Sirius Stock reverse split

[Walter Graff]

Sirius XM Radio Inc. said Thursday that its shareholders have approved a proposal to increase the number of authorized shares to 8 billion, from 4.5 billion. Shareholders also gave the satellite radio company's board authorization to effect a reverse stock split by Dec. 31, 2009.

 

[RadioStarOne]

If the company is still in business by then!

 

[Walter Graff]

And what would make you think that would happen:

They have 18.9 million subscribers
Lost a mere 10,000 customers due to merger
have a great churn rate of 1.7% basically consistent for years
Will have a 2.4 billion revenue growth in 2008 up from 2.1 last year
Expect a conservative 13% revenue growth in 2009
Are now working with JP Morgan and Evercore on a new financing structure which will take place in March of next year.

Basically doing well with growth even in this slow market. In fact surprisingly well. How you think 19 million subscribers are suddenly going to disappear is beyond me. When I see such statements with no factual basis, I have to laugh.

 

[Walking On]

I don't think most of the folks worried about the health of the corporation are thinking that the subscribers are going away, it's more like there being a staticy silence one morning because there wasn't money to turn the transmitters on. Hopefully the financing schemes all work out, and we'll continue to have something better than FM to listen to...