Here are a few answers to common questions I have been reading around the net concerning the merger between Sirius and XM. Though not 100% official these answers are taken straight from press releases and interviews Mel Karmazin has done post merger.

What are the new pricing plans? Will my Monthly Bill go up now?

If you do not listen to Howard Stern (Premium Channel) there are $6.99-9.99 pricing plans, so you will actually save money on your monthly bill. You can add on optional premium channels but as long as you don’t get into any XM programing your bill will never go above the current price of $12.95. I repeat as long as you don’t add on any XM programing your bill will never go above $12.95.

So to sum up above if you are paying $12.95 now, do nothing. You will have the same programing and same price as you always had as a Sirius Subscriber.

Can I get XM channels yet? When will I be able to get XM programming?

As of right now you can not get XM channels on your Sirius Radio. There are plans for an Al La Cart system but for right now your reciever can not get transmissions from the XM Satellites. Mel said that new radios are already designed but they are not going to be available until they start mass production.

What you will be able to get is a “Best of XM” package that consists of 11 XM Channels wich will brodcast over Sirius’s current satellites. So you will not need a new radio but there will most likely be a price involved with this service. Also what 11 channels are being offered is not known at the moment.

How long before I can get MLB Radio on my current Sirius Radio? I want it now, why is it taking so long?

The MLB will not be available to Sirius right away. There are currently licensing issues that need to be worked out with no deffinate time table. The MLB will not let Sirius brodcast. So your best option is to contact the MLB and not Sirius. The same goes for NASCAR on XM.

What about Howard Stern? I’m on XM and I’ve been waiting for this day to happen, when can I hear him?

Howard Stern will be available to XM subscribers this Fall. No specific date was given yet but it could be as close as September. It’s also unclear if both Howard 100 and 101 will be included also he will not be a part of the “Best of Sirius” package since it’s considered premium content.

What about my current receiver? Do I need to buy a new one?

No not unless you need a new one. You existing WILL NOT BECOME OBSOLETE. You will still be able to enjoy Sirius or XM as you have been in the past.

What about my Lifetime Subscription?

You will still have your lifetime subscription. How it will work with different Sirius/XM packages is not known.

What about my Favorite channels? Are they going to remove channels? How will they do this?

They will be slowly merging channels from XM into Sirius programming. This means that some of your favorite channels may get replaced. If XM has a better Hip-Hop channel it may replace one of Siriu’s, but if Sirius has a better performing Country channel it will stay and replace one from XM.

No official word but the 50’s, 60’s, 70’s and 80’s channels will most likely be merged and be the same on both Sirius and XM.

I have a Factory XM radio in my car with DVD Monitors, can I convert the XM Radio and Screens to Sirius Backseat TV?

NO

That is it for now, as I gather more Questions I will post them. The main question I’m trying to find out right now is how Internet Streaming will work with the newly merged companies.

Just a small update.

Pretty interesting talk, but still nothing that we already don’t know about.

Link here http://www.marksfriggin.com/news.htm#wed

I will throw some audio up later if I can find it.

Inside the details of the deal, with Mel Karmazin, Sirius Satellite Radio president/CEO

Here is a link to the video on CNBC

http://www.cnbc.com/id/15840232?video=808001565

Will have links/info on Stern and O&A as it comes in, will most likely be the same news though.

Here are some highlights from the video, nothing really new here though.

Mel says they are fully funded now, and investors will see

the value of the company.

Free cash flow positive for 2009.
New Satellite this year.

David Fabre (Interviewer) gets frustrated with him Mel throught interview.

3.5 million new subscribers per year
depending on Detroit.

Mel admits stock sucks and it’s embarassing!

Here is Audio from Mel Karmazin on Opie and Anthony

SIRIUS XM Radio Chosen as New Corporate Name
Combined Company Has Over 18.5 Million Subscribers, Annualized Second Quarter Revenue Exceeding $2.4 Billion
Company to Offer Consumers Best of Both Services, While Maximizing Significant Efficiencies
SIRIUS XM Reiterates Financial Guidance; Expects 2009 Synergies of $400 million and 2009 Adjusted EBITDA of over $300 Million

SIRIUS Satellite Radio and XM Satellite Radio today
announced that they have completed their merger, resulting in the
nation’s premier radio company. The new company plans to change its
corporate name to SIRIUS XM Radio Inc. The combined company’s stock
will continue to be traded on the Nasdaq Global Select Market under the
symbol “SIRI.”

SIRIUS XM Radio begins day one with over 18.5 million subscribers,
making it the second-largest radio company, based upon revenue, in the
country; and, based upon subscribers, the second largest subscription
media business in the U.S. With under 10% penetration of the home and
car market, the opportunity for continued growth is significant.

