Sirius Slowing, Awaits Merger Decision (SIRI, XMSR)

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By Douglas A. McIntyre Updated Published
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Sirius Satellite Radio (NASDAQ: SIRI) has posted earnings, and it showed -$0.11 EPS and $249.8 million in revenues.  First Call had estimates at -$0.13 EPS and $267.4 million in revenues.  It also showed free cash flows of $75.9 million in the quarter.  The satellite radio provider also added 654,309 subscribers to end with 8.32 million subscribers at the end of 2007.

If you read the comments from CEO Mel Karmazin, you can see how the company is still waiting for a merger decision in its merger plans with XM Satellite Radio (NASDAQ: XMSR): "The pending merger with XM will offer unprecedented choice for consumers and create tremendous value for stockholders.  We have made a very strong case for the merger to the government, received broad support from leading organizations and prominent individuals, and we look forward to a fast positive ruling from the government."

Interestingly enough, the company said it would only provide guidance after "merger approval" from the government.

Last night, Jim Cramer identified some of the congressmen that were holding up this merger.  It is still too early to see any pre-market trades.  XM Satellite Radio (NASDAQ: XMSR) also posts its earnings Thursday and you can see our full dueling preview.

Jon C. Ogg
February 26, 2008

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About the Author Douglas A. McIntyre →

Douglas A. McIntyre is the co-founder, chief executive officer and editor in chief of 24/7 Wall St. and 24/7 Tempo. He has held these jobs since 2006.

McIntyre has written thousands of articles for 24/7 Wall St. He is an expert on corporate finance, the automotive industry, media companies and international finance. He has edited articles on national demographics, sports, personal income and travel.

His work has been quoted or mentioned in The New York Times, The Wall Street Journal, Los Angeles Times, The Washington Post, NBC News, Time, The New Yorker, HuffPost USA Today, Business Insider, Yahoo, AOL, MarketWatch, The Atlantic, Bloomberg, New York Post, Chicago Tribune, Forbes, The Guardian and many other major publications. McIntyre has been a guest on CNBC, the BBC and television and radio stations across the country.

A magna cum laude graduate of Harvard College, McIntyre also was president of The Harvard Advocate. Founded in 1866, the Advocate is the oldest college publication in the United States.

TheStreet.com, Comps.com and Edgar Online are some of the public companies for which McIntyre served on the board of directors. He was a Vicinity Corporation board member when the company was sold to Microsoft in 2002. He served on the audit committees of some of these companies.

McIntyre has been the CEO of FutureSource, a provider of trading terminals and news to commodities and futures traders. He was president of Switchboard, the online phone directory company. He served as chairman and CEO of On2 Technologies, the video compression company that provided video compression software for Adobe’s Flash. Google bought On2 in 2009.

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