NEW YORK (Reuters) – Sirius XM Radio Inc Chief Executive Mel Karmazin told Reuters on Wednesday he sees fourth-quarter revenues growing in the double digits in percentage terms and is confident the company can refinance debt due in 2009.
The satellite radio provider will also be able to boost revenues in 2009 and has no immediate plans to cut its subscription prices, even in the midst of the economic recession, he told the Reuters Media Summit in New York.
“We did exactly what we wanted to do for Black Friday, which is not great news because we didn’t have high expectations,” Karmazin said, referring to the Friday after Thanksgiving, which kicks off the holiday shopping season.
Sirius XM, created by the merger of Sirius and XM Satellite Radio, is the biggest U.S. satellite radio provider and one of the nation’s biggest subscription services with about 18.9 million subscribers.
Its radios are sold in stores and installed in cars. Its growth is tied to the automobile industry, which is ailing and seeking a federal government bailout as the world financial crisis lingers.
The company also faces $1 billion in debt that matures in 2009. Karmazin told Reuters he is confident the company can refinance that debt.
He also ruled out any interest in selling Sirius XM in the near term.
“We don’t feel that we need to be acquired,” he told Reuters. “You should assume the company is not for sale.”
Thomson Reuters, the global news and information company.
By Thomson Reuters
