Friday, GM, Delphi, and the United Auto Workers announced new agreements that expand attrition efforts at Delphi and push back court litigation until Aug. 11. This demonstrates a minimized risk of an employee strike at Delphi, which has negatively affected XM's stock price over recent months, according to UBS Investment Research analyst Lucas Binder.
"While we believe there would be minimal impact to XM's radio production from a strike, the detriment to GM's production and sales of XM radios in GM cars would be negatively impacted," said Binder.
Given the other external pressures faced by XM, it's nice to see some good news for a change. Even so, XMSR slipped another 21 cents to 13.39 before today's close.[Source: Forbes]
