These excerpts taken from the SIRI 10-K filed Mar 10, 2009.
Our business and our financial condition is being affected by general economic conditions.
We believe that our business and our financial condition is being adversely affected by general economic conditions in a variety of ways. For example:
Our business and our financial condition is being affected by general economic conditions.STYLE="margin-top:6px;margin-bottom:0px; text-indent:4%">We believe that our business and our financial condition is being adversely affected by general economic conditions in a variety of ways. For example:
As a result of the May 2010 maturities, our existing cash balances and our cash flows from operating
SIRIUS is the sole stockholder of XM Holdings and its subsidiaries and its business is operated as an unrestricted
Our operations will also be affected by the FCC order approving the Merger. In addition, our future
SIZE="2">As of December 31, 2008, we had an aggregate principal amount of approximately $3.3 billion of indebtedness.
investments, repurchase stock, create liens, enter into transactions with affiliates, enter into sale lease-back transactions, merge or consolidate, and transfer or sell assets. Failure to comply with the covenants contained in the indentures and
agreements governing this debt could result in an event of default, which, if not cured or waived, could cause us to seek the protection of the bankruptcy laws, discontinue operations or seek a purchaser for our business or assets. STYLE="margin-top:12px;margin-bottom:0px; text-indent:4%">XM is required to maintain a minimum cash balance of $75 million under its credit facilities, and SIRIUS is required to maintain a minimum cash
balance of $35 million under those credit facilities. If XMs or SIRIUS cash balance falls below these amounts, the companies would need to obtain a waiver from the lenders to avoid a default. No assurance can be given that XM and
SIRIUS would be able to obtain such a waiver or otherwise avoid a default under its credit facilities.