Thursday, March 22, 2007

Sirius, XM Say FCC Rules Do NOT Bar Merger

Sirius, XM say FCC rules do not bar their merger
By Rachelle Younglai, March 21 (Reuters)

Contrary to what the Federal Communications Commission has said, FCC rules do not bar Sirius Satellite Radio Inc. from buying rival XM Satellite Radio Holdings Inc. , the companies said on Wednesday.
"The commission's published rules do not prohibit one satellite radio licensee from acquiring control of the other," Sirius and XM said in joint proxy filing with the U.S. Securities and Exchange Commission.
"Nowhere does that rule prohibit the ability of a satellite radio licensee to transfer or assign its license in any way," the companies said. "Indeed, the commission's 1997 reference to this rule expressly recognizes that the agency's rules contemplate and permit the filing of this application for the transfer of control of both satellite radio licensees to common ownership."...read more: here