        Section 6.12. Sharing of Proceeds...............................................................17
      SECTION 7    Bankruptcy Proceedings...............................................................17
      SECTION 8    Miscellaneous........................................................................17
        Section 8.1.  Entire Agreement..................................................................17
        Section 8.2.  Notices...........................................................................17
        Section 8.3.  Successors and Assigns............................................................18
        Section 8.4.  Consents, Amendment, Waivers......................................................18
        Section 8.5.  Governing Law.....................................................................18
        Section 8.6.  Counterparts......................................................................18
        Section 8.7.  Sale of Interest..................................................................18
        Section 8.8.  Severability......................................................................18
</TABLE>

                                       -i-

<PAGE>

                                TABLE OF CONTENTS
                                   (CONTINUED)

<TABLE>
<CAPTION>
                                                                                                       PAGE
        <S>                                                                                             <C>
        Section 8.9.  Expenses..........................................................................18
        Section 8.10. Term of Agreement.................................................................18
        Section 8.11. Obligations Several...............................................................18
        Section 8.12. Trustee Status....................................................................19
        Section 8.13. Trust Indenture Act...............................................................19
</TABLE>

Schedule I    List of Convertible Notes Noteholders

Schedule II   Notice Addresses

Exhibit A     Form of Joinder by Additional Creditors

                                      -ii-

<PAGE>

                  INTERCREDITOR AND COLLATERAL AGENCY AGREEMENT
                          (GENERAL SECURITY AGREEMENT)

          This Intercreditor and Collateral Agency Agreement dated as of January
28, 2003 (this "Agreement") is among (1) the Noteholders named in Schedule I
hereto (collectively, the "Convertible Notes Noteholders"), (2) The Bank of New
York, as Trustee under the New Indenture (as defined below) (the "New Trustee"),
(3) General Motors Corporation ("General Motors"), (4) OnStar Corporation
("OnStar"), (5) the Additional Creditors (as defined below) that may from time
to time after the date hereof become party hereto as set forth below (the
Convertible Notes Noteholders, the New Trustee, General Motors, OnStar and the
Additional Creditors are collectively referred to as the "Secured Parties") and
(6) The Bank of New York, as collateral agent for the Secured Parties pursuant
to this Agreement (the "Collateral Agent") and acknowledged and agreed to by XM
Satellite Radio Inc., a Delaware corporation (the "Company"), XM Satellite Radio
Holdings Inc., a Delaware corporation ("Holdings") and XM Equipment Leasing LLC,
a Delaware limited liability company ("XM Leasing Subsidiary"). Capitalized
terms used herein and not otherwise defined herein shall have the meanings
assigned thereto in Section 1 below.

                                R E C I T A L S:

          A.    The Company and the New Trustee have entered into that certain
Indenture dated as of the date hereof (as it may be amended, restated,
supplemented or otherwise modified from time to time, the "New Indenture"),
pursuant to which the Company may issue up to $474,200,000 aggregate principal
amount at maturity of its 14% Senior Secured Discount Notes due 2009 (the "New
Notes").

          B.    The Company, Holdings and the Convertible Notes Noteholders
have entered into that certain Note Purchase Agreement, dated as of December 21,
2002 (as it may be amended, restated, supplemented or otherwise modified from
time to time, the "Convertible Note Agreement"), pursuant to which the Company
and Holdings are issuing 10% Senior Secured Discount Convertible Notes due 2009
in an aggregate principal amount at maturity of up to $415,800,000 (the
"Convertible Notes").

          C.    The Company and Holdings have entered into (a) that certain
Credit Agreement with General Motors, dated as of the date hereof (as it may be
amended, restated, supplemented, or otherwise modified from time to time, the
"GM Loan Agreement"), pursuant to which the Company and Holdings may receive
certain advances in an aggregate principal amount not to exceed $100,000,000,
and (b) that certain Note Purchase Agreement with OnStar, dated as of December
21, 2002 (as it may be amended, restated, supplemented, or otherwise modified
from time to time, the "GM Note Agreement"), pursuant to which the Company and
Holdings are issuing Series GM Senior Secured Convertible Notes in the aggregate
principal amount of $89,042,387 (the "GM Convertible Notes").

          D.    From time to time after the date hereof, the Company may,
subject to the terms and conditions of the Secured Agreements (as defined
below), incur additional indebtedness that is pari passu in right of payment to
the other Secured Agreements (collectively, the "Additional Debt") under
agreements evidencing such Additional Debt (the

<PAGE>

"Additional Facilities"), which the Company desires to secure on a senior pari
passu basis by the Collateral. Such Additional Debt shall be permitted to be
secured by the Collateral if (x) the Secured Agreements do not prohibit such
Additional Debt from being secured by the Collateral and (y) the obligees of
such Additional Debt (the "Additional Creditors") execute and deliver a joinder
agreement hereto and become a party to this Agreement pursuant to the
requirements of Section 3.5 hereof.

          E.    Each of the Company, Holdings and XM Leasing Subsidiary is
entering into the Collateral Document (as defined below) to secure its
obligations from time to time under the agreements described in Paragraphs A
through D above on a senior pari passu basis.

          F.    Certain subsidiaries of the Company may from time to time
after the date hereof execute and deliver guaranties in respect of the
agreements described in Paragraphs A through D above and become a Grantor under
the Collateral Document.

          G.    The Secured Parties desire to appoint The Bank of New York,
as Collateral Agent to act on behalf of the Secured Parties regarding the
Collateral Document and the Collateral, as more fully provided herein.

          H.    The Secured Parties and the Collateral Agent desire to enter
into this Agreement to provide, among other things, for (a) the appointment,
duties and responsibilities of the Collateral Agent, (b) the respective
priorities, rights and interests of the parties in and to the Collateral, and
(c) the orderly administration of the Collateral.

          Now, Therefore, in consideration of the premises and other good and
valuable consideration, the sufficiency and receipt of which are hereby
acknowledged, the parties hereto hereby agree as follows:

SECTION 1  Definitions.

          The following terms shall have the meanings assigned to them below in
this Section 1 or in the provisions of this Agreement referred to below:

          "Accreted Value" shall have the meaning assigned thereto in the New
Indenture or the Convertible Note Agreement, as applicable.

          "Acting Secured Parties" shall mean, as of any date of determination,
the Secured Parties holding (or, in the case of the New Trustee, acting as
trustee for the New Notes) more than 20% of the sum of (a) the unpaid Accreted
Value of the New Notes, (b) the unpaid Accreted Value of the Convertible Notes,
(c) the unpaid principal amount owing under the GM Convertible Notes, (d) the
unpaid principal amount owing under the GM Loan Agreement, and (e) the unpaid
principal amount owing under the Additional Debt (if any), or, if such debt is
issued at a discount, the unpaid accreted value of such Additional Debt. Any
action so taken by the New Trustee shall constitute an action on behalf of all
of the New Notes without regard to the percentage of the New Holders directing
or authorizing the New Trustee to take such action.

          "Additional Creditors" shall have the meaning assigned thereto in the
Recitals hereof.

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<PAGE>

          "Additional Debt" shall have the meaning assigned thereto in the
Recitals hereof.

          "Additional Facilities" shall have the meaning assigned thereto in the
Recitals hereof.

          "Additional Facility Documents" shall mean all outstanding Additional
Facilities, the Additional Facility Notes, and all other documents, certificates
and instruments relating to, arising out of, or in any way connected therewith.

          "Additional Facility Notes" shall mean the obligations of the Company
which are evidenced by the promissory notes issued under the Additional
Facilities.

          "Affiliate" of any specified Person means any other Person directly or
indirectly controlling or controlled by or under direct or indirect common
control with such specified Person. For purposes of this definition, "control,"
as used with respect to any Person, shall mean the possession, directly or
indirectly, of the power to direct or cause the direction of the management or
policies of such Person, whether through the ownership of voting securities, by
agreement or otherwise; provided that beneficial ownership of 10% or more of the
voting stock of a Person shall be deemed to be control. For purposes of this
definition, the terms "controlling," "controlled by" and "under common control
with" shall have correlative meanings.

          "Bankruptcy Proceeding" shall mean, with respect to any Person, a
general assignment of such Person for the benefit of its creditors, or the
institution by or against such Person of any proceeding seeking relief as
debtor, or seeking to adjudicate such Person as bankrupt or insolvent, or
seeking reorganization, arrangement, adjustment or composition of such Person or
its debts, under any law relating to bankruptcy, insolvency, reorganization or
relief of debtors (including the United States Bankruptcy Code 11 U.S.C.
Sections 1 et seq.), or seeking appointment of a receiver, trustee, custodian or
other similar official for such Person or for any substantial part of its
property.

          "Capital Stock" means:

          (1)   in the case of a corporation, corporate stock;

          (2)   in the case of an association or business entity, any and all
shares, interests, participations, rights or other equivalents (however
designated) of corporate stock;

          (3)   in the case of a partnership or limited liability company,
partnership or membership interests (whether general or limited); and

          (4)   any other interest or participation that confers on a Person
the right to receive a share of the profits and losses of, or distributions of
assets of, the issuing Person.

