Posted by madcityradio.com on February 14, 2009 at 11:38:26:
Sirius XM Radio says it could file for Chapter 11 bankruptcy
February 14, 2009 (AP)
Financially strapped Sirius XM Radio Inc. said it could file for bankruptcy as early as Tuesday if it cannot reach an agreement to refinance debt.
While the satellite radio company said it has exchanged $172.5 million of debt maturing in December for new debt due in 2011, it still has about $175 million due 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.
A bankruptcy filing for Sirius would give it the right to terminate contracts with on-air talent, such as Martha Stewart and Howard Stern, who has a five-year, $500 million deal.
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