Printer Friendly

OUTLET COMMUNICATIONS SUCCESSFULLY COMPLETES ITS REFINANCING; WILL SAVE $4 MILLION IN ANNUAL INTEREST EXPENSE

 CRANSTON, R.I., Aug. 23 /PRNewswire/ -- Outlet Communications, Inc. (NASDAQ: OCOMA) reported that it has successfully completed a refinancing of its long-term debt.
 On Aug. 17, 1993 Outlet redeemed in full its 13 1/4 percent Senior Subordinated Notes, in the principal amount of $44,150,000, at 105 percent of par plus accrued interest. Funds for the redemption were provided by $28,000,000 in senior bank financing plus cash on hand, including funds remaining from a $60,000,000 public offering, on July 15, 1993, of 10 7/8 percent Senior Subordinated Notes. Approximately $46.8 million of funds from the public offering were used to prepay the principal balance and interest on a Junior Subordinated Note, which was accruing interest at 17.2 percent per year.
 James G. Babb, Outlet Communication's chairman, president and chief executive officer said, "the prepayment of Outlet's former high-cost debt from borrowings at lower interest rates will enable the company to reduce its annual interest expense by approximately $4,000,000."
 Outlet, in addition, extended the final maturity date of its long-term debt from 1997 to 2003. As a result of the refinancing, a one- time charge for debt extinguishment of approximately $2,800,000 will occur in the 1993 third quarter.
 Outlet Communications, Inc., headquartered in Cranston, R.I., owns and operates two VHF television stations that are both NBC network affiliates: WCMH, Columbus, Ohio, and WJAR-TV, serving the Providence, R.I.-New Bedford, Mass., market.
 -0- 8/23/93
 /CONTACT: James G. Babb, Outlet chairman, president and CEO, 401-455-9250/
 (OCOMA)


CO: Outlet Communications ST: Rhode Island IN: TLS SU:

JL-CM -- NE014 -- 5156 08/23/93 16:09 EDT
COPYRIGHT 1993 PR Newswire Association LLC
No portion of this article can be reproduced without the express written permission from the copyright holder.
Copyright 1993 Gale, Cengage Learning. All rights reserved.

Article Details
Printer friendly Cite/link Email Feedback
Publication:PR Newswire
Date:Aug 23, 1993
Words:278
Previous Article:ARCH COMMUNICATIONS ACQUIRES PAGING COMPANY IN NEW ENGLAND
Next Article:CUSTOMEDIX CORP. ANNOUNCES POSSIBLE ENVIRONMENTAL LITIGATION AGAINST JENERIC/PENTRON, THE COMPANY'S DENTAL SUBSIDIARY
Topics:

Terms of use | Copyright © 2016 Farlex, Inc. | Feedback | For webmasters