Chairman Of The FCC Approves Of The XM and Sirius Merger

Posted Jun 16, 2008

“As I have indicated before, this is an unusual situation,” stated Kevin Martin, Chairman of the FCC. “I am recommending that with the voluntary commitments (Sirius and XM) have offered, on balance, this transaction would be in the public interest.”

The FCC is expecting to back a merger between Sirius Satellite Radio Inc. (NASDAQ:SIRI) and XM Satellite Radio Holdings Inc. (NASDAQ:XMSR).  In March 2008, Sirius received approval from the Justice Department to be able to acquire XM for $4.59 billion.  CEO of Sirius, Melvin Karmazin is likely to take the CEO position of the combined companies.

Karmazin stated previously that XM and Sirius channels would be available â??a la carte.â?Â  Earlier this year, AOL LLC signed with CBS Radio instead of renewing with XM to provide radio across their services.

[1] CNET: FCC chief expected to back Sirius-XM merger by Steven Musil