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Stockholders' Equity
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12 Months Ended |
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Dec. 31, 2013
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| Stockholders' Equity Attributable to Parent [Abstract] | Ìý |
| Stockholders' Equity Note Disclosure [Text Block] |
Stockholders' Equity
Preferred Stock
Â鶹app's preferred stock is issuable, from time to time, with such designations, preferences and relative participating, optional or other rights, qualifications, limitations or restrictions thereof, as shall be stated and expressed in a resolution or resolutions providing for the issue of such preferred stock adopted by Â鶹app's board of directors. As of DecemberÌý31, 2013, no shares of preferred stock were issued.
Common Stock
Â鶹app's Series A common stock has one vote per share and Â鶹app's Series B common stock has ten votes per share. Each share of the Series B common stock is exchangeable at the option of the holder for one share of Series A common stock. The Series A and Series B common stock participate on an equal basis with respect to dividends and distributions.
As of DecemberÌý31, 2013, there were 3.7 million shares of Series A common stock reserved for issuance under exercise privileges of outstanding stock options.
In addition to the Series A and Series B common stock there are 2 billion shares of Series C common stock authorized for issuance.
As discussed in note 4, on January 3, 2014, a proposal was made to SIRIUS XM that outlines the terms by which SIRIUS XM public shareholders would become shareholders of Â鶹app in a tax-free transaction in which each share of SIRIUS XM common stock would be converted into 0.0760 of a new share of Â鶹app Series C common stock, and, immediately prior to such conversion, Â鶹app intends to distribute, on a 2:1 basis, shares of Â鶹app's Series C common stock to all holders of record of Â鶹app's Series A and B common stock to create a liquid trading market for Â鶹app's Series C common stock. The transaction is subject to the approval of both the special committee and a majority of the public stockholders of SIRIUS XM, other than Â鶹app. Approval by the existing Â鶹app shareholders of the issuance of the Series C common shares in the proposed transaction is also required under applicable Nasdaq Stock Market requirements.
Purchases of Common Stock
As described in note 2, in November of 2011, Â鶹app converted each outstanding share of Â鶹app Starz common stock into 0.88129 of a share of the corresponding series of Â鶹app Capital common stock, with cash paid in lieu of any fractional shares.
During the year ended December 31, 2011, the Company repurchased 5,229,166 shares of Series A Â鶹app common stock for aggregate cash consideration of $365 million and 1,534,200 shares of Series A Â鶹app Starz common stock for aggregate cash consideration of $100 million under the authorized repurchase program.
During the year ended December 31, 2012 the Company repurchased 3,591,271 shares of Series A Â鶹app common stock for aggregate cash consideration of $323 million under the authorized repurchase program.
During the year ended December 31, 2013 the Company repurchased 1,264,550 shares of Series A Â鶹app common stock for the aggregate cash consideration of $140 million under the authorized repurchase program. Additionally, Â鶹app obtained shares of Â鶹app Series A common stock on October 3, 2013, pursuant to a transaction in which a subsidiary of Comcast, Inc. exchanged approximately 6.3 million shares of Â鶹app's Series A common stock for a newly created subsidiary of Â鶹app which held Â鶹app's wholly owned subsidiary Leisure Arts, Inc., approximately $417 million in cash and Â鶹app's rights in and to a revenue sharing agreement relating to the carriage of CNBC ("CNBC Agreement"). Â鶹app recorded a gain of approximately $496 million determined based on the difference between the fair value of the shares obtained in the exchange transaction and the carrying value assets and businesses delivered. These exchange shares obtained were done so through special approval from the Company's Board of Directors and was not considered a repurchase of shares under the Company's formal share repurchase program. Â鶹app treated the transaction as a tax-free exchange. In January 2014, the IRS completed its review of the exchange and notified Â鶹app that it agreed with the non-taxable characterization of the transaction.
All of the foregoing shares obtained have been retired and returned to the status of authorized and available for issuance.
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