Mel Karmazin Says He’s Looking For His “Third Retirement”: Video

By | Tuesday January 15, 2013 @ 8:30am PST

Now that he has resigned as CEO of Sirius XM, Mel Karmazin says he’d like a new gig — either running an entrepreneurial company with an independent board, or helping New Jersey Gov. Chris Christie’s efforts to rebuild areas hit by Hurricane Sandy. “I would be the … Read More »

Comments (1)

FCC Clears Liberty Media’s Takeover Of Sirius XM

By | Thursday January 3, 2013 @ 3:44pm PST

John Malone’s company expects the handover to take place within 60 days now that the FCC has approved “the transfer of de jure control of Sirius XM to Liberty,” it says. While the news … Read More »

Comments (2)

Sirius XM Names Jim Meyer Interim CEO As Mel Karmazin Resigns

By | Wednesday December 19, 2012 @ 6:06am PST

UPDATE, 6:56 AM: As interim CEO, Jim Meyer will collect a base salary of $1.3M per year, plus annual bonuses to be determined by the board, in a new contract that runs until October 31, 2013, … Read More »

Comments (5)

Sirius XM Shares Up After It Announces $2B Stock Repurchase And Special Dividend

By | Thursday December 6, 2012 @ 7:20am PST

The stock is up more than 2% in early trading with investors more surprised at the timing of the announcement than by the decision itself. The satellite radio company says it will repurchase $2B in stock, with no timetable. Liberty Media, which owns 49.8% of Sirius XM, will participate in a way that ensures the effort doesn’t boost or dilute its stake. In addition, on December 28 Sirius XM will pay a 5 cent-a-share special dividend — about $325M — to those who own the stock on December 18. The general feeling was that Sirius XM would return cash to shareholders soon, but not yet: It’s still negotiating to determine the royalty rates it will have to pay for the music it airs, and looking at candidates to replace CEO Mel Karmazin when he leaves in February. The FCC could formally rule by year end that Liberty owns Sirius XM and its satellite licenses. But a lot of companies, including Disney and Dish Network, are announcing dividends ahead of the end of the year: If lawmakers can’t avoid the so-called fiscal cliff tax and budget measures that take effect in January, then dividends will be taxed at a much higher rate. Read More »

Comments (2)

Deadline Big Media With David Lieberman, Episode 2

By | Monday September 24, 2012 @ 3:44pm PDT

Deadline’s Executive Editor David Lieberman talks with host David Bloom in Episode 2 of Deadline Big Media. Lieberman discusses whether Mel Karmazin will stay with satellite broadcaster Sirius XM after Liberty Media completes its acquisition; what impact James Murdoch might have on News Corp’s U.S. TV operations if he takes over, as rumored; and who might be interested in spending up to $7 billion to buy the live-entertainment and sports powerhouse AEG from Denver billionaire Phil Anschutz.

Deadline Big Media Episode 2 (MP3 format)
Deadline Big Media Episode 2 (M4A format) Read More »

Comments (0)

Sirius XM Would Be OK If Mel Karmazin Leaves, Liberty Media CEO Says

By | Thursday September 20, 2012 @ 8:02am PDT

Liberty Media CEO Greg Maffei wasn’t trying to put down Mel Karmazin.  ”Mel has done a great job” at the satellite broadcast company, Maffei told the Goldman Sachs Annual Communicopia Conference this morning. But he added that Sirius XM’s … Read More »

Comments (2)

Mel Karmazin Says He’s “Open” To Staying At Sirius XM After Liberty Takeover

By | Wednesday September 12, 2012 @ 9:01am PDT

Mel Karmazin Sirius XMThe Sirius XM CEO isn’t sure that John Malone’s Liberty Media will want him to stay after it owns more than 50% of the satellite radio company’s stock — something that could happen as early as today. “My instincts are that Liberty does not need me,” Mel Karmazin said at the Bank of America Merrill Lynch Media, Communications and Entertainment Conference. “I have historically been expensive…That’s OK with Mel.” But he also says that he’s “open to having a conversation” about staying after. For example, if Liberty decides to spin off Sirius XM then “that would be a situation I might be interested in.” Karmazin says there’s been “no dialogue whatsoever about me coming or going,” including with Sirius XM’s existing board. His current contract expires in December. If he signed a new deal while the company’s future is in flux then “it would look [to shareolders] like I sold out.” Read More »

Comments (3)

Sirius XM Board Sued By Police Pension Fund For Not Fighting Liberty Takeover

By | Wednesday August 22, 2012 @ 3:10pm PDT

A Florida police pension fund is suing Sirius XM Radio Inc’s board of directors for allowing John Malone’s Liberty Media Corp take over the satcaster without a fight and without paying a premium. Reuters reports the City of Miami Police Relief and Pension Fund filed suit in Delaware Chancery Court following Liberty informing the FCC on Friday that Liberty planned to take full control of Sirius XM by increasing its stake to more than 50%. Provisions under which Liberty invested in Sirius XM in 2009 prohibit the company from fighting off a Liberty takeover, and the police pension fund says this constituts a breach of the board’s fiduciary duties. As part of its investment, Liberty loaned Sirius XM $530 million to help the satcaster avoid bankruptcy. Terms of the loan stipulated that Sirius’ board agreed not to adopt a poison pill or any defense measures against a Liberty takeover after a three-year standstill, which expired in March. Since then Liberty has been buying Sirius shares in the open market to boost its stake above 50%. Read More »

Comments (0)

Liberty Increases Sirius XM Stake To 48%

By | Tuesday August 14, 2012 @ 10:32pm PDT

John Malone’s Liberty Media has increased its stake in Sirius XM Radio to about 48% from 46.2%, the Wall Street Journal reported tonight. Liberty disclosed in an evening filing that it had … Read More »

