Earlier this month the Internal Revenue Service gave its blessing to the proposed spinoff of Hughes from parent General Motors, clearing the way for that split to be tax-free for GM shareholders. With that hurdle cleared, DirecTV and EchoStar executives can focus on the really big hurdle: gaining regulatory approval to merge.

The second-quarter figures include an interest charge of $47 million relating to losses from the settlement of a contract dispute with General Electric Capital Corp. The numbers further include a $37 million gain related to DirecTV’s exit from the Japanese market and losses related to DirecTV Latin America.

The lower additions were also the result of a switch in the way Blockbuster sells DirecTV service. The change required new training for Blockbuster employees, which stalled signups in the quarter.

Overall, Hughes posted a net loss of $155.2 million, compared with a net loss of $156.5 million in the same period last year. (Hughes does not break out per-share figures.) Total revenue rose 11%, to $2.21 billion, from $1.99 billion last year.

posted by Administrator at 6:58 am & filed under Sirius |