Report: Despite the politicians, merger is still a go

Thursday, December 13, 2007 at 9:56 AM
Tags: 2, XM

XM Sirius merger
Despite yesterday's hoopla over a letter written by Reps. Conyers and Chabot to Attorney General Michael Mukasey, the Sirius-XM merger is still on track an analyst said today.

Stifel, Nicolaus & Co. analyst Blair Levin said that while the DOJ has struggled with the decision and the final outcome is a close call, he believes the department will green light the merger between Sirius Satellite Radio Inc. and XM Satellite Radio Holdings Inc.

Investors right now are on a hair trigger, waiting for the slightest indication of where the merger decision will go. After the news broke yesterday, shares of both XMSR and SIRI fell sharply - XM shares dropped nearly 10% Wednesday.

Still, despite the legislators' skepticism, Levin said the deal is still moving forward.

"It's possible the Department of Justice will still try to block the deal and that there's been some sort of leak, but we don't believe the reported letter ... means there is a greater chance of DOJ opposition," Levin said in a client note, noting a decision could come any day.

[AP]

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Quite a logical analysis from Levin. Hope others chimes in. I think RBC did in the NY Post this morning.

"Levin said in a client note, noting a decision could come any day"


Ewwwwwwwwww

>> Stifel, Nicolaus & Co. analyst Blair Levin said that while the DOJ has struggled with the decision and the final outcome is a close call, he believes the department will green light the merger between Sirius Satellite Radio Inc. and XM Satellite Radio Holdings Inc.

WTF? How does this guy know the "DOJ has struggled" with the decision? How does he know it is a "close call"?

It is pretty obvious what has happened here. DOJ was all set to ignore its staff recommendations and take the politically expedient route of approving the merger. It leaked in advance -- probably because some staffer was pissed -- and then management was forced to come up with an explanation of why it would ignore the research staff's argument (which obviously should not be ignored without a pretty damned good reason).

So, this additional time has been spent trying to dig up cover for what is an inherently untenable and unexplainable position -- to approve the merger in the face of staff recommendations against it.

Previously, when management has gone against the staff recommendations, it has leaked (as in Whirlpool) but AFTER THE FACT -- so, the big shots could just issue a statement and hide out. With this leaking before hand, they had to come up with an explanation for taking a position that makes no sense.

Politics is nasty, but it clearly has been the driving force behind getting the merger approved.

When can we get off this see-saw? Up, down, up, down. Make your friggin' decision already, and quit messing with my psyche and my finances!

Stop pressuring them. This is the problem with society, we are all impatient. We all want instant gratification. These things take time and so far they've only had over 6 months. Fuck, for some of these assholes it takes more than 180 days just to take a shit.

Um...with all due respect, I wouldn't call expecting a decision in 180 days "instant gratification" .

Far from it. I think we've been EXTREMELY patient concerning what should have been a "slam dunk".

I mean think about it, the government took less time deciding wether or not to go to war in IRAQ for crying out loud. I think perspectives are slightly skewed here. It should have taken LESS time for this merger to go thru....and MORE time before rushing into war.

Just my humble opinion. :-)

WTF? How does this guy know the "DOJ has struggled" with the decision? How does he know it is a "close call"?

maybe...god forbid...because he's better connected into whats really going on, who's making it go on, and why its going on, than you are?

I know the struggle. LINGER LONGER

I know the struggle. LINGER LONGER

You'll be knowing the struggle of podcast willie soon enough poor pest. Your boys better hope that the merger doesn't go through, or that it takes another 6 months-1 year. Thats the only chance they have to LINGER LONGER.

>>> Far from it. I think we've been EXTREMELY patient concerning what should have been a "slam dunk".

Changing the conditions under which XM/SIRI took their licenses, and creation of an unregulated monopoly, should NOT be a slam dunk. It ought to be a thoughtful process based on existing antitrust law as well as the FCC regulatory environment.

That politics has entered in should hardly be a surprise. But there is nothing about this merger that should have been a slam dunk.

yes.. make up your minds.. yes... no... the sooner the ruling is made the sooner the companies or company can fail and point the blame at.... Mel the tyrant king...

You'll be knowing the struggle of podcast willie soon enough poor pest. Your boys better hope that the merger doesn't go through, or that it takes another 6 months-1 year. Thats the only chance they have to LINGER LONGER.

That's so funny. A guy refering to himself as an anonymous coward on a message board, claims to know how all this is gonna go and expects us to actually take anything he says seriously? Either you are Howard Stern under an assumed name, or you're someone who got fucked by O and A. Until this guy reveals himself and has actual proof of what he says, nothing he says will be taken seriously.

Hey dumbshit pest, if you got off of Greg's nuts for a few minutes and left your moms basement, you might know that I don't choose Anonymous Coward, I just choose not to put a name in that line. Maybe you should go back to your morning zoo hacks with their pee pee jokes and potty humor, as that is obviously your education level.

A.C. If you got off of Howard's sack as well, you'ld realize that people were saying a year ago that O and A's contract wouldn't be renewed..they're still there..you're an ass.

Game over.

And Punt!

"Hey dumbshit pest, if you got off of Greg's nuts for a few minutes and left your moms basement, you might know that I don't choose Anonymous Coward, I just choose not to put a name in that line".

and anyone who doesn't post with a name or their real name shouldn't be taken seriously.

The level of anger this individual displays on a daily basis definitely suggests that he's a little more than just a disgruntled listener.
Well, Anonymous Cocksucker, if you got a personal beef with Greg and Tony, keep it to yourself and them, because it's not interesting anymore. You aren't influencing anyone. O & A's fans will continue to be their fans and Howard's fans will be Howard's. People are gonna listen to what they like and there ain't a motherfucking thing you can do about it so just quit and keep sucking Stern's dick. You lose! Good day, sir!

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