FCC Chair Says No To XM & Sirius Merger

Shares of XM and Sirius Satellite Radio plunged Wednesday after the chairman of the Federal Communications Commission send that FCC rules prevent a merger. The FCC rules that allowed the creation of the satellite business specifically forbid a merger between the two broadcsters

Investors took the comments to mean that Martin and the FCC won't agree to change the rules.  XM's shares dropped 9.9% to close at $15.43 on nearly triple its average trading volume and Sirius fell 7% to $3.86. (more @ BusinessWeek)