Credit Spreads (basis points)

Rating 1 yr 2 yr 3 yr 5 yr 7 yr 10 yr 30 yr
Aaa/AAA 14 16 27 40 56 68 90
Aa1/AA+ 22 30 31 48 64 77 99
Aa2/AA 24 37 39 54 67 80 103
Aa3/AA- 25 39 40 58 71 81 109
A1/A+ 43 48 52 65 79 93 117
A2/A 46 51 54 67 81 95 121
A3/A- 50 54 57 72 84 98 124
Baa1/BBB+ 62 72 80 92 121 141 170
Baa2/BBB 65 80 88 97 128 151 177
Baa3/BBB- 72 85 90 102 134 159 183
Ba1/BB+ 185 195 205 215 235 255 275
Ba2/BB 195 205 215 225 245 265 285
Ba3/BB- 205 215 225 235 255 275 295
B1/B+ 265 275 285 315 355 395 445
B2/B 275 285 295 325 365 405 455
B3/B- 285 295 305 335 375 415 465
Caa/CCC+ 450 460 470 495 505 515 545

Treasury Yields %
1 mo 3 mo 6 mo 1 yr 2 yr 3 yr 5 yr 7 yr 10 yr
0.02 0.04 0.08 0.11 0.32 0.59 1.31 1.91 2.54

Sirius XM Inc.
Rating
BB
20 yr 30 yr
3.31 3.61
Year 0 1 2 3 4 5 6
Coupon Value 6,000,000 6,000,000 6,000,000 6,000,000 6,000,000 6,000,000
Face Value
Treasury Yield 0.11% 0.32% 0.59% 0.95% 1.31% 1.61%

SCENARIO 1
Credit Spread (BB) 1.95% 2.05% 2.15% 2.20% 2.25% 2.35%
YTM (BB) 2.06% 2.37% 2.74% 3.15% 3.56% 3.96%
PV (Year 0) 5,878,895 5,725,400 5,532,642 5,299,981 5,037,221 4,752,845
Issue Price 78,512,445
Initial YTM 4.72%

SCENARIO 2
Credit Spread (BB+) 1.85% 1.95% 2.05% 2.10% 2.15% 2.25%
YTM (BB+) 1.96% 2.27% 2.64% 3.05% 3.46% 3.86%
PV (Year 0) 5,884,661 5,736,602 5,548,829 5,320,584 5,061,612 4,780,368
Issue Price 79,036,387
Initial YTM 4.62%

Additional Cash 523,942

 7 8 9 10
6,000,000 6,000,000 6,000,000 6,000,000
50,000,000
1.91% 2.12% 2.33% 2.54%

2.45% 2.52% 2.58% 2.65%

4.36% 4.64% 4.91% 5.19%
4,450,540 4,175,227 3,896,504 33,763,190

2.35% 2.42% 2.48% 2.55%

4.26% 4.54% 4.81% 5.09%
4,480,507 4,207,286 3,930,090 34,085,848