NEW YORK (Standard&Poor's) July 29, 2013--Standard&Poor's Ratings Services today assigned New York City-based satellite radio company Sirius XM Radio Inc.'s proposed issuance of $600 million senior notes due 2021 an issue-level rating of 'BB', with a recovery rating of '3'. The '3' recovery rating indicates our expectation of meaningful (50% to 70%) recovery in the event of a payment default. Sirius plans to use the net proceeds, together with some of its existing cash, to redeem $753 million 8.75% senior notes due 2015. The rating on Sirius XM Radio incorporates our expectation that leverage will not increase above our 4.5x threshold for the company at this rating, despite moves to boost shareholder returns, because of its
