Sunday, November 29, 2009

Charter Emerges from Chapter, Cutting $8 Billion in Debt

Charter Communications, the fourth-largest cable operator in the United States, emerged from Chapter 11 bankruptcy protection. The company said its financial restructuring significantly improves its capital structure by reducing debt by approximately 40 percent, or approximately $8 billion.

Charter said it is positioned to generate positive free cash flow through the reduction of more than $830 million in annual interest expense.

"This successful financial restructuring is a significant accomplishment and makes Charter a stronger company for the benefit of our customers, vendors, employees and the communities we serve," said Neil Smit, President and Chief Executive Officer. "We have restructured our balance sheet without losing sight of serving our customers and maintaining our business relationships. Charter will remain focused on further enhancing the customer experience and is positioned to generate free cash flow. On behalf of the management team, I would like to thank the more than 16,000 Charter employees across the country for their hard work and dedication throughout this process."