Take A Look At The 12b-25 Ext: What Does It Reveal?

[JohnnyIrishXM]

[QUOTE=SteveSirius;16600]Hi sl62!

I have no actual knowledge of the financial situation of Sirius XM, but I have seen loads of documents issued by publicly-held companies that contain scary sounding langauge mandated by the SEC - language such as "financing, if available, may not be on terms favorable or in amounts adequate to consummate this transaction." (or similar wording).

I am not saying that Sirius XM does not have financial problems, but disclaimer language like this is in an awful lot of offering and filing documents of companies that are on sound financial footing and that are considered "bankruptcy remote." Of course, it seems that Sirius XM is not "bankruptcy remote", and that probably requires them, by SEC rules, to issue certain generic

Yes,most companies that file with SEC do contain this language,but it is mostly about forward looking statements and that unforseen market conditions can change the outlook.
THE ONGOING CONCERN statement from an auditor about previous financial facts for the year(siri 08 annual and 4q results plus a look at 09 projections)means that they can't justify that Sirius will remain a viable entity or company unless something does change for the better...
There vis a major difference..
Having said that,i beleive the company will attain cost certainty with content talent and synergies from the merger will show up,plus they will get Jpm and other bank to extend term and credit facilities loans due in May...
i think this because i beleive Malone and Mel put that clause in their agreemnet to have leverage with the banks and MLB<OPRAH<HOWARD..etc

[SteveSirius]

[QUOTE=JohnnyIrishXM;16603]

Hi sl62!
Yes,most companies that file with SEC do contain this language,but it is mostly about forward looking statements and that unforseen market conditions can change the outlook.
THE ONGOING CONCERN statement from an auditor about previous financial facts for the year(siri 08 annual and 4q results plus a look at 09 projections)means that they can't justify that Sirius will remain a viable entity or company unless something does change for the better...
There vis a major difference..
Having said that,i beleive the company will attain cost certainty with content talent and synergies from the merger will show up,plus they will get Jpm and other bank to extend term and credit facilities loans due in May...
i think this because i beleive Malone and Mel put that clause in their agreemnet to have leverage with the banks and MLB<OPRAH<HOWARD..etc

Since the 2008 annual and 4th quarter results have not been issued publicly, and since Sirius XM has postponed issuing such results, their current mention of the possibility of their auditor issuing an "ongoing concern" opinion IS a forward looking statement. The forward looking "event" is the financial statements that have not yet been issued to the public. Therefore, I would bet (although I have no certainty), that under the circumstances of the debt which existed at the end of 2008, such warning statement is mandated at this time by SEC rules.

Any thoughts or knowledge about this?

[choirgirl]

Hopeful.
I think the media has bigger fish to fry , bigger fish to go belly up , than sirius.Esp. CNBC is probably very much concerned about their parent company GE and look at all the financials,insurers. But on the other side, they have to fill 24 hours a day, so why aren't they talking about sirius?

[john]

Guys just for shits and giggles why dont we just take the main part of what the company has said as being the reason for posponing the 10-K. Which was, that they were to occupied buy all of the financing prior, that they needed more time to file.

[Wirestripper]

The primary issue that I believe is in play on these statements is the Congressional actions in the post Enron era that said a CEO is personally liable for any inaccuracies in any signed statement to stockholders.

Since that time, I keep seeing more and more of these disclaimers and they usuall relate to current market rumors, fears and or realities, so it makes it difficult to determine exactly what they mean.

The question always is, are they cover your ass language, or a pre-warning.

I generally side with the CYA reasoning for the purpose of trading, but I also don't want to stand in front of a stampede.

edited for typos

[trippingthespeculatingpos]

because they have finnaly covered their shorts, no need to keep the price down now, it will stay down on its own till the 17th.

[choirgirl]

TWAsiri...
I saw that post too. What is even more important in my opinion are used car sales. Many of them have sirius and it's likely that a new buyer, maybe with the dealers support, get's a sub.

[SteveSirius]

I remember in 1999 that a lot of documents of publicly traded companies had in them warnings about the possible effects to the company of "Y2K" (the possible going crazy by computers which could not accurately deal with the year changing from 1999 to 2000 because they had earlier been set to years in the 1900s). These disclaimers were commonplace.

Everyone is so paranoid about lawsuits, and the SEC requires certain disclaimers for all publicly held companies, so much so that, if you didn't know better, it would send you running away from any company.

"The sky might be falling" types of disclaimers must be taken with a grain of salt. Of course, having said that, the boy who cried wolf may be currently reporting a real emergency. I hope not.

[JohnnyIrishXM]

KMPG the independent acct for siriusxm have seen the financials,and prepared a preliminary report with GOING CONCERN language in it,they also told them what it would take to get rid of it and that is what the delay is all
about,but Mel knew this 2 months ago and is working on part 2 of the solution.first part was Liberty....IMHO

This is good not bad.is what i am saying...

[relmor2003]

IF that's true then why would Brandon risk his reputation to make the prediction of BK before March 17? Am I putting too much stock in Brandon's expertise/opinions?

Ive been pro Brandon and negative on Brandon. There is a reason for this. He practically stole all my ideas about the specifics of manipulation with the MM's, including the 100 shares I reported as suspicious activity before JULY OF 2008. So not only do I not credit his orgininality, I also question his intentions. He is a sensationalist journalist that loves attention more than facts. If he writes that article I will be leaving this site. I would consider this site having lost "all credibility" at that point. .13 will hold according to level 2 action. After hours is anybodies guess. They have done some horrendoues manipulation in AH before. I bought 20k at .1301 today. After selling at .14.
Brandon has written some very nice articles in the past. But if he writes that articles he losses all credibilty with me, and I will be taking my opinions elsewhere.
I will also question whether he even owns 1 share of this stock.