View Poll Results: Should Sirius do a reverse split and if so how much

Voters
16. You may not vote on this poll
  • Yes

    2 12.50%
  • No

    13 81.25%
  • Unsure

    0 0%
  • 1 share for every 2 outstanding

    0 0%
  • 1 share for every 3 outstanding

    0 0%
  • 1 share for every 5 outstanding

    1 6.25%
  • 1 share for every 10 outstanding

    2 12.50%
Multiple Choice Poll.
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Results 11 to 20 of 23
  1. Demian is offline
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    Joined: Oct 2008 Posts: 2,320
    10-19-2008, 06:13 PM #11
    Spanyo,

    I say that it is best to get it out of the way now, as having extra tools in the toolbox can help when going into financing negotiations. Having the shareholders vote no confidence in the board will not help the companies prospects or help the share price.

  2. homer985 is offline
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    Joined: Mar 2008 Posts: 485
    10-19-2008, 08:29 PM #12
    No on the reverse split until the end of December 2009.

    If it is still below $1 after they have dealt with their maturing debt, then it will likely not bounce back at all -- which puts them up against the February 2010 expiration of the compliancy periods that they get from NASDAQ, before delisting.

    So no before December 2009, if the pps is still below $1 then -- then they will have no choice but to do one to remain listed on NASDAQ.


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  3. spanyo is offline
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    Joined: Jul 2008 Posts: 135
    10-19-2008, 09:44 PM #13
    Homer,

    In order to stay on the Nasdaq until December 2009, wouldn't SIRI have to be able to say that they have approval to do the RS (if necessary) in order to get the extra 180 day extension?

    That is why I would think that they could have this vote next year (if necessary) during the first 180 day "probation period". And not this December.

    Not sure about the rules though.

  4. homer985 is offline
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    10-19-2008, 10:02 PM #14
    Spanyo, it is doubtful that Sirius knew that NASDAQ was going to do this so quickly. Had they not, then Sirius would be getting the notice next week, starting their 180 day clock - which would have meant that they had until mid April to have gained approval. Holding it in December (prior to the Feb converts maturing too) would have been prudent.

    But now, they have until August to get the pps above $1 or gain shareholder approval for the RS (they'd need approval prior to the expiration of the first 180 days so that they can present their plan to NASDAQ right away in order to get the extra 180 days). Regardless, it's not so necessary to do it quickly... so yes, I agree with you.

    However, since their plan is already in motion via the shareholder meeting... I don't see them changing it now. And I don't necessarily blame them. The cats out of the bag, plans have been made, annoucements have been made, any potential damage to the stock has already been made by announcing the meeting (ie, the press reports). Why do that over again in 6-7 months? Just do the meeting and get it over with.


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  5. spanyo is offline
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    Joined: Jul 2008 Posts: 135
    10-20-2008, 08:35 AM #15
    So Homer even though we are against the RS should we consider voting Yes, assuming (hoping) that it will not be necessary...just so that in a worse case scenario they do have option? Or can we assume that they will put it to another vote next year if they don't get approval now, but it is actually needed later to at least get the extra 180 days?

  6. imromo24 is offline
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    Joined: Aug 2008 Location: Steeler Town, MI Posts: 2,524
    10-20-2008, 08:48 AM #16
    I think the delisting being postponed is an obvious resounding vote "NO". They themselves point to the delisting as a reason for the RS and that is no longer a factor.

  7. spanyo is offline
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    10-20-2008, 10:48 AM #17
    I tend to agree. I just hope that management suggests the same in light of this recent news.

    What about dilution? Isn't it better to do this than to take bad financing? Of course I would want them to do this only as a last resort, and after giving the credit market time to thaw.
    Last edited by spanyo; 10-20-2008 at 10:52 AM.

  8. Demian is offline
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    10-20-2008, 10:52 AM #18
    How about diluting the shares to raise a bunch of cash and then buying them all back with all the cash........?

  9. Newman is offline
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    Joined: Jun 2007 Location: Dallas Texas Posts: 1,162
    10-20-2008, 11:31 AM #19
    lol, would be nice damien, but unfortunately there is debt that has to paid off.

    Announce dilution, sell a bunch of shares, causing the stock price to tank, and then buy them back at a lower price, and use the difference to pay off debt? I wander what the legality of that would be...

  10. doobz26 is offline
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    Joined: Mar 2008 Location: Michigan Posts: 104
    10-20-2008, 12:59 PM #20
    Why would you think they can buy back shares when they are trying to figure out how to pay their bills???? Dam...

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