          "Cash Equivalent Investments" shall mean,

          (1)   securities issued or directly and fully guaranteed or insured
by the United States government or any agency or instrumentality thereof
(provided that the full faith and

                                        3

<PAGE>

credit of the United States is pledged in support thereof) having maturities of
not more than six months from the date of acquisition;

          (2)   certificates of deposit and eurodollar time deposits with
maturities of six months or less from the date of acquisition, bankers'
acceptances with maturities not exceeding six months and overnight bank
deposits, in each case, with any domestic commercial bank having capital and
surplus in excess of $500.0 million;

          (3)   repurchase obligations with a term of not more than seven
days for underlying securities of the types described in clauses (1) and (2)
above entered into with any financial institution meeting the qualifications
specified in clause (2) above;

          (4)   commercial paper having one of the two highest ratings
obtainable from Moody's Investors Service, Inc. or Standard & Poor's Rating
Services and in each case maturing within six months after the date of
acquisition; and

          (5)   money market funds at least 95% of the assets of which
constitute Cash Equivalent Investments of the kinds described in clauses (1)
through (4) of this definition.

          "Collateral" shall mean the Collateral as defined in the Collateral
Document.

          "Collateral Agent" shall have the meaning assigned thereto in the
preamble hereof.

          "Collateral Document" shall mean the Security Agreement, dated as of
the date hereof, from the Company, Holdings and XM Leasing Subsidiary to the
Collateral Agent, as the same shall be amended from time to time in accordance
with the terms and provisions hereof and thereof.

          "Company" shall have the meaning assigned thereto in the preamble
hereof.

          "Convertible Note Agreement" shall have the meaning assigned thereto
in the Recitals hereof.

          "Convertible Notes" shall have the meaning assigned thereto in the
Recitals hereof.

          "Convertible Notes Noteholders" shall have the meaning assigned
thereto in the preamble hereof.

          "Default" shall mean an Event of Default or an event or condition
which with notice or lapse of time or both would constitute an Event of Default.

          "Event of Default" shall mean any "Event of Default" as defined in any
Secured Agreement.

          "Excluded Collateral" shall have the meaning assigned thereto in the
Collateral Document.

                                        4

<PAGE>

          "General Motors" shall have the meaning assigned thereto in the
preamble hereof.

          "GM Convertible Notes" shall have the meaning set forth in the
Recitals hereof.

          "GM Loan Agreement" shall have the meaning set forth in the Recitals
hereof.

          "GM Note Agreement" shall have the meaning set forth in the Recitals
hereof.

          "Grantors" shall mean the Company, Holdings, XM Leasing Subsidiary and
such other subsidiaries of the Company as may from time to time become party to
the Collateral Document.

          "Holdings" shall have the meaning assigned thereto in the preamble
hereof.

          "Holdings Guaranties" means, collectively, all guaranties from time to
time entered into by Holdings to guaranty the obligations of the Company under
any Secured Agreement.

          "Lien" means, with respect to any asset, any mortgage, lien, pledge,
charge, security interest or encumbrance of any kind in respect of such asset,
whether or not filed, recorded or otherwise perfected under applicable law,
including any conditional sale or other title retention agreement, any lease in
the nature thereof, any option or other agreement to sell or give a security
interest in and any filing of or agreement to give any financing statement under
the Uniform Commercial Code (or equivalent statutes) of any jurisdiction.

          "New Holder" shall mean each Person in whose name a New Note is
registered.

          "New Indenture" shall have the meaning assigned thereto in the
Recitals hereof.

          "New Notes" shall have the meaning assigned thereto in the Recitals
hereof.

          "OnStar" shall have the meaning assigned thereto in the preamble
hereof.

          "Person" shall mean any individual, corporation, partnership, joint
venture, association, joint-stock company, trust, unincorporated organization,
limited liability company or government or other entity.

          "Pro Rata Share" shall mean, in respect of any Secured Party as of any
date of determination, the proportion which the amount of the Secured
Obligations then owing to such Secured Party bears to the aggregate amount of
Secured Obligations then owing to all Secured Parties; it being understood that
in the case of the New Notes, the Convertible Notes, and any Additional Facility
Notes that are issued at a discount, the Secured Obligations as of any date of
determination shall include the unpaid accreted value of such notes as of such
date.

          "Required Secured Parties" shall mean, as of any date of
determination, the Secured Parties holding (or, in the case of the New Trustee,
acting as trustee for the New Notes) more than 50% of the sum of (a) the unpaid
Accreted Value of the New Notes, (b) the unpaid Accreted Value of the
Convertible Notes, (c) the unpaid principal amount owing under the GM

                                        5

<PAGE>

Convertible Notes, (d) the unpaid principal amount owing under the GM Loan
Agreement, and (e) the unpaid principal amount owing under the Additional Debt
(if any), or, if such debt is issued at a discount, the unpaid accreted value of
such Additional Debt. Any action so taken by the New Trustee shall constitute an
action on behalf of all of the New Notes without regard to the percentage of the
New Holders directing or authorizing the New Trustee to take such action.

          "Secured Agreements" shall mean the Collateral Document, the New
Indenture, the New Notes, the Convertible Note Agreement, the Convertible Notes,
the GM Note Agreement, the GM Convertible Notes, the GM Loan Agreement, the
Additional Facility Documents, the Subsidiary Guaranties, the Holdings
Guaranties and all other documents, certificates and instruments relating to,
arising out of, or in any way connected therewith.

          "Secured Obligations" shall mean all indebtedness, liabilities and
other obligations, now or hereafter existing or arising, and whether due or to
become due, absolute or contingent, liquidated or unliquidated, determined or
undetermined, of any one or more of the Grantors to any one or more of the
Collateral Agent and the Secured Parties under the Secured Agreements, including
without limitation all principal in respect of the New Notes (including all
principal at maturity), the Convertible Notes (including all principal at
maturity), the GM Convertible Notes, the GM Loan Agreement and any Additional
Facility (including, in the case of any such indebtedness issued at a discount,
all principal at maturity), all interest accrued thereon, and all costs and
expenses due under the Secured Agreements. For the purpose of determining the
"Secured Obligations" and for all other purposes of this Agreement, all
indebtedness, liabilities and other obligations of the Grantors owing to the New
Holders shall be deemed to constitute indebtedness, liabilities and other
obligations of the Grantors held by and owing to the New Trustee.

          "Secured Parties" shall have the meaning assigned thereto in the
preamble hereof.

          "Subsidiary" means, with respect to any specified Person:

          (1)   any corporation, association or other business entity of
which more than 50% of the total voting power of shares of Capital Stock
entitled (without regard to the occurrence of any contingency) to vote in the
election of directors, managers or trustees thereof is at the time owned or
controlled, directly or indirectly, by such Person or one or more of the other
Subsidiaries of that Person (or a combination thereof); and

          (2)   any partnership (a) the sole general partner or the managing
general partner of which is such Person or a Subsidiary of such Person or (b)
the only general partners of which are such Person or one or more Subsidiaries
of such Person (or any combination thereof).

          "Subsidiary Guaranties" shall mean, collectively, all guaranties from
time to time entered into by subsidiaries of the Company to guaranty the
obligations of the Company under any Secured Agreement.

          "Subsidiary Guarantors" shall mean each subsidiary of the Company that
enters into a Subsidiary Guaranty.

                                        6

<PAGE>

          "TIA" means the Trust Indenture Act of 1939, as in effect on the date
the New Indenture is qualified thereunder.

          "XM Leasing Subsidiary" shall have the meaning set forth in the
preamble hereof.

SECTION 2  Priority of Liens.

     Section 2.1.  Pari Passu Liens of the Secured Parties. All Liens now or
hereafter existing in favor of the Collateral Agent or any Secured Party on any
Collateral of any Grantor to secure the Secured Obligations of such Grantor
shall be pari passu at all times, regardless of the time or order of attachment
or perfection, any provisions to the contrary in the Collateral Document
notwithstanding or any other circumstances whatsoever.

     Section 2.2.  Nonavoidability of Liens. The pari passu treatment of all
Liens specified in Section 2.1 is expressly conditioned upon the nonavoidability
and perfection of the Lien to which another Lien is made pari passu and, if the
Lien to which another Lien is made pari passu is not perfected or is avoided,
for any reason, then the pari passu treatment provided for in Section 2.1 shall
not be effective as to the particular Collateral which is the subject of the
unperfected or avoided lien.

SECTION 3  Relationships Among Secured Parties.

     Section 3.1.  Restrictions on Actions. Each Secured Party agrees that, so
long as any Secured Obligations are outstanding or any Secured Party has any
commitment to extend credit in respect thereof pursuant to the terms of any
Secured Agreement, the provisions of this Agreement shall provide the exclusive
method by which any Secured Party may exercise rights and remedies with respect
to the Collateral under the Collateral Document and under applicable law
relating to the rights and remedies of secured creditors. Therefore, each
Secured Party shall, for the mutual benefit of all Secured Parties, except as
permitted under this Agreement, refrain from exercising any rights or remedies
with respect to the Collateral under the Collateral Document, or under
applicable law relating to the rights and remedies of secured creditors, which
have or may have arisen or which may arise as a result of a Default or Event of
Default or otherwise, except for delivering notices hereunder, provided,
however, that nothing contained in this Section 3.1 shall prevent any Secured
Party from exercising or enforcing any other right or remedy available to any
Secured Party under any Secured Agreement including, without limitation,
accelerating the maturity of the Secured Obligations under such Secured
Agreement, terminating any commitments to lend additional money to the Company
under such Secured Agreement in accordance with the terms thereof, exercising
its rights under any guarantees granted thereunder, imposing a default rate of
interest as provided in such Secured Agreement, commencement of any legal
proceedings, whether at law or in equity, to enforce any of the Secured
Agreements, raising any defenses in any action in which it has been made a party
defendant or has been joined as a third party, except that the Collateral Agent
may, but shall not be obligated to, direct and control any defense directly
relating to the Collateral or the Collateral Document, which shall be governed
by the provisions of this Agreement.

