Chrysler, as it makes its way through Chapter 11 bankruptcy, will negatively affect its bondholders, union workers, and some Chrysler executives. But another company caught in the mix is Sirius/XM Satellite Radio.You see, Chrysler is one of its biggest installers. It is said that Sirius/XM gets close to one million Chrysler-based listeners. So if sales of Chrysler vehicles drop due to the bankruptcy, Sirius/XM will be hit hard.
Moreover, Sirius/XM may have its contract with the troubled automaker cut off or otherwise affected by the bankruptcy court. And it doesn’t help the fact that things have not been smooth for Sirius/XM to say the least. The company was on the verge of bankruptcy itself before it got a much needed fusion of capital from Liberty Media.
And so many more are affected. I know of two suppliers that will never see any money from Chrysler and one had to let all his employees go last week. The domino effect is great.