Karmazin Says SiriusXM Will 'Deal' With His Contract In Q3
August 8, 2012 at 3:50 AM (PT)
SIRIUSXM RADIO reported second quarter 2012 financial and operating results YESTERDAY (NET NEWS 8/7), but it was CEO MEL KARMAZIN's employment status that was the hot topic on the company's conference call to discuss those results.
KARMAZIN insisted his employment status isn't an issue in discussions with the satcaster's biggest shareholder, LIBERTY MEDIA CORP. KARMAZIN's deal as CEO expires at the end of the year and he said he and the board would "deal with it" before the third-quarter earnings report in three months' time.
THE WALL STREET JOURNAL reports, "KARMAZIN has made clear his reluctance to work for a controlling shareholder -- even someone like WARREN BUFFETT, as he said in MAY. His stance prompted a response from LIBERTY Chairman JOHN MALONE last month, who questioned 'what gives MEL the right to say hey, JOHN, you've got to go away?' In his comments on TUESDAY Mr. KARMAZIN played down suggestions that his personal views are influencing the company's attitude to LIBERTY."
"I can assure you that our board and I are interested in trying to accomplish whatever LIBERTY wants to do as long as it's in all of our shareholders' best interest," KARMAZIN added.
SIRIUS XM Offers Notes To Institutional Buyers
SIRIUS XM RADIO also announced TODAY that it plans to offer $400 million of Senior Notes due 2022 to institutional buyers.