Report: Liberty Planning To Replace Mel Karmazin At SiriusXM
September 14, 2012 at 3:55 AM (PT)
MEL KARMAZIN may have been accurately predicted his exit as CEO at SIRIUSXM RADIO when he told the audience at the BANK OF AMERICA MERRILL LYNCH Media, Communications & Entertainment Conference in BEVERLY HILLS, CA (NET NEWS 9/13) that he may leave the company when his contract expires on DECEMBER 31st.
KARMAZIN said, "I am certainly open to having a conversation, but certainly my instincts today are that LIBERTY does not need me at the company."
A report in THE NEW YORK POST confirms KARMAZIN's instincts, reporting "JOHN MALONE's LIBERTY MEDIA, which is angling to gain control of the satellite-radio company, is gearing up to replace KARMAZIN. LIBERTY, the largest shareholder in SIRIUS with just under 50% percent of the stock, will kick off a CEO search as soon as KARMAZIN’s contract runs out at the end of this year, said a source."
The report claims MALONE is no fan of KARMAZIN, and was irked when he told FORBES in APRIL (NET NEWS 4/4), "I think I'm one of the most underpaid executives in the history of executive payment."
MALONE's reaction (NET NEWS 7/13) left no room for a misunderstanding. "He's telling people he's underpaid. It's a joke. He has $120 million worth of share options at 50 cents."
LIBERTY currently owns a 49.7% share of the satcaster, and continues to acquire stock to break the 50% controlling interest level.