     Section 3.2.  Representations and Warranties. (a) Each of the Secured
Parties represents and warrants to the other parties hereto that:

                                        7

<PAGE>

          (1) It (i) is either (x) a corporation duly organized, existing and in
good standing under the laws of the jurisdiction of its incorporation or (y) a
national banking association duly incorporated and existing under the laws of
the United States of America or a state-licensed branch of a foreign bank, and
(ii) has all requisite power (corporate or otherwise) to own its property and
conduct its business as now conducted and as presently contemplated.

          (2) The execution, delivery and performance by such Secured Party of
this Agreement has been authorized by all necessary proceedings (corporate or
otherwise) and does not and will not contravene any provision of law, its
charter or by-laws or any amendment thereof, or of any indenture, agreement,
instrument or undertaking binding upon such Secured Party.

          (3) The execution, delivery and performance by such Secured Party of
this Agreement will result in a valid and legally binding obligation of such
Secured Party enforceable in accordance with its terms.

     (b)  The Collateral Agent hereby represents and warrants as of the date
hereof that:

          (1) The Collateral Agent is a banking corporation validly existing and
in good standing under the laws of the State of New York.

          (2) The Collateral Agent has full power, authority and legal right
under the applicable laws pertaining to its banking powers to execute, deliver,
and perform this Agreement and has taken all necessary action to authorize the
execution, delivery and performance by it of this Agreement.

          (3) Execution, delivery and performance by the Collateral Agent of
this Agreement will not contravene any law, rule or regulation of the United
States or any United States governmental authority or agency regulating the
Collateral Agent's banking activities or any judgment or order applicable to or
binding on the Collateral Agent and will not contravene or result in any breach
of, or constitute a default under, the Collateral Agent's constitutive documents
or the provision of any indenture, mortgage, contract or other agreement to
which it is a party or by which it or any of its properties is bound.

          (4) Execution, delivery and performance by the Collateral Agent of
this Agreement will not require the authorization, consent, or approval of, the
giving of notice to, the filing or registration with, or the taking of any other
action in respect of, any United States governmental authority or agency
regulating the banking activities of the Collateral Agent.

          (5) This Agreement has been duly executed and delivered by the
Collateral Agent and constitutes the legal, valid, and binding agreement of the
Collateral Agent, enforceable in accordance with its terms, subject to
bankruptcy, insolvency, fraudulent conveyance and similar laws affecting
creditors' rights generally, and general principles of equity (regardless of
whether the application of such principles is considered in a proceeding in
equity or at law).

                                        8

<PAGE>

     Section 3.3.  Cooperation; Accountings. Each of the parties hereto will,
upon the reasonable request of another party, from time to time execute and
deliver or cause to be executed and delivered such further instruments, and do
and cause to be done such further acts as may be necessary or proper to carry
out more effectively the provisions of this Agreement. The Secured Parties agree
to provide to each other and the Collateral Agent, upon reasonable request, a
statement of (i) all payments received in respect of Secured Obligations and
(ii) all Secured Obligations owing under the Secured Agreements. In addition,
the Collateral Agent shall be entitled to rely conclusively on the information
contained in any note register maintained by the Company or Holdings pursuant to
the requirements of any Secured Agreement.

     Section 3.4.  Termination of any Secured Agreement. (a) Upon (i) the final
payment in full of all Secured Obligations owing to any Secured Party, or, in
the case of the Secured Obligations owing to the New Trustee, satisfaction of
the condition set forth in Section 3.4(b) and (ii) the termination of any
further commitments, if any, of such Secured Party to lend under any Secured
Agreement, such Secured Party shall promptly notify the Collateral Agent thereof
and such Secured Party shall immediately cease to be a party to this Agreement;
provided, however, if all or any part of any payments to such Secured Party (or
any Holders on behalf of whom such Secured Party is acting) are invalidated or
set aside or required to be paid or repaid to any Person in any Bankruptcy
Proceeding or otherwise (including, without limitation, any payment required to
be made by such Secured Party to one or more of the other Secured Parties
pursuant to Section 6.12), then this Agreement shall be renewed as of such date
and shall thereafter continue in full force and effect to the extent of the
Secured Obligations so invalidated, set aside, paid or repaid. Notwithstanding
the termination of any Secured Party as a party to this Agreement pursuant to
this Section 3.4, this Agreement shall continue to be in full force and effect
with respect to all remaining Secured Parties that have not ceased to be parties
to this Agreement.

     (b)  For the purpose of Section 3.4(a)(i), the final payment in full of all
Secured Obligations owing to the New Trustee shall be deemed to have occurred
upon the defeasance of the New Notes and the New Indenture as provided in
Section 8.02 of the New Indenture or upon the satisfaction of the conditions set
forth in Article Twelve of the New Indenture.

     Section 3.5.  Additional Creditors. Additional Creditors may, upon
compliance with the relevant provisions of the Secured Agreements, become
"Secured Parties" hereunder by executing and delivering to the Collateral Agent
and to each of the then existing Secured Parties (a) a joinder agreement in the
form attached hereto as Exhibit A and (b) a copy of the Additional Facility or
Additional Facilities to which such Person is a party. Upon the execution and
delivery of any such copy of this Agreement by any such Person, such Person,
shall, upon delivery thereof to the then existing Secured Parties, thereafter
become a Secured Party for all purposes of this Agreement.

SECTION 4  Appointment And Authorization Of Collateral Agent.

          (a) Each Secured Party hereby irrevocably designates and appoints The
Bank of New York as the Collateral Agent of such Secured Party under this
Agreement and the Collateral Document, and each Secured Party hereby irrevocably
authorizes The Bank of New York as the Collateral Agent for such Secured Party
to execute and enter into the Collateral Document and all other instruments
relating to the Collateral Document and (i) to take action on its behalf and

                                        9

<PAGE>

exercise such powers and use such discretion as are expressly permitted
hereunder and under the Collateral Document and all instruments relating hereto
and thereto and (ii) to exercise such powers and perform such duties as are, in
each case, expressly delegated to the Collateral Agent by the terms hereof and
thereof together with such other powers and discretion as are reasonably
incidental hereto and thereto.

          (b) Notwithstanding any provision to the contrary elsewhere in this
Agreement or the Collateral Document, the Collateral Agent shall not have any
duties or responsibilities except those expressly set forth herein or therein or
any fiduciary relationship with any Secured Party, and no implied covenants,
functions, responsibilities, duties, obligations or liabilities shall be read
into this Agreement or the Collateral Document or otherwise exist against the
Collateral Agent.

SECTION 5  Agency Provisions.

     Section 5.1.  Delegation of Duties. The Collateral Agent may exercise its
powers and execute any of its duties under this Agreement and the Collateral
Document by or through employees, agents or attorneys-in-fact and shall be
entitled to take and to rely on advice of counsel of its selection concerning
all matters pertaining to such powers and duties. The Collateral Agent shall not
be responsible for the negligence or misconduct of any agents or
attorneys-in-fact selected by it with reasonable care. The Collateral Agent may
utilize the services of such Persons as the Collateral Agent in its sole
discretion may determine, and all reasonable fees and expenses of such Persons
shall be borne by the Company.

     Section 5.2.  Exculpatory Provisions. Neither the Collateral Agent nor any
of the Collateral Agent's officers, directors, employees, agents,
attorneys-in-fact or Affiliates shall be (a) liable for any action taken or
omitted to be taken by it or such Person under or in connection with this
Agreement or the Collateral Document or any Collateral (except for its or such
Person's own gross negligence or willful misconduct), or (b) responsible in any
manner to any of the Secured Parties for any recitals, statements,
representations or warranties made by the Grantors, any officer thereof or any
other Person contained in, or made or deemed made in connection with, any
Secured Agreement or the Collateral Document or in any certificate, report,
statement or other document referred to or provided for in, or received by the
Collateral Agent under or in connection with, this Agreement, any Secured
Agreement, or the Collateral Document, or for the due execution, legality,
value, validity, effectiveness, genuineness, enforceability or sufficiency of
any Secured Agreement or the Collateral Document or any other document or
instrument furnished pursuant thereto or of any of the Collateral or for any
failure of any Grantor to perform its obligations under such documents. With
respect to any information or actions that the Collateral Agent is permitted to
request under the Collateral Document at the written request of the Acting
Secured Parties, the Collateral Agent shall request such information or actions
concerning the Collateral as the Acting Secured Parties shall direct in writing
and shall provide to the Secured Parties the information concerning the
Collateral that is provided to the Collateral Agent by any Grantor in response
to such request. The Collateral Agent shall be under no obligation to the
Secured Parties to ascertain or to inquire as to the observance or performance
of any of the agreements contained in, statements made in, or conditions of any
Secured Agreement or the Collateral Document, or, unless requested to do so by
Required Secured Parties in writing, to inspect the property (including the
books and records) of the Grantors. Notwithstanding

                                       10

<PAGE>

anything in this Agreement to the contrary, the Collateral Agent shall not be
required to expend or risk its own funds or otherwise incur any financial
liability in the performance of any of its duties hereunder, or in the exercise
of any of its rights or powers, if it shall have reasonable grounds for
believing that repayment of such funds or adequate indemnity against such risk
or liability is not reasonably assured to it.