Comments (1)

Liberty’s John Malone Says Sirius XM Will Be Independent If He Takes Control

By | Thursday July 12, 2012 @ 11:35am PDT

Malone controls shares convertible into more than 40% of the satellite radio company stock — but he’s talking like Sirius XM will soon be his based on news coverage of his comments to reporters at Sun Valley. … Read More »

Comments (14)

Sirius XM Boosts Subscriber Forecast As Auto Sales Improve

By | Monday July 9, 2012 @ 5:41am PDT

Sirius XM Earnings Q2 2012The satellite radio company’s shares are up more than 3.6% in pre-market trading this morning after it beat its own projections, and analysts’, for subscriber growth in Q2. Sirius XM says it added … Read More »

Comments (4)

FCC Rejects Liberty Media’s Application To Take Over Sirius XM’s Licenses

The regulatory agency sided with Sirius XM which said that while John Malone’s Liberty might control the satellite radio company one day, it doesn’t do so yet. The proof: Liberty’s application to claim Sirius XM’s broadcast licenses was … Read More »

Comments (3)

Howard Stern Appeals Ruling In Lawsuit Against Sirius XM

By | Thursday April 26, 2012 @ 9:38am PDT

As expected, Howard Stern’s production company One Twelve and his agent Don Buchwald have appealed a judge’s dismissal of a lawsuit earlier this month against Sirius XM over disputed stock awards from his original contract with the … Read More »

Comments (13)

Howard Stern’s Lawsuit Against Sirius XM Dismissed

By | Tuesday April 17, 2012 @ 9:10am PDT

Howard Stern Lawsuit Sirius XMHoward Stern had claimed his employer owned him additional stock awards for exceeding subscriber targets that would have totaled more than $300 million — targets exceeded when Sirius merged with rival XM Satellite Radio. But Judge … Read More »

Comments 29

Sirius XM CEO Mel Karmazin Scores $10.7M For 2011, An 8.1% Raise

By | Wednesday April 11, 2012 @ 2:22pm PDT

Shareholders probably won’t begrudge him the increase in a year when the satellite radio company’s market value appreciated 13%. Karmazin’s package is pretty simple: $1.5M salary, $9.2M bonus, and $7,350 for other compensation. The Sirius XM proxy says that … Read More »

Comments (5)

Sirius XM Challenges Liberty Media Effort To Take “De Facto Control”

By | Saturday March 31, 2012 @ 3:32pm PDT

The only thing riskier than being an enemy of Liberty Media’s John Malone is to be his friend — as Sirius XM’s Mel Karmazin is discovering. They developed a corporate bromance in 2009 when Malone rescued the satellite radio company … Read More »

Comments (3)

Sirius XM Says It’s Threatened By Music License “Conspiracy”

By | Wednesday March 28, 2012 @ 3:37pm PDT

Earlier this month Sirius XM CEO Mel Karmazin crowed that “things have been great” at the satellite radio company. Its stock is up 23% so far in 2012 and “our free cash flow is growing, it’s extraordinary,” he told CNBC’s Jim Cramer. But Sirius sings a different tune in a new lawsuit that accuses SoundExchange — a clearinghouse authorized by Congress to handle music artists’ royalty payments – and the American Association of Independent Music, a trade group, of leading an “industrywide conspiracy” to raise the fees Sirius pays to air recorded music. The groups’ “unlawful conduct” has “significantly raised Sirius XM’s costs, (and) threatened the viability of its business model in a highly competitive and technologically volatile sector of the entertainment market,” it just told the U.S. District Court in New York. Last year the company spent nearly $200M for royalties to play recordings on the 71 of its more than 135 channels that feature commercial-free music. The fees were set by the government’s Copyright Royalty Board (CRB) in a license that expires this year. Sirius says that SoundExchange has asked CRB to more than double its rates — to a maximum of 20% of the satellite radio company’s gross revenues — for a new license that would run through 2017. Although Sirius acknowledges that it’s growing, it “is far from recovering the enormous capital investment (to build the service) and is just at the point where it it beginning to earn a small profit on its investment.” Read More »

Comments (8)

Media Stocks Caught In Downdraft As Fears Of European Default Grow

The trading day ended with a thud. The benchmark Standard & Poor’s 500 wound up -2.1% as word spread that Germany might balk at a proposal to help bail out debt-laden members of the European Union including Greece and … Read More »

Comments (0)

Sirius XM Shares Defy Gravity As Investors Wonder Whether Liberty Might Take Over

The satellite radio company’s shares are up 11.4% since early Thursday while other NASDAQ stocks collectively are down 4.4%. What’s going on? Well, it seems that many analysts who attended Liberty Media’s annual dog-and-pony show for them on Thursday came away convinced that Sirius XM is preparing to see John Malone lift his company’s 40% stake well past 50%. He has to wait until March to avoid taking a tax hit on such a move — and we all know how much Malone hates to pay taxes. After that there’d be a tax advantage: Sirius has $8B in net operating losses that could be used to shelter future payments. That’s great now, although the losses “sucked” when the company was racking them up, CEO Mel Karmazin told Liberty investors at last week’s gathering. So, is Liberty interested in buying Sirius? A lot of comments that Liberty CEO Greg Maffei made last week sure make it sound that way. “There are few businesses that I have as much confidence in,” he said. ”Boy, it’s got a heck of a tail wind behind it. Find me another business” with as much opportunity. Sirius’ first consumer rate hike, coming in January,  ”is a great opportunity and there’s a potential for more…(Profit) margins will expand….It’s our kind of business.” He added that his company Read More »

Comments (3)
More Deadline | Hollywood »
« Previous Deadline | Hollywood