Skip to main content

Charter Files for Chapter 11

Filed at 9:39 a.m. EST on Mar. 27, 2009

Charter Communications said it filed its pre-arranged reorganization plan and Chapter 11 petitions in U.S. Bankruptcy Court for the Southern District of New York, a plan expected to reduce the cable operator's debt by about $8 billion.

Agreements in principle contemplate the investment by bondholders of more than $3 billion, including up to $2 billion in equity proceeds, $1.2 billion in roll-over debt and $267 million in new debt to support the overall refinancing.

Saddled by $21.7 billion in debt at the close of 2008, the Chapter 11 filing will bring relief on that front, shaving off some $8 billion in debt.

For the full story from Multichannel News, click here.