     Section 5.3.  Reliance by Collateral Agent. The Collateral Agent shall be
entitled to conclusively rely, and shall be fully protected and shall incur no
liability in acting and relying, upon any writing, resolution, notice, consent,
certificate, affidavit, letter, cablegram, telegram, telecopy, telex or teletype
message, statement, order or other document reasonably believed by it to be
genuine and correct and to have been signed, sent or made by the proper Person
or Persons and upon advice of its legal counsel (which shall not also be counsel
to any Grantor), written advice of legal counsel to any Grantor that is required
pursuant to the New Indenture, or upon advice of independent accountants and
other experts selected by the Collateral Agent. Without limiting the generality
of the foregoing, the Collateral Agent may treat the payee of any Convertible
Note, any GM Convertible Note or any Additional Facility Note as the registered
holder thereof until it receives notice or otherwise has actual knowledge that
such payee is no longer the registered holder of such Convertible Note, GM
Convertible Note or Additional Facility Note. Notwithstanding anything to the
contrary contained herein or in the Collateral Document, the Collateral Agent
shall be fully justified in failing or refusing to take action under this
Agreement or the Collateral Document (including, without limitation, the
exercise of any rights or remedies under, or the entering into of any agreement
amending, modifying, supplementing, waiving any provision of, or the giving of
consent pursuant to, the Collateral Document) unless it shall first receive
instructions as contemplated by Section 6 from the Required Secured Parties or
the Acting Secured Parties, as applicable, and it shall first be indemnified to
its reasonable satisfaction by the relevant Secured Parties against any and all
liability and expense which may be incurred by it by reason of taking,
continuing to take or refraining from taking any such action. The Collateral
Agent shall in all cases be fully protected in acting, or in refraining from
acting, under this Agreement and the Collateral Document in accordance with the
provisions of Section 6.5 and in accordance with written instructions pursuant
to Section 6.4 of the Required Secured Parties or Acting Secured Parties, as
applicable, and such instructions and any action taken or failure to act
pursuant thereto shall be binding upon all the relevant Secured Parties.

     Section 5.4.  Knowledge or Notice of Default, Event of Default. The
Collateral Agent shall not be deemed to have actual, constructive, direct or
indirect knowledge or notice of the occurrence of any Default or Event of
Default unless and until the Collateral Agent has received written notice from a
Secured Party or the Company referring to applicable Secured Agreement,
describing such Default or Event of Default and stating that it is a "notice of
default" or a "notice of event of default", setting forth in reasonable detail
the facts and circumstances thereof and stating that the Collateral Agent may
rely on such notice without further inquiry; provided that if the Collateral
Agent hereunder is party to any Secured Agreement, the Collateral Agent shall be
deemed to have actual knowledge and notice of the occurrence of any Default or
Event of Default under such Secured Agreement if such Collateral Agent, in its
capacity as a Secured Party, has actual knowledge of such Default or Event of
Default or has declared an Event of Default under such Secured Agreement. The
Collateral Agent shall have no obligation or duty prior to or after receiving
any such notice to inquire whether a Default or Event of Default has in

                                       11

<PAGE>

fact occurred and shall be entitled to conclusively rely, and shall be fully
protected in so relying, on any such notice furnished to it.

     Section 5.5.  Non-Reliance on Collateral Agent and Other Secured Parties.
Each Secured Party expressly acknowledges that, except as expressly set forth in
this Agreement, neither the Collateral Agent nor any of the Collateral Agent's
officers, directors, employees, agents, attorneys-in-fact or Affiliates has made
any representations or warranties to it and that no act by the Collateral Agent
hereafter taken, including any review of the affairs of the Grantors, shall be
deemed to constitute any representation or warranty by the Collateral Agent to
any Secured Party. Each Secured Party represents that it has, independently and
without reliance upon the Collateral Agent or any other Secured Party, and based
on such documents and information as it has deemed appropriate, made its own
appraisal of and investigation into the business, operations, property,
financial and other condition and credit-worthiness of the Grantors and made its
own decision to enter into this Agreement and any Secured Agreement to which it
is party. Each Secured Party also represents that it will, independently and
without reliance upon the Collateral Agent or any other Secured Party, and based
on such documents and information as it shall deem appropriate at the time,
continue to make its own credit analysis, appraisals and decisions in taking or
not taking action under any Secured Agreement, the Collateral Document and this
Agreement, and to make such investigation as it deems necessary to inform itself
as to the business, operations, property, financial and other condition and
credit-worthiness of the Grantors. Except for notices, reports and other
documents expressly required to be furnished to the Secured Parties by the
Collateral Agent hereunder, the Collateral Agent shall not have any duty or
responsibility to provide the Secured Parties with any credit or other
information concerning the business, operations, property, financial and other
condition or credit-worthiness of the Grantors which may come into the
possession of the Collateral Agent or any of its officers, directors, employees,
agents, attorneys-in-fact or Affiliates.

     Section 5.6.  Indemnification. The Secured Parties agree to indemnify the
Collateral Agent in its capacity as such (to the extent not reimbursed by the
Company, but without limiting any obligation of the Company to do so) ratably in
accordance with the Secured Parties' Pro Rata Shares, against, and hold the
Collateral Agent harmless from, any and all liabilities, obligations, losses,
claims, damages, penalties, actions, judgments, suits, costs, expenses or
disbursements of any kind or nature whatsoever, which may be imposed on,
incurred by, or asserted against the Collateral Agent, in any way relating to or
arising out of this Agreement or the Collateral Document or the transactions
contemplated hereby or thereby or any action taken or omitted by the Collateral
Agent in connection with any of the foregoing; provided that no Secured Party
shall be liable to the Collateral Agent for any portion of such liabilities,
obligations, losses, claims, damages, penalties, actions, judgments, suits,
costs, expenses or disbursements to the extent they are found by a final
decision of a court of competent jurisdiction to have resulted from the
Collateral Agent's gross negligence or willful misconduct or any action taken or
omitted to be taken that is not substantially in accordance with reasonable
instructions issued by the Required Secured Parties or the Acting Secured
Parties in accordance with Section 6.4(a). The agreements in this Section 5.6
shall survive the payment of the Secured Obligations.

     Section 5.7.  Collateral Agent in Its Individual Capacity. The Bank of New
York and its Affiliates may make loans to and generally engage in any kind of
business with the Company or any other Grantor as though such Person was not the
Collateral Agent hereunder and without

                                       12

<PAGE>

any duty to account therefor to the Secured Parties. With respect to any debt
issued to it and advances made by it under a Secured Agreement, if any, The Bank
of New York shall have the same rights and powers under this Agreement as any
Secured Party and may exercise the same as though it were not the Collateral
Agent, and the terms "Secured Party" and "Secured Parties" shall include The
Bank of New York in its individual capacity. Any Person which succeeds The Bank
of New York as Collateral Agent shall have the same rights as The Bank of New
York under this Section 5.7 with respect to debt issued to it and advances made
by it under any Secured Agreement.

     Section 5.8.  Successor Collateral Agent.

          (a) The Collateral Agent may resign at any time upon thirty days'
notice to the Secured Parties and the Company and may be removed at any time,
with or without cause, by the Required Secured Parties by written notice
delivered to the Company, the Collateral Agent and the Secured Parties. After
any resignation or removal hereunder of the Collateral Agent, the provisions of
this Section 5 shall continue to inure to its benefit as to any actions taken or
omitted to be taken by it in connection with its role as Collateral Agent
hereunder while it was the Collateral Agent under this Agreement and it shall be
entitled to be paid promptly when due any amounts owing to it pursuant to
Section 5.6.

          (b) Upon receiving notice of any such resignation or removal, a
successor Collateral Agent shall be appointed by the Required Secured Parties;
provided, however, that such successor Collateral Agent shall be (i) a bank or
trust company having a combined capital and surplus of at least $100,000,000,
subject to supervision or examination by a federal or state banking authority;
and (ii) authorized under the laws of the jurisdiction of its incorporation or
organization to assume the functions of the Collateral Agent. If the appointment
of such successor shall not have become effective (as hereafter provided) (x)
within such thirty day period after the Collateral Agent's notice of resignation
or (y) upon removal of the Collateral Agent, then the Collateral Agent or any
Secured Party may, at the expense of the Secured Parties according to their Pro
Rata Shares, petition a court of competent jurisdiction for the appointment of a
successor Collateral Agent. Such court shall, after such notice as it may deem
proper, appoint a successor Collateral Agent meeting the qualifications
specified in this Section 5.8(b). The Secured Parties hereby consent to such
petition and appointment so long as such criteria are met.

          (c) The resignation or removal of a Collateral Agent and the
appointment of a successor Collateral Agent pursuant to this Section 5.8 shall
become effective upon (i) the acceptance of the appointment as Collateral Agent
hereunder by a successor Collateral Agent and (ii) the execution and delivery of
such documents or instruments as are necessary to transfer to such Collateral
Agent the rights and obligations of the Collateral Agent under the Collateral
Document, including, without limitation, the delivery and recordation of all
amendments, instruments, deed of trusts, financing statements, continuation
statements and other documents necessary to maintain the perfection of the
security interests held by the Collateral Agent hereunder and under the
Collateral Document. Copies of each such document or instrument shall be
delivered to all Secured Parties. Upon such effective appointment, the successor
Collateral Agent shall succeed to and become vested with all the rights, powers,
privileges and duties of the retiring Collateral Agent and the retiring
Collateral Agent shall be discharged from its rights, powers, privileges and
duties under this Agreement and the Collateral Document;

                                       13

<PAGE>

provided, however, that the provisions of this Section 5 shall continue to inure
to the retiring Collateral Agent's benefit as to any actions taken or omitted to
be taken by it in connection with its role as Collateral Agent hereunder while
it was the Collateral Agent under this Agreement.

