Sirius XM facing bankruptcy

MTK · 02-11-2009, 10:42 AM

mredskins · 02-11-2009, 11:10 AM

This is not surprising considering the economy. Luxeries like XM radio are easy to cut when you are trying to trim the fat from your household budget.

saden1 · 02-11-2009, 11:12 AM

No surprise there, first thing to get cut during tough economic times would be them and that 3.25 billion isn't going to pay for itself. Maybe Howard can help them out?

CRedskinsRule · 02-11-2009, 11:14 AM

Quote:

Originally Posted by saden1

No surprise there, first thing to get cut during tough economic times would be them and that 3.2 billion isn't going to pay for itself.

Can't we just tack it into the bailout?

I love my Sirius!

saden1 · 02-11-2009, 11:23 AM

Quote:

Originally Posted by CRedskinsRule

Can't we just tack it into the bailout?

I love my Sirius!

Only if Howard Stern's pay is capped at 400K :p

CRedskinsRule · 02-11-2009, 11:37 AM

Quote:

Originally Posted by saden1

Only if Howard Stern's pay is capped at 400K :p

^^

Daseal · 02-11-2009, 11:13 AM

This makes me sad -- I absolutely love my Sirius radio =(

MTK · 02-11-2009, 11:30 AM

I don't see them going off the air. They just need to restructure their debt and with an injection of capital they'll be ok. I hope.

JoeRedskin · 02-11-2009, 11:57 AM

Quote:

Originally Posted by Mattyk72

I don't see them going off the air. They just need to restructure their debt and with an injection of capital they'll be ok. I hope.

Hmmmm. Sounds like me. Anyone got an injection of capital they can spare?

FRPLG · 02-11-2009, 12:01 PM

Quote:

Originally Posted by JoeRedskin

Hmmmm. Sounds like me. Anyone got an injection of capital they can spare?

Obama is on his way baby!

FRPLG · 02-11-2009, 11:41 AM

They are being forced. Echo star wanted to buy them back in December and Karmazin rebuffed the unsolicited offer. Since then Echo Star has bought up a lot of their debt and are seeking to force them to bankruptcy so they can take control of the company. They aren't going to go out of business...right now.

htownskinfan · 02-13-2009, 08:08 AM

havent these companies been in huge debt from the start? doesnt seem like to me they could ever get out of that huge debt,wouldnt it take years and yrs to pay off their current debt with the current subscriber base? I just called to cancel mine and at first they offered me a reduced price,I said throw in the howard package,they said no,I said cancel it then,they said ok you can have it free for another 3 months and see if u change your mind,I said ok

MTK · 02-13-2009, 08:11 AM

Like any startup of course they have a lot of debt. The nose dive that the car industry took really hurt them too.

BDBohnzie · 02-13-2009, 10:29 AM

XM's debt is what's dragging them down. After the FCC fines were levied right before the merger, it was only a matter of time before Chapter 11 was filed.

Read this the other day:
Sirius XM Bankruptcy May Be Good For Shareholders - SiriusBuzz

Quote:

“What if,” we asked ourselves, Sirius XM now has the technology to broadcast both services over the Sirius network alone. This patent, issued in April 2008 demonstrates that the company has the technology to broadcast dual services. Although the patent addresses commercial vs. non-commercial, the technology could easily be adapted to broadcast separate services over different bandwidths, a technology similar to HD radio technology. This could explain Sirius XM’s recent channel consolidations as well.

All of this means of course, that if in fact Sirius XM can now provide both services over the Sirius network alone, that the XM Satellites and repeater network are now a disposable asset. As most of the companies 2009 debt obligations are backed by these same XM assets, the company would be wise to use these as a means of ridding itself on the huge debt burden placed on it since the merger with XM. By simply putting XM holdings into chapter 11, Sirius will in fact eliminate 2/3 of its outstanding debt. It would accomplish this, and save its investors as well. Sirius XM currently has about $3.2 billion dollars in debt. Out of that debt, Sirius owns about $1.1 billion and XM owns the other $2.1 billion. The only debt that Sirius has due this year is the $174 million payment coming due next week. The rest of the $783 million is all XM’s.

So in essence, if SiriusXM can broadcast both sets of channels over Sirius' satellites, they can sell off XM's assets and that would help them right the ship so to speak.

CRedskinsRule · 02-17-2009, 10:26 AM

Well they pushed it back some

Liberty Media to invest in Sirius XM Radio

02-11-2009, 10:42 AM	#1
MTK \m/ Join Date: Feb 2004 Age: 52 Posts: 99,832	Sirius XM facing bankruptcy Bloomberg.com: Worldwide __________________ Support The Warpath! \| Warpath Shop

02-11-2009, 11:10 AM	#2
mredskins Gamebreaker Join Date: Aug 2005 Posts: 13,007	re: Sirius XM facing bankruptcy This is not surprising considering the economy. Luxeries like XM radio are easy to cut when you are trying to trim the fat from your household budget. __________________ When life gives you paper jams, turn them into paper footballs!

02-11-2009, 11:12 AM	#3
saden1 MVP Join Date: Feb 2004 Location: Seattle Age: 46 Posts: 10,069	re: Sirius XM facing bankruptcy No surprise there, first thing to get cut during tough economic times would be them and that 3.25 billion isn't going to pay for itself. Maybe Howard can help them out? __________________ "The Redskins have always suffered from chronic organizational deformities under Snyder." -Jenkins

02-11-2009, 11:13 AM	#7
Daseal Puppy Kicker Join Date: Feb 2004 Location: Arlington, Virginia Age: 42 Posts: 8,341	re: Sirius XM facing bankruptcy This makes me sad -- I absolutely love my Sirius radio =( __________________ Best. Player. Available.

02-11-2009, 11:30 AM	#8
MTK \m/ Join Date: Feb 2004 Age: 52 Posts: 99,832	re: Sirius XM facing bankruptcy I don't see them going off the air. They just need to restructure their debt and with an injection of capital they'll be ok. I hope. __________________ Support The Warpath! \| Warpath Shop

02-11-2009, 11:41 AM	#11
FRPLG MVP Join Date: May 2004 Age: 46 Posts: 10,164	re: Sirius XM facing bankruptcy They are being forced. Echo star wanted to buy them back in December and Karmazin rebuffed the unsolicited offer. Since then Echo Star has bought up a lot of their debt and are seeking to force them to bankruptcy so they can take control of the company. They aren't going to go out of business...right now.

02-13-2009, 08:08 AM	#12
htownskinfan JUST LIVIN Join Date: Feb 2004 Location: houston,tx Age: 63 Posts: 4,929	Re: Sirius XM facing bankruptcy havent these companies been in huge debt from the start? doesnt seem like to me they could ever get out of that huge debt,wouldnt it take years and yrs to pay off their current debt with the current subscriber base? I just called to cancel mine and at first they offered me a reduced price,I said throw in the howard package,they said no,I said cancel it then,they said ok you can have it free for another 3 months and see if u change your mind,I said ok __________________ Make The Redskins Great Again

02-13-2009, 08:11 AM	#13
MTK \m/ Join Date: Feb 2004 Age: 52 Posts: 99,832	Re: Sirius XM facing bankruptcy Like any startup of course they have a lot of debt. The nose dive that the car industry took really hurt them too. __________________ Support The Warpath! \| Warpath Shop

02-17-2009, 10:26 AM	#15
CRedskinsRule Living Legend Join Date: Aug 2008 Age: 58 Posts: 21,698	Re: Sirius XM facing bankruptcy Well they pushed it back some Liberty Media to invest in Sirius XM Radio

Sirius XM facing bankruptcy

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