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Stocks S / Sirius XM Radio


Subject:  Re: Additional Funding Requirements Date:  8/22/2002  1:42 PM
Author:  MHolt100 Number:  1689 of 10889

We're not talking here about buying a few shares that are floated each day. We're talking about issuing a large amount of new stock (not debt, as some of your comments also seem to imply.) Given the above, it should not be difficult to understand why the agreed upon price for a major stake in Sirius would differ from the price at which you may be willing to sell 100 shares, even though I understand you don't actually own any. Its not a lot different than when a company acquires another at a premium over its existing stock price. They're not in the market for 100 shares. If you stop thinking in those terms, then you should begin to understand.

Also, are you saying that the board is not independent, and that the assets are not really worth what they're reported to be worth, and that there are a whole lot of other terrible things about to befall us, or are you just bringing up every risk that you can imagine. Your comments read like the required disclosures of risk in a prospectus. For example, Sirius disclosed that if they were unable to obtain additional financing, then bankruptcy would be one of many alternatives that they would have to consider. But, the reality is that they have good reason to be confident that they will obtain additional financing, and given that, the likelihood that they would declare bankruptcy is remote. I think current management is trustworthy, and that they're doing a great job. I also think the prospects for satellite radio are much better than your assessment, and I would again urge you to actually acquaint yourself with the product so you would be better able to formulate an opinion regarding its appeal to at least 10% of the US population.
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