SECTION 6  Actions By The Collateral Agent.

     Section 6.1.  Duties and Obligations. The duties and obligations of the
Collateral Agent are only those set forth in this Agreement and in the
Collateral Document.

     Section 6.2.  Notification of Default. If the Collateral Agent has been
notified in a writing conforming to the requirements of Section 5.4 by any
Secured Party that a Default or an Event of Default has occurred, the Collateral
Agent shall furnish to the Secured Parties and the Company a copy of such
written notice. The failure of any Secured Party having knowledge of the
occurrence of a Default or an Event of Default to notify the Collateral Agent or
any Secured Party of such occurrence, however, does not constitute a waiver of
such Default or Event of Default by the Secured Parties. Upon receipt of a
notice conforming to the requirements of Section 5.4 from a Secured Party of the
occurrence of an Event of Default, the Collateral Agent shall (in addition to
the action required by the first sentence of this Section 6.2) promptly (and in
any event no later than ten Business Days after receipt of such notice) issue a
notice of default (a "Notice of Default") to all Secured Parties. Such Notice of
Default shall indicate the nature of such Event of Default. The Notice of
Default may request instructions from the Secured Parties and shall specify the
date on which responses are due in order to be timely within Section 6.4.

     Section 6.3.  Exercise of Remedies. Except as otherwise provided in Section
6.4 and Section 6.5, the Collateral Agent shall take only such actions and
exercise only such remedies under the Collateral Document as are directed in
written instructions delivered to the Collateral Agent as required under Section
6.4 and signed by the Required Secured Parties. In the event that the Collateral
Agent shall determine in good faith that taking the actions specified in such
instructions is contrary to law, it may refrain (and shall be fully protected in
so refraining) from taking such action and shall promptly give notice of such
fact to each of the Secured Parties. In the event that instructions received by
the Collateral Agent are in its good faith judgment ambiguous or conflict with
other instructions received by the Collateral Agent, the Collateral Agent (a)
shall promptly notify the Secured Parties of such ambiguity or conflict and
request clarifying instructions, and (b) may either (1) delay taking any such
action or exercising any such remedy pending the receipt of such clarifying
instructions (and shall be fully protected in so delaying) or (2) take such
actions as it is entitled to take under Section 6.5, provided that in taking
such actions the Collateral Agent shall act with such care as a reasonably
prudent person accords his own property.

     Section 6.4.  Instructions from Secured Parties.

          Notwithstanding anything express or implied to the contrary in the
Collateral Document:

          (a) remedies and other actions to be taken under the Collateral
     Document or applicable law with respect to the Collateral shall be directed
     in writing by the Required Secured Parties (or, in the case of the requests
     for information and actions to be taken at

                                       14

<PAGE>

     the direction of the Acting Secured Parties pursuant to Section 5.2, by the
     Acting Secured Parties); and

          (b) if any Secured Party does not respond in a timely manner to any
     notice (including, without limitation, a Notice of Default) from the
     Collateral Agent or request for instructions within the time period
     specified by the Collateral Agent in such notice or request for
     instructions (which shall be a minimum of five Business Days), the Secured
     Obligations held by such Secured Party which would otherwise be included in
     a determination of Required Secured Parties or Acting Secured Parties, as
     applicable, shall not be included in the determination of Required Secured
     Parties or Acting Secured Parties, as applicable, for purposes of such
     notice or request for instructions. Any action taken or not taken without
     the vote of such Secured Party or Secured Parties under this Section 6.4
     shall nevertheless be binding on such Secured Party or Secured Parties.

     Section 6.5.  Emergency Actions. If the Collateral Agent has asked the
Secured Parties for instruction and the Required Secured Parties or Acting
Secured Parties, as applicable, have not yet responded to such request, the
Collateral Agent shall be authorized to take, but shall not be required to take,
and shall in no event have any liability for the taking, any delay in taking or
the failure to take, such actions (other than any action described or permitted
under Section 6.7) with regard to a Default or Event of Default which the
Collateral Agent, in good faith, believes to be reasonably required to promote
and protect the interests of the Secured Parties and to preserve the value of
the Collateral and shall give the Secured Parties appropriate notice of such
action; provided that once instructions with respect to such request have been
received by the Collateral Agent from the Required Secured Parties or Acting
Secured Parties, as applicable, the actions of the Collateral Agent shall be
governed thereby and the Collateral Agent shall not take any further action
which would be contrary thereto.

     Section 6.6.  Changes to Collateral Document. Any term of the Collateral
Document may be amended, and the performance or observance by the parties to the
Collateral Document of any term of the Collateral Document may be waived (either
generally or in a particular instance and either retroactively or
prospectively), with the written consent of the Required Secured Parties;
provided, however, that any amendment or waiver pursuant to this Section 6.6
shall apply equally to the interests of all Secured Parties under the Collateral
Document.

     Section 6.7.  Release of Collateral. (a) Subject to Section 314(d) of the
TIA (to the extent applicable), the release of any Collateral by the Collateral
Agent from the Lien of the Collateral Document shall be permitted with the
written consent of all of the Secured Parties; provided, however, that the
written consent of any Secured Party to the release of Collateral by the
Collateral Agent shall not be required, and the Lien of the Collateral Document
shall automatically be released, (i) with respect to any assets that any Grantor
disposes of pursuant to a disposition that is permitted under each of the
Secured Agreements and (ii) with respect to any assets owned by a Subsidiary
Guarantor that is released from its obligations under all Subsidiary Guaranties
to which it is a party.

          (b) Subject to Section 314(d) of the TIA (to the extent applicable),
the Collateral Agent shall provide a written release of any Lien on any
Collateral if it shall have received an officer's certificate from the Company
certifying that all conditions precedent to

                                       15

<PAGE>

such release hereunder have been satisfied. Upon compliance with the foregoing
sentence, the Collateral Agent shall execute, deliver or acknowledge any
reasonably requested instruments of termination, satisfaction or release to
evidence the release of any Collateral permitted to be released pursuant to this
Agreement.

     Section 6.8.  Other Actions. The Collateral Agent shall have the right to
take such actions, or omit to take such actions, hereunder and under the
Collateral Document not inconsistent with the written instructions delivered
pursuant to Section 6.3 of the Required Secured Parties or otherwise not
inconsistent with the terms of this Agreement, including actions the Collateral
Agent deems necessary or appropriate to perfect or continue the perfection of
the Liens on the Collateral for the benefit of the Secured Parties. Except as
otherwise provided by applicable law, the Collateral Agent shall have no duty as
to any Collateral, the collection or protection of the Collateral or any income
therefrom (including any duty to ascertain or take action with respect to calls,
conversions, exchanges, maturities, tenders or other matters relative to any
Collateral, whether or not the Collateral Agent has or is deemed to have
knowledge of such matters), nor as to the preservation of rights against prior
parties, nor as to the preservation of rights pertaining to the Collateral
beyond the safe custody of any Collateral in the Collateral Agent's actual
possession.

     Section 6.9.  Cooperation. To the extent that the exercise of the rights,
powers and remedies of the Collateral Agent in accordance with this Agreement
requires that any action be taken by any Secured Party, such Secured Party shall
take such action and cooperate with the Collateral Agent to ensure that the
rights, powers and remedies of all Secured Parties are exercised in full.

     Section 6.10. Distribution of Proceeds of Collateral.

          (a) Upon any realization upon the Collateral, the Secured Parties
agree that the proceeds thereof shall be applied (i) first, to the amounts owing
to the Collateral Agent, solely in its capacity as Collateral Agent, by the
Grantors or the Secured Parties pursuant to this Agreement or the Collateral
Document; (ii) second, to reimburse the Secured Parties for any amounts paid
under Section 5.6 hereof; (iii) third, to the payment of all amounts of accrued
and unpaid interest which constitute Secured Obligations; (iv) fourth, to all
amounts of principal outstanding (or, if applicable, unpaid accreted value) in
respect of the Secured Obligations; (v) fifth, to all other Secured Obligations
then owing to the Secured Parties; and (vi) sixth, the balance, if any, shall be
returned to the Company or such other Persons as are entitled thereto. All
applications of such proceeds pursuant to clauses (ii) through (v) above shall
be allocated among the Secured Parties on the basis of their respective Pro Rata
Shares.

          (b) Upon the request of the Collateral Agent prior to any distribution
under this Section 6.10, each Secured Party shall provide to the Collateral
Agent certificates, in form and substance reasonably satisfactory to the
Collateral Agent, setting forth the respective amounts referred to in
Section 6.10(a), that each such Secured Party believes it is entitled to
receive.

