Quarterly report pursuant to Section 13 or 15(d)

Property and Equipment

v2.3.0.15
Property and Equipment
 9 Months Ended
Sep. 30, 2011
Property and Equipment [Abstract]  
Property and Equipment
(8) Property and Equipment
          Property and equipment, net, consists of the following:
                 
    September 30,     December 31,  
    2011     2010  
Satellite system
  $ 1,943,537     $ 1,943,537  
Terrestrial repeater network
    111,880       109,582  
Leasehold improvements
    43,392       43,567  
Broadcast studio equipment
    52,554       51,985  
Capitalized software and hardware
    181,712       163,689  
Satellite telemetry, tracking and control facilities
    57,917       57,665  
Furniture, fixtures, equipment and other
    64,673       63,265  
Land
    38,411       38,411  
Building
    56,952       56,685  
Construction in progress
    365,827       297,771  
 
           
Total property and equipment
    2,916,855       2,826,157  
Accumulated depreciation and amortization
    (1,214,289 )     (1,064,883 )
 
           
Property and equipment, net
  $ 1,702,566     $ 1,761,274  
 
           
     Construction in progress consists of the following:
                 
    September 30,     December 31,  
    2011     2010  
Satellite system
  $ 330,320     $ 262,744  
Terrestrial repeater network
    19,306       19,239  
Other
    16,201       15,788  
 
           
Construction in progress
  $ 365,827     $ 297,771  
 
           
          Depreciation and amortization expense on property and equipment was $50,833 and $51,222 for the three months ended September 30, 2011 and 2010, respectively, and $156,032 and $156,603 for the nine months ended September 30, 2011 and 2010, respectively.
     Satellites
          We own four orbiting satellites for use in the SIRIUS system. Space Systems/Loral is constructing a fifth satellite, FM-6, for use in this system. We have an agreement with International Launch Services to launch this satellite on a Proton rocket.
          We own five orbiting satellites for use in the XM system. Four of these satellites were manufactured by Boeing Satellite Systems International and one was manufactured by Space Systems/Loral.
     During the three and nine months ended September 30, 2011, we capitalized expenditures, including interest, of $16,875 and $67,576, respectively, related to the construction of our FM-6 satellite and related launch vehicle. In the three and nine months ended September 30, 2010, we capitalized $38,397 and $161,851, respectively, of expenditures, including interest, which also related to our FM-6 and XM-5 satellites.