Just a quick note as to why valuations might be on the minds of the street.  Over the past three years we have always seen the cost side of SiriusXM's business show a nice little decline from Q4 to Q1.  This year that pattern has shifted.  While slight, it is enough to make someone wonder if the business model is flattening just slightly.  In addition, the most recent quarter was the first time in a few years where revenue actually went down quarter over quarter.

4-27 siri revenue1


4-27 siri revenue2

I understand that free cash flow still looks good, but the revenue and cost side are what help deliver better free cash flow.  This is simply a quick note showing the story of why some on the street may approach SiriusXM more cautiously than before.  Long story short...Revenue was slightly down and costs did not go down like they normally do.  Stay Tuned!