SIRIUS/XM Offering Programming A La Carte in FCC Filing (SIRI, XMSR)

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This may or may not make a difference in the approval process of the merger between SIRIUS Satellite Radio (NASDAQ:SIRI) and XM Satellite Radio (NASDAQ:XMSR).  The companies have said they will offer an a la carte programming selection for clients after the companies merge.  This is ahead of tomorrow’s filing of a joint reply to the FCC that will include pricing plans and programming.  In total, it looks like the companies announced a suite of eight post-merger programmingoptions.

One option is for 50 channels at $6.99, down from $12.95 today; plus those subscribers can add channels for $0.25 each.  A second option of 100 channels will allow SIRIUS customers to select from XM’s programming and vice versa.  There will also be ‘family-friendly’ options to block adult shows.  There is also a plan for a "Best Of Both" programming.  These plans will have price ranges from $6.99 to $16.99.

Before thinking this will be immediate, there will be some time.  A la carteprogramming will be available beginning within One-Year following the merger,and the other programming options will be available beginning within Six-Months following the merger.  If you want to see more details on the programming, you can see it at the merger site here

Jon C. Ogg
July 23, 2007

Jon Ogg can be reached at jonogg@247wallst.com; he does not own securities in the companies he covers.