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Will Murdoch Make a Move on Sirius?

As I just said in a other post here and Sirius Buzz there would be a easy way to satisfy everyone. That would be to add a poison pill to the vote. That would take care of all of Mike H. concerns about a company coming in and taking it over, not to mention every other share holders concerns.

Will Murdoch Make a Move on Sirius?

By the way I would need to have full discloser of the need for a extra 3.5 billion shares and a RS. If it is not for the reasons I agree with (as I said before, to pay off debt.) I would vote it down.

Will Murdoch Make a Move on Sirius?

ma33, I have said before that I would not mind in the least, that if the extra shares are used to pay off the debt I would have no problem with it, for the same reasons you give, that it saves money on interest payments.

I will say that if what Mike H. has talked about happens I would have a problem with that and would want people to pay and goto jail. But as even as Mike said, in the WSJ Mel said he would take the company private, but not till 2009 (I could have swore, Mel said that would not be possible until at least after 2009 when the company is profitable). Now the stock by that time should be at a way higher PPS even without a reverse split and be sold for a much higher price then even what it is at at that time (5 or 6) without a RS.


Once again I believe Mel is honorable and has shown to be through his life. I am willing to give him the benifit of dought. If though what Mike H. talks about happens, I will be one that calls for him being put behind bars. I say that, because I have also known for a long time just how much the spectrum that SIRIXM now holds, was so big that this company will be a media giant, the likes if which has never been seen before.

Will Murdoch Make a Move on Sirius?

Well now it is not 300 million in Feb., it is 270 million. Do I here many saying, ok finally Mel is not only talking (thats right because while most have said he has not been talking about it, he has) about taking care of the debt in Feb. (still over 4 months away) but he is taking care of it.

This while is a small part of the 1.1 billion maybe a hint of how Mel plans on taking care of alot of the rest of it and why he is asking for the extra shares. It is a big part of the 300 million in Feb. which I have said was not going to be a problem. I will once again remind people that they have enough in cash on hand to pay the rest of the Feb converts off. That is without the FCF positive that they will also have in the forth quarter. I will say it now there will be a big number (in FCF positive) coming in the 4th Q. Why, well first of all SIRI went from 30 million in FCF positive in 4th Q of 2006 to 80 million FCF positive in 2007. Just add another 40 million to that number and you get 120 million for 2008 (that is wihout any of the savings from the merger that will start to come in in the 4th Q). Next most may not know or may have forgot that the only reason XMSR did not have any FCF positive last year is because of the CAPEX from the last satellite they launched, they dont have that cost this year. So you can now add another at least 80 million FCF to that 120 million FCF from SIRI and you get 200 million in FCF positive, IMO.

serius _employee, It is not news to most that have been invested in SIRI/XMSR that 3rd Q numbers will be bad as I have said before 3rd Q net sub adds are always the worst of the year. Also while the 3rd Q metrics show good improvement, this time because of the cost of the merger that wont be there ether. I am not a person that thinks Mel ment 19.5 now, but was ether a misunderstanding or misprint/misspoken that he really ment 19.5 million by the end of the year. I personally would be very surprised if they had more then 200,000 net adds in the 3rd Q. I also think that is another reason the PPS is so low because this is not going to be any surprise to most investors in this stock. I had warned a long time ago that the next 6 months was going to be tuff. Some have not been able to take it and sold. We are almost halfway to the end of the tuff time and I will wait the rest out.

Will Murdoch Make a Move on Sirius?

P.S. sl62, You must have missed this in my comment; I disagree, I also remember Mel saying that they were going to take what work best from both and put them together.

This may come as news to you sl62 but both SIRI and XMSR have ways of knowing which channels are the most popular (XMSR had the ability for a long time but SIRI just got it several months ago.)

Will Murdoch Make a Move on Sirius?

sl62, You may not want to believe this but most people are fired or layed off without any notice, here today and gone tomarrow. Besides who knows they may have had information on them like what "Srius_Employee" is saying here. I have to say, if I found out, I had someone working for me that acted like him, I would be laughing as the door hit him in the ass on the way out. If people are talking about leaving as he has said then they already knew it was coming. Fat knows when they are the fat on the chopping block.

