Originally Posted by Demian
Hi Damian - I think I agree but the risk is a bunch higher - Man I would love to ave down from .40!! What does your "crystal ball" show as the chance of this thing making it past the end of the month??
Alright guys I am getting very bored and anxious!!! I skipped work today because I thought something would happen and it's still so quiet!!! Are we really going to have to wait till Tuesday to find out anything???
AHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHH freaking out a bit!!!
These ****ers say that 300 million is due on tuesday.......it's $175 million. Either the press is so sloppy or there is an agenda there to scare people.
http://biz.yahoo.com/ap/090213/siriu...ptcy.html?.v=5
AP
Sirius could file bankruptcy as early as Tuesday
Friday February 13, 1:28 pm ET
By Deborah Yao, AP Business Writer
Sirius could file bankruptcy as early as Tuesday if talks with debt holders break down
Financially strapped Sirius XM Radio Inc. said Friday that it could file for bankruptcy as early as Tuesday if it cannot successfully negotiate with the holders of its debt.
The satellite radio company said it has exchanged $172.5 million of debt maturing in December for new debt due in 2011. But the company still has about $175 million coming due this Sunday.
Sirius is fighting against attempts for control by Charlie Ergen, the chief executive of Dish Network Corp. and sister company EchoStar Corp. Ergen bought much of a $300 million batch of discounted Sirius bonds that come due next week. Sirius had rejected a previous offer by Ergen for control of the company.
Liberty Media Corp. is in talks with Sirius about possibly investing in the company. But the DirecTV Group Inc., a Dish rival controlled by Liberty Chairman John Malone, is not involved in the negotiations, according to a person close to the situation. The person spoke on condition of anonymity because he is not authorized to talk about the negotiations. Liberty's participation in the talks were reported earlier by The Wall Street Journal.
Analysts said they didn't think DirecTV would want a satellite radio business, nor its satellites. DirecTV, the nation's largest satellite TV company, has launched new satellites and is focusing on enhancing its TV service.
Sirius has about $3.3 billion in debt maturing between now and 2014.
On Friday, Sirius swapped 10 percent convertible senior notes due this year for senior secured notes due 2011. In return the debt holders will get an annualized 10 percent interest in cash, plus 2 percent in kind in 2010 and 4 percent in 2011. They also received a fee of $9.45 million, of which $5.1 million was paid in cash and the rest in Sirius common shares at 7.4 cents each.
Shares of Sirius were up 2.6 cents, or 36 percent, to 10 cents in afternoon trading.
Last edited by Demian; 02-13-2009 at 02:45 PM.
12:59 (Dow Jones) Sirius XM's (SIRI) move to exchange some of it's debt due
in December might be to position themselves for an easier refinancing, or do a
deal. In fact a deal is the most likely option, according to one hedge fund
manager. The roll makes a deal more likely than bankruptcy, manager says,
otherwise the roll would considered fraudulent in bankruptcy court, because the
company would be issuing new debt when it knew it was insolvent. The manager
thinks a deal with Echostar (DISH) is more likely, but a deal with Liberty
Media to buy out Echostar's holdings is also possible
I know the deal with EchoStar is coming off as bad... But why? What would Ergen do to damage the company and more important the common stock holders?
http://www.reuters.com/article/bonds...51973020090213
UPDATE 2-Liberty/Sirius talks do not involve takeover-source
Fri Feb 13, 2009 1:19pm ES
Question: Now that the stock is up almost 40% right now, is that a sign that most people think BK is off the table? I know it's still early in the day and anything can happen, but things seem to be going in the right direction at the moment...
The risk is that you could lose 100% of your investment. I would wait, if you miss a small move to the upside, so be it, the issue is in the pennies and it will not jump into the whole dollar amount just because they do not declare BK...
It is very difficult right now to determine what will happen. If you are tempted to buy, buy big and sell whenever you make some money and quick, don't wait and don't hold, sell as soon as you make some money (10% ?), even if you miss the whole move to the upside...you will get other chances.
When I say buy big, I am talking about 25K shares and above (about $2500 USD). @ .11 I wouldn't be buying anymore though, I would wait.
If you can't wait, you shouldn't be trading.
Yes, things seem to be going in the right direction, but... they have been going in the wrong direction for so long...Don't bite just yet...
We are outsiders, please understand, we do not have the edge... we are the pigs, the peons, the outsiders ! Let the wolves negotiate and then follow the smart money.
land of Eleven (2:47 Eastern)
land of gold and honey (right);
but it beats Point Oh Three any day of the week.
too nervous to buy
just holding
and
prayin...
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