Court OKs Adelphia’s Exit Financing

The United States Bankruptcy Court for the Southern District of New York definitively approved Adelphia Communications Corp.'s previously announced $8.8 billion exit-financing commitment, the MSO said Thursday.

The court also approved related documents associated with the commitment, as well as the payment of related fees and expenses.

The MSO will receive $8.8 billion in loans from a group of four major banks, as announced Feb. 25.

J.P. Morgan Chase & Co., Citigroup, Credit Suisse First Boston LLC and Deutsche Bank will each contribute one-quarter of the exit-financing package to help the company emerge from Chapter 11 bankruptcy protection.

Each bank will underwrite $1.375 billion in senior secured credit facilities and another $825 million in bridge-loan facilities.