XM, Sirius plan merger

The proposed $11.4 billion merger between XM Satellite Radio Holdings and Sirius Satellite Radio would create a combined company headed by Sirius CEO Mel Karmazin, with XM's Gary Parsons serving as chairman. The deal faces serious regulatory hurdles, because of threatened opposition by FCC Chairman Kevin J. Martin and because of a 1997 FCC rule that expressly prohibits one company from holding both satellite licenses.

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