XM Radio 2012 Annual Report Download - page 106

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SIRIUS XM RADIO INC. AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS — (Continued)
Construction in progress consists of the following:
December 31,
2012
December 31,
2011
Satellite system ............................................. $376,825 $343,932
Terrestrial repeater network .................................... 17,224 19,194
Other ..................................................... 23,075 9,382
Construction in progress .................................... $417,124 $372,508
Depreciation expense on property and equipment was $212,675, $208,830 and $207,367 for the years ended
December 31, 2012, 2011 and 2010, respectively. We retired property and equipment of $5,251 and $12,158
during the years ended December 31, 2012 and 2011.
Satellites
We currently own a fleet of nine orbiting satellites. The chart below provides certain information on these
satellites:
Satellite Designation Year Delivered
Estimated End of
Depreciable Life
FM-1 .................................................. 2000 2013
FM-2 .................................................. 2000 2013
FM-3 .................................................. 2000 2015
FM-5 .................................................. 2009 2024
XM-1 .................................................. 2001 2013
XM-2 .................................................. 2001 2013
XM-3 .................................................. 2005 2020
XM-4 .................................................. 2006 2021
XM-5 .................................................. 2010 2025
We own four orbiting satellites for use in the Sirius system. We own five orbiting satellites for use in the
XM system. Four of these satellites were manufactured by Boeing Satellite Systems International and five were
manufactured by Space Systems/Loral.
During the years ended December 31, 2012 and 2011, we capitalized expenditures, including interest, of
$32,893 and $81,189, respectively, related to the construction of our FM-6 satellite and related launch vehicle.
(10) Related Party Transactions
We had the following related party balances at December 31, 2012 and 2011:
Related party
current assets
Related party
long-term assets
Related party
current liabilities
Related party
long-term liabilities
Related party
long-term debt
2012 2011 2012 2011 2012 2011 2012 2011 2012 2011
Liberty Media . . . $ — $ — $ 757 $ 1,212 $3,980 $ 9,722 $ — $ — $208,906 $328,788
Sirius XM
Canada ....... 13,167 14,702 44,197 53,741 2,776 4,580 18,966 21,741 — —
Total ........ $13,167 $14,702 $44,954 $54,953 $6,756 $14,302 $18,966 $21,741 $208,906 $328,788
F-20