Radio One Seeks Help In Credit Crunch

[quietboy]

From DCRTV.ORG

http://dcrtv.org/

Radio One Seeks Help In Credit Crunch - 8/18 - From Radio Ink: Lanham-based Radio One reports in a filing with the Securities And Exchange Commission that it's amended and extended a forbearance agreement with creditors while it works out its default on some terms. Under the agreement, Radio One will bring in a restructuring adviser who will, with Radio One managers and a financial adviser, meet with lender representatives by August 27. Also, an agent for the lenders has delivered a payment blockage notice that stopped an August 15 payment of interest on notes due 2013. There's a 30-day grace period before nonpayment constitutes a default. Radio One's lenders, led by Wells Fargo, "have not accelerated the indebtedness" under the company's senior credit facility. The company said in the SEC filing that it "continues to actively pursue various financing alternatives with its lenders" and with holders of its 2011 and 2013 notes. Locally, Radio One owns WKYS, WMMJ, WERQ, WWIN, WPRS, WOL, WOLB, and WYCB.....


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Do you think that eventually Radio One will sell off stations not doing well revenue wise?




[Link added by Radio-Info as a courtesy]

 

[ShawtyBlack_ATL]

From DCRTV.ORG

http://dcrtv.org/

Radio One Seeks Help In Credit Crunch - 8/18 - From Radio Ink: Lanham-based Radio One reports in a filing with the Securities And Exchange Commission that it's amended and extended a forbearance agreement with creditors while it works out its default on some terms. Under the agreement, Radio One will bring in a restructuring adviser who will, with Radio One managers and a financial adviser, meet with lender representatives by August 27. Also, an agent for the lenders has delivered a payment blockage notice that stopped an August 15 payment of interest on notes due 2013. There's a 30-day grace period before nonpayment constitutes a default. Radio One's lenders, led by Wells Fargo, "have not accelerated the indebtedness" under the company's senior credit facility. The company said in the SEC filing that it "continues to actively pursue various financing alternatives with its lenders" and with holders of its 2011 and 2013 notes. Locally, Radio One owns WKYS, WMMJ, WERQ, WWIN, WPRS, WOL, WOLB, and WYCB.....


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Do you think that eventually Radio One will sell off stations not doing well revenue wise?




[Link added by Radio-Info as a courtesy]

If they were to sell Charlotte, NC should be first.

 

[The King Bee]

I believe RO is so heavily leveraged (for the benefit of only a few-certainly not the rank and file employees), that I see dissolution within two years. Their notes, stock, and other financing options are being laughed at by investors, brokerage houses and the like. They are scrambling-again-to keep from being delisted in the OTC markets...there's no excuse for this.

Markets such as Louisville and Dayton are very glad they left, by the way...their arrogant, pompous attitude toward audiences, their restrictive music policies, and other negatives means nobody's missin' 'em!

 

[Nate Wesley]

There's no need for Radio One for being a publicly traded media company, but they're too 'arsed out' to take themselves private like other radio companies have.

 

[chriscollins]

I had a friend in the industry tell me they were trying to get rid of a number of properties, including Dallas. That was a shocker to me considering how much they paid to get into that market...