     Section 6.11. Authorized Investments. Any and all funds held by the
Collateral Agent in its capacity as Collateral Agent, whether pursuant to any
provision of this Agreement or the Collateral Document, shall to the extent
feasible within a reasonable time be invested by the

                                       16

<PAGE>

Collateral Agent in Cash Equivalent Investments that are specified in writing by
the Company; provided, however, that upon the receipt of notice of a Default or
Event of Default pursuant to Section 5.4, such investments shall be invested as
specified in writing by the Required Secured Parties. Prior to making such
investment or to the extent it is not feasible to invest such funds in Cash
Equivalent Investments, the Collateral Agent shall hold any such funds in an
interest bearing account. Any interest earned on such funds shall be disbursed
to the Secured Parties in accordance with Section 6.10(a). The Collateral Agent
shall have no duty to place funds held and invested pursuant to this Section
6.11 in investments which provide a maximum return. The Collateral Agent shall
not be responsible for any loss, fee, tax or other damages with respect to any
funds invested in accordance with this Section 6.11.

     Section 6.12. Sharing of Proceeds. If, despite the provisions of this
Agreement, any Secured Party shall receive any payment or other recovery in
excess of its portion of payments on account of the Secured Obligations to which
it is then entitled in accordance with this Agreement, such Secured Party shall
hold such payment or other recovery in trust for the benefit of all Secured
Parties hereunder for distribution in accordance with Section 6.10(a).

SECTION 7  Bankruptcy Proceedings.

          The following provisions shall apply during any Bankruptcy Proceeding
of any Grantor:

          (a) The Collateral Agent shall represent all Secured Parties in
connection with all matters directly relating to the Collateral, including
without limitation, use, sale or lease of Collateral, use of cash collateral,
relief from the automatic stay and adequate protection. The Collateral Agent
shall act on the instructions of the Required Secured Parties; provided that
subject to Section 2.2, such instructions by the Required Secured Parties shall
not treat any Secured Party differently with respect to its rights in the
Collateral from any other Secured Party; and provided further that if action is
required prior to the time such instructions are received or if the Required
Secured Parties fail to give instructions with respect to any matter, the
Collateral Agent shall be authorized to act, or refrain from acting, in
accordance with Section 6.5.

          (b) Each Secured Party shall be free to act independently on any issue
not directly relating to the Collateral, including without limitation, matters
relating to appointment of a trustee, conversion of a case, filing of claims,
and plans of reorganization. Each Secured Party shall give prior notice to the
Collateral Agent of any such action to the extent that such notice is possible.
If such prior notice is not given, such Secured Party shall give prompt notice
following any such action.

SECTION 8  Miscellaneous.

     Section 8.1.  Entire Agreement. This Agreement represents the entire
agreement among the Collateral Agent, the Secured Parties and the Grantors in
respect of the subject matter hereof.

     Section 8.2.  Notices. Notices hereunder shall be given to the Secured
Parties at their addresses as set forth on Schedule II hereto or at such other
address as may be designated by each in a written notice to the other parties
hereto.

                                       17

<PAGE>

     Section 8.3.  Successors and Assigns. This Agreement shall be binding upon
and inure to the benefit of the Collateral Agent and each of the Secured Parties
and their respective successors and assigns, whether so expressed or not, and,
in particular, shall inure to the benefit of and be enforceable by and against
any future holder or holders of any Secured Obligations, and the term "Secured
Party" shall include any such subsequent holder of Secured Obligations, wherever
the context permits.

     Section 8.4.  Consents, Amendment, Waivers. All amendments, waivers or
consents of any provision of this Agreement shall be effective only if the same
shall be in writing and signed by the Collateral Agent and all of the Secured
Parties.

     Section 8.5.  Governing Law. This Agreement shall be governed by and
construed in accordance with the laws of the State of New York, without giving
effect to any conflicts of law principles thereof other than New York General
Obligations Law Sections 5-1401 and 5-1402.

     Section 8.6.  Counterparts. This Agreement may be executed in any number of
counterparts, all of which taken together shall constitute one Agreement, and
any of the parties hereto may execute this Agreement by signing any such
counterpart.

     Section 8.7.  Sale of Interest. No Secured Party will sell, transfer or
otherwise dispose of any interest in the Secured Obligations unless such
purchaser or transferee shall agree, in writing, to be bound by the terms of
this Agreement.

     Section 8.8.  Severability. In case any one or more of the provisions
contained in this Agreement shall be invalid, illegal or unenforceable in any
respect, the validity, legality and enforceability of the remaining provisions
of this Agreement shall not in any way be affected or impaired thereby.

     Section 8.9.  Expenses. Without limiting the indemnification obligations of
the Secured Parties to the Collateral Agent pursuant to Section 5.6, in the
event of any litigation to enforce this Agreement, the prevailing party shall be
entitled to its reasonable attorney's fees and expenses (including the allocated
costs of in-house counsel).

     Section 8.10. Term of Agreement. This Agreement shall terminate when the
conditions set forth in Section 3.4(a) have been satisfied with respect to all
of the Secured Parties, or when the Collateral Agent and all of the other
Secured Parties mutually agree in a writing to terminate this Agreement,
whichever occurs earlier.

     Section 8.11. Obligations Several. The obligations of the Secured Parties
and the Collateral Agent hereunder are several. The failure of any Secured Party
or the Collateral Agent to carry out its obligations hereunder shall not relieve
any other Secured Party or the Collateral Agent of any obligation hereunder, nor
shall any Secured Party or the Collateral Agent be responsible for the
obligations of, or any action taken or omitted by, any other Person hereunder.
Nothing contained in this Agreement shall be deemed to cause any Secured Party
or the Collateral Agent to be considered a partner of or joint venturer with any
other Secured Party, the Collateral Agent, or any Grantor.

                                       18

<PAGE>

     Section 8.12. Trustee Status. Notwithstanding any term herein to the
contrary, it is hereby expressly agreed and acknowledged that the agreements set
forth herein by the New Trustee are made solely in its capacity as trustee with
respect to the New Notes (and not in its individual commercial capacity, except
to the extent that it is or becomes a New Holder). The New Trustee shall have no
duties, obligations, or responsibilities to any Secured Party under this
Agreement except as expressly set forth herein. Nothing in this Agreement shall
be construed to operate as a waiver by the New Trustee with respect to the any
Grantor or any New Holder, of the benefit of any exculpatory provisions,
presumptions, indemnities, protections, benefits, immunities or reliance rights
contained in the New Indenture, and, by its acknowledgment hereof, each Grantor
expressly agrees that as between it on the one hand and the New Trustee on the
other hand, the New Trustee shall have such benefit with respect to all actions
or omissions by the New Trustee pursuant to this Agreement. For all purposes of
this Agreement, the New Trustee may (a) rely in good faith, as to matters of
fact, on any representation of fact believed by it to be true (without any duty
of investigation) and that is contained in a written certificate of any
authorized representative of the Company or of a Secured Party; (b) rely in good
faith, as to matters of law, on any advice received from its legal counsel or an
opinion of its counsel, counsel to the Company or counsel to any Secured Party,
and shall have no liability for any action or omission taken in reliance
thereon; and (c) assume in good faith (without any duty of investigation), and
rely upon, the genuineness, due authority, validity, and accuracy of any
certificate, instrument, notice, or other document believed by it in good faith
to be genuine and presented by the proper person.

     Section 8.13. Trust Indenture Act. To the extent applicable, if any
provision of this Agreement limits, qualifies or conflicts with the duties
imposed on the New Trustee or the Collateral Agent by the TIA, the TIA shall
control. Any action required to be taken in order to comply with the TIA shall
be taken by the New Trustee and the Collateral Agent, as applicable.

                                       19

<PAGE>

          In Witness Whereof, each of the parties hereto has caused this
Agreement to be executed as of the date first above written.

                                        The Bank of New York, as Collateral
                                        Agent

                                        By: /s/ John Guiliano
                                           -------------------------------------
                                        Name: John Guiliano
                                             -----------------------------------
                                        Its: Vice President
                                            ------------------------------------

                                        The Bank of New York, as New Trustee

                                        By: /s/ John Guiliano
                                           -------------------------------------
                                        Name: John Guiliano
                                             -----------------------------------
                                        Its: Vice President
                                            ------------------------------------

<PAGE>

     In Witness Whereof, each of the parties hereto has caused this Agreement to
be executed as of the date first above written.

                                        General Motors Corporation

                                        By: /s/ R. J. Harries
                                           -------------------------------------
                                        Name: R. J. Harries
                                             -----------------------------------
                                        Its:
                                            ------------------------------------

                                        Onstar Corporation

                                        By: /s/ Kenneth D. Enborg
                                           -------------------------------------
                                        Name: Kenneth D. Enborg
                                            ------------------------------------
                                        Its: Vice President and General Counsel
                                            ------------------------------------

                                        SF CAPITAL PARTNERS, LTD, A British
                                        Virgin Islands company

                                        By: /s/ Brian H. Davidson
                                           -------------------------------------
                                        Name: Brian H. Davidson
                                             -----------------------------------
                                        Its: Authorized Signatory
                                            ------------------------------------

                                              /s/ A. R. Sanchez, Jr.
                                        ----------------------------------------
                                        A. R. Sanchez, Jr.