“I
am delighted to announce the completion of this exciting merger between
SIRIUS and XM,” said Mel Karmazin, CEO of SIRIUS XM Radio. “We have
worked diligently to close this transaction and we look forward to
integrating our best-in-class management teams and operations so we can
begin delivering on our promise of more choices and lower prices for
subscribers.”

“Every one of our constituencies is a winner. Combined, SIRIUS XM
Radio will deliver superior value to our shareholders. By offering more
compelling packages and the best content in audio entertainment, we are
well positioned for increased subscriber growth. Our laser focus on
subscribers will continue and listeners can be assured that there will
be no disruption in service. We also believe that the completion of the
merger will eliminate any confusion that has been lingering in the
marketplace,” added Karmazin.

XM shareholders will receive 4.6 shares of SIRIUS common stock for each share of XM.

Competitive New Options for Consumers

SIRIUS
XM Radio broadcasts more than 300 channels of programming, including
exclusive radio offerings from Howard Stern, Oprah, Opie & Anthony
and Martha Stewart, among others. SIRIUS XM Radio will offer these
expanded options to consumers through arrangements with the world’s
leading automakers and its relationships with nationwide retailers.

As
a result of the merger, SIRIUS XM Radio will also be able to offer
consumers new packages in audio entertainment, including the first-ever
a la carte programming option in subscription media. In addition to two
a la carte options, the new packages will include: “Best of Both,”
giving subscribers the option to access certain programming from the
other network; discounted Family Friendly packages; and tailored
packages including “Mostly Music” and “News, Talk and Sports.” The
first of the new packages will be available in the early Fall.

“One
of the most exciting benefits of this transaction is the ability to
offer subscribers the option of expanding their subscriptions to
include the Best of Both services. Given the respective popularity of
exclusive programming on both SIRIUS and XM, we expect many subscribers
will upgrade their current subscription,” said Karmazin.

“The
upside potential for both consumers and shareholders is huge. Consumers
have the ease of adding premier programming without purchasing a new
device. For shareholders, this kind of organic growth is a key part of
the company’s future and the success we expect to see,” said Karmazin.

As
promised when the merger was first announced, existing radios will
continue to work and every subscriber has the option of maintaining
their current service package.

Benefits for Shareholders Begin Immediately, Integration Already Under Way

SIRIUS XM Radio expects to
begin realizing the synergies expected from this transaction immediately.

“In
addition to realizing significant potential revenue growth, the
management team will move quickly to capitalize on the synergies that
many analysts have predicted for this combination. We expect to begin
achieving those synergies without sacrificing any of the world-class
programming and marketing we are known for,” said Karmazin.

The
company today also reiterated guidance for the combined SIRIUS XM
Radio. Based upon a preliminary analysis, the combined company expects
to realize total synergies, net of the costs to achieve such synergies,
of approximately $400 million in 2009; to post adjusted EBITDA
exceeding $300 million in 2009; and to achieve positive free cash flow,
before satellite capital expenditures, for the full year 2009. The
company also expects that both synergies and adjusted EBITDA will
continue growing beyond 2009.

“We have all the
tools necessary to begin executing as a combined company with high
aspirations for subscriber growth and greater financial performance in
part from the significant synergies that we begin realizing literally
today — on Day One. We are moving quickly to integrate the
operations,” said Karmazin.

The corporate headquarters will be
located in New York, NY and XM Satellite Radio, the company’s
wholly-owned subsidiary, will remain headquartered in Washington, DC.

Effective after the close of the market yesterday, trading in XMSR common stock on the Nasdaq Global Select Market ceased.

This is all great news but I would like to hear from Mel about the stock that is down to $1.70 as we speak.

Straight from the FCC website is the official announcement from the FCC green lighting the merger of Sirius and XM.

Sirius and Xm satellite radio announced this morning that they are in discussions with the FCC to settle the final issues pending to the merger.

After looking through various online sources it is known that FCC commissioner Kevin Martin said The Five member commission is set to approve the merger contingent on the two companies agreeing to meet certain conditions.

The final FCC vote (Tate) is expected to take place sometime today.

According to the statement released by Sirius and XM, the two companies
expect to agree to several conditions, including XM paying $17 million
and Sirius paying $2 million in “voluntary contributions” to the U.S.
Treasury.

The FCC has also had issues with several terrestrial, or land-based,
signal repeaters that the companies use to deliver their programming.
The FCC has argued that the repeaters can cause interference with
traditional land-based radio stations.

After the FCC approves the merger Xm has 60 days to shut down 50 Terrestrial repeaters or bring another 50 into FCC compliance.

After the merger Sirius is expected to shut down 11 repeaters by the end of the 60 days.

Updates as they come in.

Update 1

http://siriusxmnews.com/2008/07/update-fcc-commissioners-will-approve-xm-sirius-deal/

Democratic commissioner Jonathan Adesltein voted against Sirius
Satellite Radio Inc.’s proposed takeover of XM Satellite Radio Holdings
Inc. This also means the vote on the regulatory body now stands at 2-2,
with Republican member Deborah Taylor Tate still undecided.

