Nowhere To Go - by Spencer Osborne
Below is a forum post by Spence that got buried under yesterday's news of record volume. I have reposted it here because it IS something worth discussing and since I "bumped" his original post, I did not want the topic to be permanently overlooked by being in the Stock Thread . . .
Obviously Mel has got to keep a lot of balls in the air right now (Liberty increasing their ownership stake, the $1 Delisting Notice/Appeal Hearing, Addition to the NASDAQ Q-50, Relmor firing warning shots across the bow and of course Howard Stern)
So here's Spence's post: :)
By - Spencer Osborne
On Wednesday April 7, Stern discussed the Sirius XM customer service stance that, "Stern will be back, he has nowhere else to go."
Now some of this is hyped by Stern, that is for sure.....however, there is an issue with customer service telling consumers that Stern will be back. The fact is that they don't know yet, and to tell consumers misinformation is simply wrong.
Not only is it wrong, but it gives Stern MORE ammunition in his negotiations with Sirius XM.
The fact of the matter is that the Stern issue needs to be solved prior to the Q4 retail selling season. The company will have a "moral" dilemma of a Q3 and Q4 advertising campaign that touts Stern when he may not yet be signed. Thus, they will likely have to do a campaign without Stern, which in and of itself will raise even more questions and concerns.
It is for this reason that the company needs to resolve this in the next 3 to 4 months, or risk having to advertise without the ability to tout Stern.
If Stern is not signing, the company can focus and promote alternative content.
The bottom line is that customer service needs to be put under more control, and Sirius XM needs to get to a decision on the Stern issue. Time is ticking
Howard: "I've been reading weird shit"