                                        PRISM PARTNERS I, L.P.
                                        By Weintraub Capital Management LLC,
                                        its Investment Manager

                                        By: /s/ Jerald Weintraub
                                           -------------------------------------
                                        Name: Jerald Weintraub
                                             -----------------------------------
                                        Its: Managing Partner
                                            ------------------------------------

                                        PRISM PARTNERS OFFSHORE FUND
                                        By Weintraub Capital Management LLC,
                                        its Investment Manager

<PAGE>

                                        By: /s/ Jerald Weintraub
                                           -------------------------------------
                                        Name: Jerald Weintraub
                                             -----------------------------------
                                        Its: Managing Partner
                                            ------------------------------------

                                        PRISM PARTNERS II OFFSHORE FUND
                                        By Weintraub Capital Management LLC,
                                        its Investment Manager

                                        By: /s/ Jerald Weintraub
                                           -------------------------------------
                                        Name: Jerald Weintraub
                                             -----------------------------------
                                        Its: Managing Partner
                                            ------------------------------------

                                        HUGHES ELECTRONICS CORPORATION

                                        By: /s/ Patrick T. Doyle
                                           -------------------------------------
                                        Name: Patrick T. Doyle
                                             -----------------------------------
                                        Its: Vice President, Treasurer and
                                               Controller
                                            ------------------------------------

                                              /s/ Michael W. Harris
                                        ----------------------------------------
                                        Michael W. Harris

                                              /s/ John Dealy
                                        ----------------------------------------
                                        John Dealy

                                        COLUMBIA CAPITAL EQUITY PARTNERS II
                                          (QP), L.P.
                                        By Columbia Capital Equity Partners III,
                                        L.P., its General Partner

                                        By: /s/ James B. Fleming, Jr.
                                           -------------------------------------
                                        Name: James B. Fleming, Jr.
                                             -----------------------------------
                                        Its: Vice President
                                            ------------------------------------

<PAGE>

                                        COLUMBIA CAPITAL EQUITY PARTNERS III
                                          (QP), L.P.
                                        By Columbia Capital Equity Partners III,
                                          L.P., its General Partner

                                        By: /s/ James B. Fleming, Jr.
                                           -------------------------------------
                                        Name: James B. Fleming, Jr.
                                             -----------------------------------
                                        Its: Vice President
                                            ------------------------------------

                                        COLUMBIA XM RADIO PARTNERS, LLC
                                        By Columbia Capital L.L.C., its Managing
                                          Member

                                        By: /s/ James B. Fleming, Jr.
                                           -------------------------------------
                                        Name: James B. Fleming, Jr.
                                             -----------------------------------
                                        Its: Vice President
                                            ------------------------------------

                                        COLUMBIA XM SATELLITE PARTNERS III, LLC

                                        By: /s/ James B. Fleming, Jr.
                                           -------------------------------------
                                        Name: James B. Fleming, Jr.
                                             -----------------------------------
                                        Its: Vice President
                                            ------------------------------------

                                        BLACK BEAR FUND I, L.P., a California
                                          limited partnership
                                        By Eastbourne Capital Managment, L.L.C.,
                                          its general partner

                                        By: /s/ Eric. M. Sippel
                                           -------------------------------------
                                        Name:  Eric M. Sippel
                                             -----------------------------------
                                        Its: Chief Operating Officer
                                            ------------------------------------

<PAGE>

                                        BLACK BEAR FUND II, L.L.C., a California
                                          limited liability company
                                        By Eastbourne Capital Managment, L.L.C.,
                                          its manager

                                        By: /s/ Eric. M. Sippel
                                           -------------------------------------
                                        Name: Eric M. Sippel
                                             -----------------------------------
                                        Its: Chief Operating Officer
                                            ------------------------------------

                                        BLACK BEAR OFFSHORE MASTER FUND
                                          LIMITED, a Cayman Islands exempted
                                          company
                                        By Eastbourne Capital Managment, L.L.C.,
                                          its investment adviser and
                                          attorney in fact

                                        By: /s/ Eric. M. Sippel
                                           -------------------------------------
                                        Name: Eric M. Sippel
                                             -----------------------------------
                                        Its: Chief Operating Officer
                                            ------------------------------------

                                        AMERICAN HONDA MOTOR CO., INC., a
                                          California corporation

                                        By: /s/ Thomas G. Elliott
                                           -------------------------------------
                                        Name: Thomas G. Elliott
                                             -----------------------------------
                                        Its: Executive Vice President
                                            ------------------------------------

                                        AVDAN PARTNERS, L.P.

                                        By: /s/ Mark B. Friedman
                                        ----------------------------------------
                                        Name: Mark B. Friedman, President
                                              MBF Capital Management, Inc.
                                              Its Managing General Partner

                                              /s/ Paul Greenwald
                                        ----------------------------------------
                                        Paul Greenwald

<PAGE>

                                AEA XM Investors IA LLC
                                By: XM Investors IA LP,
                                    its Sole Member
                                    By: AEA XM Investors Inc.,
                                        its General Partner

                                        By: /s/ Christine J. Smith
                                            ------------------------------------
                                        Name:  Christine J. Smith
                                        Title: Vice President

                                AEA XM Investors IIA LLC
                                By: XM Investors IIA LP,
                                    its Sole Member
                                    By: AEA XM Investors Inc.,
                                        its General Partner

                                        By: /s/ Christine J. Smith
                                            ------------------------------------
                                        Name:  Christine J. Smith
                                        Title: Vice President

                                BAYSTAR CAPITAL II, L.P., a Delaware limited
                                    partnership
                                By  BayStar Capital Management, LLC, its general
                                    partner

                                By: /s/ Lawrence Goldfarb
                                    --------------------------------------------
                                Name:  Lawrence Goldfarb
                                Title: Managing Member

                                BAYSTAR INTERNATIONAL II, Ltd., a British
                                    Virgin Islands exempt company
                                By  BayStar Capital Management, LLC, its
                                    investment manager

                                By: /s/ Lawrence Goldfarb
                                    --------------------------------------------
                                Name:  Lawrence Goldfarb
                                Title: Managing Member

                                ROYAL BANK OF CANADA

                                By its agent, RBC
                                Dominion Securities Corporation

                                By: /s/ Steven C. Milke
                                   ---------------------------------------------
                                Name: Steven C. Milke
                                Title: Managing Director

                                By: /s/ Richard J. Tavoso
                                   ---------------------------------------------
                                Name:  Richard J. Tavoso
                                Title: Managing Director

                                EVEREST CAPITAL MASTER FUND L.P.
                                By Everest Capital Limited, its general partner

                                By: /s/ Malcolm Stott
                                    --------------------------------------------
                                Name:  Malcolm Stott
                                Title: Chief Operating Officer

                                By: /s/ Eric Graham
                                    --------------------------------------------
                                ERIC GRAHAM
                                PRINCIPAL

                                EVEREST CAPITAL SENIOR DEBT FUND L.P.
                                By Everest Capital Limited, its general partner

                                By: /s/ Malcolm Stott
                                    --------------------------------------------
                                Name:  Malcolm Stott
                                Title: Chief Operating Officer

                                By: /s/ Eric Graham
                                    --------------------------------------------
                                ERIC GRAHAM
                                PRINCIPAL

                                /s/ George Haywood
                                ------------------------------------------------
                                George Haywood

                                HEARST COMMUNICATIONS, INC., a
                                    Delaware corporation

                                By: /s/ Kenneth A. Bronfin
                                    --------------------------------------------
                                Name:  Kenneth A. Bronfin
                                Title: President, Hearst Interactive Media,
                                          a division of Hearst Communications,
                                          Inc.

                                SUPERIUS SECURITIES GROUP, INC.
                                MONEY PURCHASE PLAN

                                By: /s/ James Hudgins
                                    --------------------------------------------
                                Name:  James Hudgins
                                Title: Trustee

                                US TRUST COMPANY

                                By: /s/ David Williams
                                    --------------------------------------------
                                Name: David Williams
                                Title: Managing Director

                                NEERA SINGH and RAJENDRA SINGH JTWROS

                                    /s/ Neera Singh
                                ------------------------------------------------

                                    /s/ Rajendra Singh
                                ------------------------------------------------

                                HERSH RAJ SINGH EDUCATIONAL TRUST
                                By:

                                    /s/ Neera Singh
                                ------------------------------------------------
                                Name:  Neera Singh
                                Title: Trustee

                                    /s/ J. T. Westermeier
                                ------------------------------------------------
                                Name:  J. T. Westermeier
                                Title: Co-Trustee

                                SAMIR RAJ SINGH EDUCATIONAL TRUST
                                By:

                                    /s/ Neera Singh
                                ------------------------------------------------
                                Name:  Neera Singh
                                Title: Trustee

                                    /s/ J. T. Westermeier
                                ------------------------------------------------
                                Name:  J. T. Westermeier
                                Title: Co-Trustee

The undersigned hereby acknowledge and agree to the foregoing Agreement.

                                XM Satellite Radio Inc.

                                By: /s/ Joseph M. Titlebaum
                                    --------------------------------------------
                                Name: Joseph M. Titlebaum
                                      ------------------------------------------
                                Its: Senior Vice President, General
                                     Counsel and Secretary
                                     -------------------------------------------

                                XM Satellite Radio Holdings Inc.

                                By: /s/ Joseph M. Titlebaum
                                    --------------------------------------------
                                Name: Joseph M. Titlebaum
                                      ------------------------------------------
                                Its: Senior Vice President, General
                                     Counsel and Secretary
                                     -------------------------------------------

                                XM Equipment Leasing LLC

                                By: /s/ Joseph M. Titlebaum
                                    --------------------------------------------
                                Name: Joseph M. Titlebaum
                                      ------------------------------------------
                                Its: Senior Vice President, General
                                     Counsel and Secretary
                                     -------------------------------------------

<PAGE>

                                   SCHEDULE I

                          CONVERTIBLE NOTES NOTEHOLDERS

AEA XM Investors IA LLC

AEA XM Investors IIA LLC

Columbia Capital Equity Partners II (QP), L.P.

