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To: Bucky Katt who wrote (12191)	3/5/2003 12:50:40 PM
From: ALTERN8	Read Replies (4) \| Respond to of 13094

Sold F -.01 bought SIRI @ .58 Sirius Bond Holders Approve Funding Plan Wednesday March 5, 11:30 am ET NEW YORK -- Bond holders of Sirius Satellite Radio Inc. (NasdaqNM:SIRI - News) Wednesday approved the company's recapitalization plan, allowing the satellite radio operator to avoid a bankruptcy filing. ADVERTISEMENT About 91% of Sirius's debt holders agreed to exchange their debt for common stock. The recapitalization also exchanges the company's preferred stock for common stock and will inject $200 million in new capital from Sirius's major financial partners through the sale of newly issued common shares. Stock holders on Tuesday approved the plan, which is expected to be completed by the end of the week. Sirius said the funding package will provide the company with enough funding to continue operations through the second quarter of 2004. Late last year, the company said it had only enough cash to fund its operations through the second quarter of 2003. In August, Sirius also acknowledged the possibility of bankruptcy, if it didn't raise enough cash to fund operations. As part of the funding plan, affiliates of Oppenheimer Funds, Blackstone Group LP and Apollo Management LP agreed to provide the $200 million in additional funds that, when combined with existing cash on-hand, will result in $300 million in cash. Oppenheimer Funds will provide $150 million, and affiliates of Apollo and Blackstone will each provide $25 million. When completed, the recapitalization will convert about $636 million in debt and $519 million in preferred stock into common stock. "This is a major milestone for Sirius that now enables us to move forward with a strong balance sheet," Sirius President and Chief Executive Joseph P. Clayton said in a written statement. Sirius and Washington, D.C.-based XM Satellite Radio Holdings Inc. (NasdaqNM:XMSR - News) are the two major services delivering digital-quality music via satellite to subscribers who buy special equipment. XM in December said it had lined up $450 million in new funding to carry it through the middle of 2004. In late-morning trading on the Nasdaq Stock Market (News - Websites), Sirius shares were down 10 cents, or 14%, at 61 cents. -Diana Rosenberg; Dow Jones Newswires; 609-520-7817; and Maria P. Vallejo; Dow Jones Newswires; 201-938-5400.