Will Murdoch Make a Move on Sirius?

Srius_Employee, First of all you are going to have a hard time getting me or any shareholder feelling bad about any layoffs with a PPS of .4. I think most here would say its about time. You may think it is ok to keep two of the samething going when they can simul-cast to the other, but I do not. I disagree I also remember Mel saying that they were going to take what work best from both and put them together. I took from that, just what it meant, that they were going to cut half of the fat out in that area. By the way engineering staff is easy to replace when you already have two sets of each and only need one. I only wish that you were the next one cut, because to cut to the point, I really have a problem keeping a employee that does not want to be there and looks down on the company they work for. You are fat that this company just cant afford right now. We need dedicated people there, something you are not.

Will Murdoch Make a Move on Sirius?

Well This Might Be SIRIUS?, I would not be picking up any more shares until all this crap is over. Then again I have what I would consider way more shares then I should have so it depends on how much of a risk taker you are.

Will Murdoch Make a Move on Sirius?

217738, I still dont believe that is in the cards for them. If you want to be worried about something then worry about someone coming in and taking SIRIXM private. That you can worry about. As for Mel, as for what I know about him and seen of him, he could careless about the money. I will say it for the 1,000 time, HE TOOK A PAY CUT TO COME TO SIRIXM. I believe he cares more about his reputation then anything else. He made more at VIACOM in one year, then he did in all the time at SIRI/SIRIXM so far.

Will Murdoch Make a Move on Sirius?

P.S. I remember when someone asked Mel about increases in pay and benifits, he made it clear and said "well I consider the benifits here to be much better then in alot of other places I worked and if you dont like it then leave we are not going to get in anyones way if they are not satisfied here with what they are getting."

Will Murdoch Make a Move on Sirius?

Srius_Employee, First of all the Feb converts would be easy to reconvert, If SIRIXM wanted those terrible terms. Second there is a 180 day window after the 30 consecutive trading days (6 weeks), then there is a appeal that in which SIRIXM would have to give a plan as to how they plan to get above a dollar, that is another 180 days. So even without the delisting rule being changed it would still take alot of time before that could even happen. Third I have a feeling that if people wanted to leave SIRIXM that would not be a problem for SIRIXM, and would have been happy to let you go it cuts cost for them, if you leave of your own free will.


By the way you make no sense it seems hard for me to believe in the middle of SIRIXM letting 80 people go which you all would have known was coming after the merger (what else did you think senergies ment). That there would be others basically holding signs up take me first, because I am thinking of leaving anyway.

Will Murdoch Make a Move on Sirius?

cos1000, I did not see Gekko's comment, I did see your Oct 19th on this article. I believe Mel is totally against reconverting the old converts in Feb. and will do almost anything not to. While some think a reverse split is bad, I have always said it depends on the company and not the fact it is a reverse split by itself. I gave several examples where they have worked out and said the reason is because of the catalist that went with it. As you have said they have now way to many shares outstanding and have alot of debt. this does give Mel another option to deal with the issues at hand. As I said if they delute the shares more but use that delution to pay off the 1.1 billion in debt it is what I think is the best way to go. People forget it basically works out to be a even trade 1.1 billion less debt (and the interest, which is the big issue on the debt) for share delution. They also forget that that debt would have to be paid off sooner or later when they had the money to do it. So instead of paying off the 1.1 billion in debt later on, just use that money to buy back shares which will also then give them a chance to do splits the other way.

Will Murdoch Make a Move on Sirius?

By the way I said before, and will say it again, I am for it, and have no problem with them issuing more shares if it was used to pay down debt. Because as I just said it comes down to a zero sum gain/loss you ether have an extra 1.1 billion in debt or you have extra share delution.

Will Murdoch Make a Move on Sirius?

Guys we knew that financing was not going to be pretty if it got done. My feeling is, it comes down to a choice of paying a high interest rate or dilution. Lets not forget that if they do this, adding of shares and then a reverse split, what it comes down to is that while there would be a lot of delution there also would be 1.1 billion less in debt. It all breaks down to a zero sum gain/loss, it is 6 of one or a half dozen of the other.