Annual report pursuant to Section 13 and 15(d)

Interest Costs

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Interest Costs
12 Months Ended
Dec. 31, 2012
Interest Costs Disclosure [Abstract]  
Interest Costs
Interest Costs

We capitalized a portion of the interest on funds borrowed as part of the cost of constructing our satellites and related launch vehicle. We are currently capitalizing the interest associated with our FM-6 satellite and will continue to do so until its launch. During the year ended December 31, 2010, we also capitalized costs related to our XM-5 satellite and related launch vehicle. We also incur interest costs on all of our debt instruments and on our satellite incentive agreements. The following is a summary of our interest costs:
 
For the Years Ended December 31,
 
2012
 
2011
 
2010
Interest costs charged to expense
$
265,321

 
$
304,938

 
$
295,643

Interest costs capitalized
31,982

 
33,522

 
63,880

Total interest costs incurred
$
297,303

 
$
338,460

 
$
359,523



Included in interest costs incurred is non-cash interest expense, consisting of amortization related to original issue discounts, premiums and deferred financing fees of $35,924, $39,515 and $42,841 for the years ended December 31, 2012, 2011 and 2010, respectively.