XM Radio 2011 Annual Report Download - page 114

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SIRIUS XM RADIO INC. AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS — (Continued)
(13) Debt
Our debt consists of the following:
Conversion
Price
(per share)
December 31,
2011
December 31,
2010
3.25% Convertible Notes due 2011 (a) .............. $ 5.30 $ — $ 191,979
Less: discount .............................. — (515)
8.75% Senior Notes due 2015 (b) .................. N/A 800,000 800,000
Less: discount .............................. (9,753) (12,213)
9.75% Senior Secured Notes due 2015 (c) ............ N/A 257,000 257,000
Less: discount .............................. (8,356) (10,116)
11.25% Senior Secured Notes due 2013 (d) .......... N/A — 36,685
Less: discount .............................. — (1,705)
13% Senior Notes due 2013 (e) .................... N/A 778,500 778,500
Less: discount .............................. (39,504) (59,592)
7% Exchangeable Senior Subordinated Notes due
2014 (f) ..................................... $1.875 550,000 550,000
Less: discount .............................. (5,956) (7,620)
7.625% Senior Notes due 2018 (g) ................. N/A 700,000 700,000
Less: discount .............................. (10,898) (12,054)
Other debt:
Capital leases .................................. N/A 2,941 7,229
Total debt ....................................... 3,013,974 3,217,578
Less: total current maturities non-related party ...... 1,623 195,815
Total long-term ................................... 3,012,351 3,021,763
Less: related party ............................ 328,788 325,907
Total long-term, excluding related party ............... $2,683,563 $2,695,856
(a) 3.25% Convertible Notes due 2011
In October 2004, we issued $230,000 in aggregate principal amount of 3.25% Convertible Notes due
October 15, 2011 (the “3.25% Notes”), which were convertible, at the option of the holder, into shares of our
common stock at any time at a conversion rate of 188.6792 shares of common stock for each $1,000 principal
amount, or $5.30 per share of common stock. Interest was payable semi-annually on April 15 and October 15 of
each year. The obligations under the 3.25% Notes were not secured by any of our assets.
In 2011, we purchased $168,113 of the outstanding 3.25% Notes at prices between 100.75% and 101% of
the principal amount plus accrued interest. We recognized a loss on extinguishment of debt for the 3.25% Notes
of $2,291 for the year ended December 31, 2011, which consists primarily of cash premiums paid, unamortized
discount and deferred financing fees. The remaining $23,866 in principal amount of the 3.25% Notes was paid in
October 2011 upon maturity.
(b) 8.75% Senior Notes due 2015
In March 2010, we issued $800,000 aggregate principal amount of 8.75% Senior Notes due 2015 (the
“8.75% Notes”). Interest is payable semi-annually in arrears on April 1 and October 1 of each year at a rate of
8.75% per annum. The 8.75% Notes mature on April 1, 2015. The 8.75% Notes were issued for $786,000,
resulting in an aggregate original issuance discount of $14,000. Substantially all of our domestic wholly-owned
subsidiaries guarantee our obligations under the 8.75% Notes on a senior unsecured basis.
F-26