Sirius XM Radio Inc (NASDAQ:SIRI) serious about Meyer- permanent CEO post awarded.
Northern, WI 05/01/2013 (gdpwatch) – James Meyer who was serving as the interim Chief Executive Officer for Sirius XM Radio Inc (NASDAQ:SIRI) (Closed: $3.25, Up by 5.86%) has now been moved to a permanent stature for the post. Earlier this year, John Malone the billionaire had taken-over the company and in effect, this move strengthens the leadership of the satellite-radio company. The New York-based company said that Meyer will assume the role with immediate effect. Mel Karmazin the long-time Chief Executive Officer had resigned in December and the post had been filled on an interim basis by Meyer at that point of time. Prior to that, since 2004, Meyer had been the president of Sales and Operations for Sirius.
No formula change
In an interview, Meyer said that he has his individual style and that he does not think that he can really replace Mel. However, he also said that the company is going to be working on very much the same lines as the one that had brought them to the current stage. The focus is going to be on increasing the company’s subscriber base, controlling costs, satisfying its customers and also turning the spotlight on cash flow.
In January, Malone’s Liberty Media Corp (NASDAQ:LMCA) (Closed: $114.88, up by 3.28%) had gained majority control of the company soon after it got regulatory clearance for the deal.
As part of a shakeup in the board, earlier this month, Greg Maffei, the Liberty Media CEO had assumed the Sirius chairmanship. Karmazin, who had presided over the Sirius, XM Satellite Radio merger in 2008 had quit from the CEO position, post a clash with Malone. Last year, Malone had said that the final plan is to eventually spin-off the stake that Liberty has in Sirius. Meyer said that John Malone and Greg Maffei are totally in-sync with him as to where they are headed as a company. He added that they will do whatever is in their best interest with reference to where Liberty might want to go. A prominent analyst said that the Meyer appointment will be greeted pretty favorably by investors.
Through May 29 the Sirius stock had risen 6.2 percent this year. The company had separately reported its first-quarter earnings of 2 cents per share which matched analyst estimates. In the same period, sales had risen to $897.4 million after a 12 percent rise. The average analyst projection had been $906.7 million.