Columbia XM Radio Partners, LLC

Columbia Capital Equity Partners III (QP), L.P.

Columbia XM Satellite Partners III, LLC

Hughes Electronics Corporation

Black Bear Fund I, L.P.

Black Bear Fund II, L.L.C.

Black Bear Offshore Master Fund Limited

George Haywood

Hearst Communications, Inc.

BayStar Capital II, L.P.

BayStar International II, Ltd.

American Honda Motor Co., Inc.

Superius Securities Group, Inc. Money Purchase Plan

John Dealy

Avdan Partners, L.P.

Michael W. Harris

Paul Greenwald

SF Capital Partners, Ltd.

Neera Singh and Rajendra Singh JTWROS

Hersh Raj Singh Educational Trust

Samir Raj Singh Educational Trust

A.R. Sanchez, Jr.

Royal Bank of Canada

Everest Capital Master Fund L.P.

Everest Capital Senior Debt Fund L.P.

Prism Partners I, L.P.

Prism Partners Offshore Fund

Prism Partners II Offshore Fund

U.S. Trust Company

<PAGE>

                                   SCHEDULE II

                                NOTICE ADDRESSES
AEA
  AEA XM Investors IA LLC
  c/o AEA Investors Inc.
  65 E 55th Street
  New York, New York 10022
  Attention: General Counsel
  Fax: 212-702-0518

  AEA XM Investors IIA LLC
  c/o AEA Investors Inc.
  65 E 55th Street
  New York, New York 10022
  Attention: General Counsel
  Fax: 212-702-0518

Columbia Capital
  Columbia Capital Equity Partners II (QP), L.P.
  c/o Columbia Capital, LLC
  201 North Union Street, Suite 300
  Alexandria, VA 22314
  Attention: James B. Fleming
  Fax: 703-519-5870

  Columbia XM Radio Partners, LLC
  c/o Columbia Capital, LLC
  201 North Union Street, Suite 300
  Alexandria, VA 22314
  Attention: James B. Fleming
  Fax: 703-519-5870

  Columbia Capital Equity Partners III (QP), L.P.
  c/o Columbia Capital, LLC
  201 North Union Street, Suite 300
  Alexandria, VA 22314
  Attention: James B. Fleming
  Fax: 703-519-5870

  Columbia XM Satellite Partners III, LLC
  c/o Columbia Capital, LLC
  201 North Union Street, Suite 300
  Alexandria, VA 22314
  Attention: James B. Fleming
  Fax: 703-519-5870

<PAGE>

Hughes Electronics Corporation
200 N. Sepulveda Boulevard
El Segundo, California 90245
Attention: Graham Jenner
Fax:  310-640-1734

Eastbourne Capital Management, L.L.C.
  Black Bear Fund I, L.P.
  c/o Eastbourne Capital Management, L.L.C.
  1101 Fifth Avenue, Suite 160
  San Rafael, California 94901
  Attention: Eric M. Sippel, Chief Operating Officer
  Fax: 415-448-1246

  Black Bear Fund II, L.L.C.
  c/o Eastbourne Capital Management, L.L.C.
  1101 Fifth Avenue, Suite 160
  San Rafael, California 94901
  Attention: Eric M. Sippel, Chief Operating Officer
  Fax: 415-448-1246

  Black Bear Offshore Master Fund Limited
  c/o Eastbourne Capital Management, L.L.C.
  1101 Fifth Avenue, Suite 160
  San Rafael, California 94901
  Attention: Eric M. Sippel, Chief Operating Officer
  Fax: 415-448-1246

George Haywood
c/o Cronin & Vris, LLP
380 Madison Avenue
24th Floor
New York, New York 10017
Fax: 718-832-8292

Hearst Communications, Inc.
c/o Hearst Interactive Media
959 Eighth Avenue
New York, New York 10019
Attn: President, Hearst Interactive Media
Fax:  212-582-7739

<PAGE>

BayStar Group
  BayStar Capital II, LP
  c/o BayStar Capital Management, LLC
  80 E. Sir Francis Drake Blvd., Suite 2B
  Larkspur, California 94939
  Fax: 415-834-4681

  BayStar International II, Ltd.
  c/o BayStar Capital Management, LLC
  80 E. Sir Francis Drake Blvd., Suite 2B
  Larkspur, California 94939
  Fax: 415-834-4681

American Honda Motor Co., Inc.
1919 Torrance Blvd.
Torrance, California 90501-2746
Attention: Shinichi Sakamoto
Fax: 310-783-2210

Superius Securities Group, Inc. Money Purchase Plan
94 Grand Ave.
Englewood, New Jersey 07631
Fax: 201-568-9392

John Dealy
c/o XM Satellite Radio Holdings Inc.
1500 Eckington Place, NE
Washington, District of Columbia 20002-2194
Fax: 202-380-4534

Avdan Partners, L.P.
100 Shoreline Highway, Suite 185-A
Mill Valley, California 94941
Fax: 415-239-3946

Michael W. Harris
c/o Harris & Panels
120 East Washington Street
Suite 511
Syracuse, New York 13202
Fax: 315-472-2481

<PAGE>

Paul Greenwald
c/o Harris & Panels
120 East Washington Street
Suite 511
Syracuse, New York 13202
Fax: 315-472-2481

SF Capital Partners, Ltd.
c/o Staro Asset Management, LLC
3600 South Lake Drive
St. Francis, Wisconsin 53235
Attention:  Brian H. Davidson
Fax: 414-294-4416

Neera Singh and Rajendra Singh JWTROS
7925 Jones Branch Drive
Suite 6400
McLean, Virginia 22102
Attn: General Counsel
Fax: 703-873-4501

Hersh Raj Singh Educational Trust
7925 Jones Branch Drive
Suite 6400
McLean, Virginia 22102
Attn: General Counsel
Fax: 703-873-4501

Samir Raj Singh Educational Trust
7925 Jones Branch Drive
Suite 6400
McLean, Virginia 22102
Attn: General Counsel
Fax: 703-873-4501

A.R. Sanchez, Jr.
1920 Sandman
Laredo, Texas 78041
Fax: 956-722-1017

The Bank of New York
101 Barclay Street, Floor 8 West
New York, NY 10286
Telecopier No.: (212) 815-3272
Attention: Corporate Trust Administration

General Motors Corporation
c/o General Motors Corporation
100 Renaissance Center
Detroit, MI 48265-1000
Fax No.: 313-665-4978
Attention: General Counsel

OnStar Corporation
c/o General Motors Corporation
100 Renaissance Center
Detroit, MI 48265-1000
Fax No.: (313) 665-4978
Attention: General Counsel

Royal Bank of Canada
c/o RBC Dominion Securities Corporation
165 Broadway
One Liberty Plaza
New York, NY 10006
Attention: Michael Frommes
Fax: 212-858-7439

Everest Capital Master Fund LP
c/o Everest Capital Limited
The Bank of Butterfield Building, 6th floor
65 Front Street
Hamilton HM 12, Bermuda
Fax No.: (441) 292-2285

Everest Capital Senior Debt Fund LP
c/o Everest Capital Limited
The Bank of Butterfield Building, 6th floor
65 Front Street
Hamilton HM 12, Bermuda
Fax No.: (441) 292-2285

Prism Partners Offshore Fund
c/o Weintraub Capital Management LLC
44 Montgomery Street, Suite 4100
San Francisco, CA 94104

Prism Partners I, L.P.
c/o Weintraub Capital Management LLC
44 Montgomery Street, Suite 4100
San Francisco, CA 94104

Prism Partners II Offshore Fund
c/o Weintraub Capital Management LLC
44 Montgomery Street, Suite 4100
San Francisco, CA 94104

U.S. Trust Company
P.O. Box 200
Essex, Connecticut 06426

<PAGE>

                                    Exhibit A
                                       to
                             Intercreditor Agreement

                                     FORM OF

                        JOINDER BY ADDITIONAL CREDITOR[S]

          Pursuant to Section 3.5 of the Intercreditor and Collateral Agency
Agreement (General Security Agreement), dated as of January 28, 2003, by and
among the Noteholders named in Schedule I thereto, The Bank of New York, as New
Trustee, General Motors Corporation, OnStar Corporation and The Bank of New
York, as Collateral Agent (the "Agreement"), the undersigned hereby
acknowledge[s] and agree[s] to the Agreement (capitalized terms used herein
having the respective meanings assigned thereto in the Agreement) and execute[s]
and deliver[s] this joinder to the Agreement and agree[s] to become a party
thereto with all the rights, benefits and obligations of a Secured Party
thereunder as of the date hereof. Without limiting the foregoing, the
undersigned hereby represent[s] and warrant[s] to the other parties to the
Agreement to the effect set forth in Section 3.2(a) of the Agreement.

          The undersigned [has] [have] entered into the following facility with
the Company [insert description of Additional Facility].

          The undersigned's address for notices under the Agreement is as
follows:

Dated: _______________

                                        [Additional Creditor(s)]

                                        By
                                          --------------------------------------
                                          Its
                                             -----------------------------------

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