An FM stereophonic radio broadcasting system in which stereophonically related audio frequency source signals L and R are matrixed to obtain stereophonic sum and difference signals M and S, respectively. At the transmitter, the difference signal, is compressed, and the conventional difference signal and the compressed difference signal modulate respective quadrature-related sub-carriers of the same frequency to develop two double-sideband, suppressed-carrier signals, the frequency of the sub-carriers being sufficiently high as to assure a frequency gap between the lower sidebands of the modulated sub-carrier signals and the sum signal M. The M signal, the aforementioned suppressed-carrier signals, and a pilot signal having a frequency which lies within the frequency gap, are combined and frequency-modulated onto a high frequency carrier for the purpose of transmitting the same to one or more remote receivers. The receiver includes an expander for complementarily expanding the received compressed difference signal, and the expanded noise-reduced difference signal is combined with the received sum signal to reproduce the audio frequency source signals L and R. The system increases the broadcast coverage area over that of current biphonic service yet is compatible with existing monophonic and biphonic receivers.