FCC
Chairman Kevin Martin and fellow Republican Robert McDowell have both
voted in favor of the deal. Democrat Michael Copps voted against it
Monday.

Adelstein’s vote puts even more pressure on Tate, who is
seeking resolution of a pending enforcement action against the
companies, according to public filings.

[Via Google]

The chairman of the U.S. Federal Communications Commission is close to securing the final vote needed to get majority support for giving conditional approval to Sirius Satellite Radio Inc’s purchase of XM Satellite Radio Holdings Inc, a source familiar with the merger review said on Wednesday.

FCC Chairman Kevin Martin is near an agreement to get the support of fellow Republican commissioner Deborah Taylor Tate, which would give him the three votes needed for approval of the deal on the five-member commission, the source said.

[Via: Reuters]

It’s getting down to the wire Guys and Girls. With this whole merger resting on Commissioner Tate I only hope she can make the correct decision and do what is best for these two struggling companies.

As soon as there is word of a vote from Tate I will post it up.

Here are a few of the top stories from this week pertaining to Sirius, Xm and the Merger.

I have also noticed a ton of talk this week about the iPhone killing radio. I wonder if the government or the FCC will end up looking into the impace the iPhone is having on Radio and Satellite Radio?

Georgetown Partners: Sirius Backseat TV Is Not ‘Ancillary’ Service
The private investment firm says Sirius’ use of its satellite radio spectrum for the Sirius Backseat TV service is a violation of its licensing rules and it has asked the Enforcement Bureau of the Federal Communications Commission to look into the matter.

Georgetown asked the FCC to order Sirius to “cease its unauthorized television broadcasting through appropriate orders after investigation,” according to a recent filing with the agency.
………

New Support, Stipulations for XM-Sirius Deal

A second Federal Communications Commission official has thrown his support behind the much-delayed deal between XM Satellite Radio (XMSR - Cramer’s Take - Stockpickr) and Sirius Satellite Radio (SIRI - Cramer’s Take - Stockpickr), although the merger saga may continue drag on because of new stipulations put forth by the regulator. ………….

uXM iPhone beta Released!

Millard Software has released uXM beta v .53 for for iPhone and iPod Touch today.

The application is for jailbroken iphones and allows you to enjoy XM Satellite Radio on your iPhone or iPod Touch as long as you have firmware version 1.1.4.

An XM subscription is obviously required…………..

Is the iPhone Killing Terrestrial Radio?

You have to just love it when a more well known industry expert and pundit than yourself says something you’ve been trumpeting for close to a decade. Today, I got that warm fuzzy feeling down in the cockles of my heart when Jeff Jarvis boldly proclaimed “tear down the broadcast towers!”.…….

I hope everyone has a great weekend, hopefully we will hear some good news about the merger next week.

The potential deciding vote in the U.S. government’s review of the
$3.1 billion merger between satellite radio companies told The
Associated Press he will vote in favor of the deal if the companies
agree to tougher conditions.

So far, two of the five members of
the Federal Communications Commission have voted to approve Sirius
Satellite Radio Inc.’s buyout of rival XM Satellite Radio Holdings Inc.
That is one vote shy of a majority.

FCC commissioner Jonathan
Adelstein, a Democrat, wants the companies to cap prices for six years
and make one quarter of their satellite capacity available for public
interest and minority programming, among other conditions.

If the executives agree, Adelstein told the AP that he will be in favor of the deal.

Adelstein
circulated his recommended conditions among the other four
commissioners Thursday. His proposal seeks more concessions than the
companies offered voluntarily one month ago. That offer led to FCC
chairman Kevin Martin’s recommendation that the deal be approved.

Robert
McDowell, a Republican, has since joined Martin in recommending
approval. Deborah Taylor Tate, also a Republican, is undecided and had
been considered the possible swing vote.

Adelstein has been a
vocal opponent of big media mergers, so his offer is somewhat
surprising. But with strong odds that Tate would eventually vote yes,
his move would make the deal more palatable for critics.

“It’s
critical that if we’re going to allow a monopoly, that we put in
adequate consumer protections and make sure they’re enforced,”
Adelstein said.

[Via: CNN Money]

Richard Blumenthal, attorney general for the state of Connecticut and 18 other Attorney Generals filed a letter with the FCC a few days ago. They mention that Satellite Radio is not in direct competition with Terrestrial Radio or the iPod but they are concerned about one company controlling the whole spectrum.

They go on to write that many of the stated believe the merger should be denied and the conditions proposed are not adequate enough.

What more do they want? Glad you asked! Here is the filing with all of their demands.

Basically they believe the pending merger will create a monopoly and they are not very happy about it.

I’m sure this will slow down the decision a few more weeks.