Sirius XM may file for chapter 11
Once one of the stock market's darlings, Sirius XM (SIRI, news, msgs), the satellite radio company, may soon file for Chapter 11 bankruptcy protection.
The ostensible reason may be to understand what Charles Ergen wants, The New York Times said. Ergen recently bought $300 million of debt in the company, whose personalities include shock jock Howard Stern. The debt is to mature next week.
The question is whether Ergen, who controls Dish Network and EchoStar, wants to buy the company.
But the larger problem is that Sirius has too much debt and a tricky business model. The stock nearly hit $69 in early 2000 and closed at 11 cents today. The company has reported losses totalling $8.5 billion since 2003.
The sales slump of new autos, which accounts for most of the new Sirius/XM subscribers, has really impacted this company......another one bites the dust?????
On most days I say: "Wrinkles only go where the smiles have been...."
Sometimes I can only say: "There is no dumbass vaccine......"
If something or someone gets you down, just remember: "In a hundred years it all won’t matter.........."
