ST. LOUIS, April 11, 2012 /PRNewswire/ -- Charter
Communications, Inc. (NASDAQ: CHTR) (along with its
subsidiaries, the "Company" or "Charter") today announced that on
April 11, 2012, its subsidiary,
Charter Communications Operating, LLC, entered into a Term Loan D
pursuant to the terms of its Amended and Restated Credit Agreement
(the "Credit Agreement") providing for $750
million of term loans with a final maturity date of
May 15, 2019. Pricing on the new term
loans was set at LIBOR plus 300 basis points, and they were issued
with 0.5% of original issue discount. The proceeds were used to
refinance the Company's existing Term Loan B-1 and Term Loan B-2,
both due 2014, with the remaining amount used to pay down a portion
of its existing Term Loan C due 2016.
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The Company concurrently refinanced its existing $1.3 billion Extended Revolving Credit Facility
due 2015, with a new $1.15 billion
Revolving Credit Facility due April 11,
2017, at an interest rate of LIBOR plus 225 basis points.
Additional amounts drawn under the new facility were used to pay
transaction related fees and expenses. The Company also entered
into an amendment and restatement of the Credit Agreement to
reflect the foregoing transactions, as well as certain other
modifications in substantially the form agreed to with the Term
Loan A lenders in December 2011 as
was disclosed at that time.
Merrill Lynch, Pierce, Fenner & Smith Incorporated,
Citigroup Global Markets Inc., Credit Suisse Securities
(USA) LLC, Deutsche Bank
Securities Inc., J.P. Morgan Securities LLC and UBS Securities LLC
served as the Joint Lead Arrangers and Book Runners for the new
facilities.
CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING STATEMENTS
This release includes forward-looking statements within the
meaning of Section 27A of the Securities Act of 1933, as amended
(the "Securities Act"), and Section 21E of the Securities Exchange
Act of 1934, as amended (the "Exchange Act"), regarding, among
other things, our plans, strategies and prospects, both business
and financial. Although we believe that our plans, intentions and
expectations reflected in or suggested by these forward-looking
statements are reasonable, we cannot assure you that we will
achieve or realize these plans, intentions or expectations.
Forward-looking statements are inherently subject to risks,
uncertainties and assumptions including, without limitation, the
factors described under "Risk Factors" from time to time in our
filings with the Securities and Exchange Commission ("SEC"). Many
of the forward-looking statements contained in this release may be
identified by the use of forward-looking words such as "believe,"
"expect," "anticipate," "should," "planned," "will," "may,"
"intend," "estimated," "aim," "on track," "target," "opportunity,"
"tentative," "positioning" and "potential," among others. Important
factors that could cause actual results to differ materially from
the forward-looking statements we make in this release are set
forth in other reports or documents that we file from time to time
with the SEC, and include, but are not limited to:
- our ability to sustain and grow revenues and free cash flow by
offering video, Internet, telephone, advertising and other services
to residential and commercial customers, to adequately meet the
customer experience demands in our markets and to maintain and grow
our customer base, particularly in the face of increasingly
aggressive competition, the need for innovation and the related
capital expenditures and the difficult economic conditions in
the United States;
- the development and deployment of new products and
technologies;
- the impact of competition from other market participants,
including but not limited to incumbent telephone companies, direct
broadcast satellite operators, wireless broadband and telephone
providers, and digital subscriber line ("DSL") providers and
competition from video provided over the Internet;
- general business conditions, economic uncertainty or downturn,
high unemployment levels and the level of activity in the housing
sector;
- our ability to obtain programming at reasonable prices or to
raise prices to offset, in whole or in part, the effects of higher
programming costs (including retransmission consents);
- the effects of governmental regulation on our business;
- the availability and access, in general, of funds to meet our
debt obligations, prior to or when they become due, and to fund our
operations and necessary capital expenditures, either through (i)
cash on hand, (ii) free cash flow, or (iii) access to the capital
or credit markets; and
- our ability to comply with all covenants in our indentures and
credit facilities, any violation of which, if not cured in a timely
manner, could trigger a default of our other obligations under
cross-default provisions.
All forward-looking statements attributable to us or any person
acting on our behalf are expressly qualified in their entirety by
this cautionary statement. We are under no duty or obligation to
update any of the forward-looking statements after the date of this
release.
SOURCE Charter Communications, Inc.