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http://online.wsj.com/article/SB1234...oo_hs&ru=yahoo
"Mr. Ergen's plan doesn't involve buying out existing shareholders, something many investors in the company had been hoping for."
Wouldn't he have to buy out existing shareholders???
Sorry I am not a subscriber...
need the whole thing.
What it means is:
If Ergen is serious he won't let the company go BK but that does not mean he will buy it. He can acquire enough equity in the open market to control the board though (and inject fresh capital) BUT that is too risky and he may end up paying more than what he wants to pay, that is why he has been acquiring its debt. By acquiring Sirius debt he tried to check mate Mel but Mel is willing to risk all of the shareholders money to keep control by leaking news that they are ready to BK. If he indeed BK's he screwed y'all, he will lose his stake in the company but he will stay in control and may be able to start fresh.
In the end, it is all about control of the company, something Ergen will NOT gain if Sirius declares BK... is it more clear ? is like a chess game. In the end the shareholders are the peons...
Thanks, SO...
By MATTHEW KARNITSCHNIG and JEFFREY MCCRACKEN
Satellite mogul Charles Ergen has offered to restructure Sirius XM Radio Inc. debt and inject several hundred million dollars of capital into the company in return for control, according to people familiar with the matter.
Mr. Ergen's plan doesn't involve buying out existing shareholders, something many investors in the company had been hoping for.
Sirius rejected Mr. Ergen's offer late last year, but it remains on the table. While the two sides are still in discussions, the satellite-radio operator has given no indication that it is prepared to accept the deal, the people said.
Yet Sirius may have no other option. If it can't raise about $175 million by Feb. 17 to repay bonds held by EchoStar Corp., a satellite-technology company controlled by Mr. Ergen, Sirius will likely be forced into bankruptcy, people familiar with the matter say. In addition to the February bonds, EchoStar controls a $400 million tranche of Sirius debt that expires in December.
The standoff has turned into a test of wills between Mr. Ergen and Sirius XM Chief Executive Mel Karmazin. Both men are television-industry veterans and have often found themselves on opposite ends of the negotiating table.
A bankruptcy filing would wipe out Sirius's shareholders. Sirius's management and board would likely expose themselves to litigation if they filed for bankruptcy in the face of an offer that would preserve at least some of investors' equity in the company.
Sirius's total debt load is about $3.25 billion. Sirius shares fell five cents, or 44%, in after-hours trading to six cents. The company's market value has plummeted by more than 96% since last July as its crisis has worsened. Sirius hired bankruptcy and restructuring advisers several weeks ago to prepare for a possible bankruptcy filing.
The company engaged law firm Simpson, Thacher & Bartlett LLP as bankruptcy counsel and the restructuring firm of Alvarez & Marsal, people familiar with the situation said. Sirius has also been working for several weeks with investment bank Evercore Partners Inc. The hiring of bankruptcy and restructuring advisers, while not surprising given the company's financial predicament, doesn't mean a filing is imminent.
Write to Matthew Karnitschnig at matthew.karnitschnig@wsj.com and Jeffrey McCracken at jeff.mccracken@wsj.com
EchoStar Reports Third Quarter 2008 Financial Results
ENGLEWOOD, CO, Nov 10, 2008 (MARKET WIRE via COMTEX News Network) -- EchoStar Corporation (NASDAQ: SATS) today reported total revenue of $616 million for the quarter ended Sept. 30, 2008, a 52.4 percent increase compared with $404 million for the corresponding period in 2007.
EchoStar reported net loss of $308 million for the quarter ended Sept. 30, 2008, compared with net loss of $7 million during the corresponding period in 2007. The $301 million increase in net loss primarily related to unrealized losses and impairments on marketable and non-marketable securities. Basic loss per share was $3.43 for the quarter ended Sept. 30, 2008, compared with a basic loss per share of $0.07 during the corresponding period in 2007.
Detailed financial data and other information are available in EchoStar's Form 10-Q for the quarterly period ended Sept. 30, 2008, filed today with the Securities and Exchange Commission.
DISH Network(R) Reports Third Quarter 2008 Financial Results
ENGLEWOOD, Colo., Nov 10, 2008 /PRNewswire-FirstCall via COMTEX News Network/ -- DISH Network Corporation (Nasdaq: DISH) today reported total revenue of $2.94 billion for the quarter ended Sept. 30, 2008, a 5.1 percent increase compared with $2.79 billion for the corresponding period in 2007.
Net income totaled $92 million for the quarter ended Sept. 30, 2008, compared with $200 million during the corresponding period in 2007. The $108 million decline in net earnings primarily related to impairments on marketable and non-marketable securities. Basic earnings per share were $0.20 for the quarter ended Sept. 30, 2008, compared with basic earnings per share of $0.45 during the corresponding period in 2007.
DISH Network lost approximately 10,000 net subscribers during the quarter ended Sept. 30, 2008, ending the quarter with approximately 13.78 million subscribers.
sxminvestor: you are a bit late. I posted this information last week. We all know Echostar business is crap...
Common shareholders are just the infantry....they are expendable.Quote:
Originally Posted by Siriusowner
Infantry is just expendable hey? Why don't you grow the hell up, jerk. None of our troops are expendable. Nice to know you value your countries greatest assets anyway. You pig.
Bill is one of our greatest assets!!! Decorated I might add!! You NIT!!!Quote:
Originally Posted by Seamless82
Go ahead and call him a baby killer you $#%@$ HIPPY!!!
I will split your head open!!!
F**K you, I have been there and done it a-hole. Vietnam 1st Marine Division, 1st Recon. 67-69....now go with your shit.Quote:
Originally Posted by Seamless82