No Deal… Yet
CUMULUS MEDIA filed an 8-K form YESTERDAY (11/13) with THE SECURITIES AND EXCHANGE COMMISSION that followed up on the comment made by Pres./CEO MARY BERNER, who addressed the company’s “heavy debt load” on a conference call (NET NEWS 11/9), noting CUMULUS was, “exploring all options,” and was having, “private discussions with creditors,” that would allow, “restructuring that will allow a continued turnaround.”
In the filing, CUMULUS wrote the company, “has engaged in separate discussions, pursuant to non-disclosure agreements, with certain noteholders under the indenture governing the 7.75% Senior Notes due 2019 issued by CUMULUS MEDIA HOLDINGS INC., a direct wholly-owned subsidiary of the Company, and guaranteed by the Company, regarding potential restructuring alternatives. During the course of those discussions, and subject to the applicable non-disclosure agreements, the Company shared certain confidential information with certain noteholders. The Company is obligated to disclose such confidential information (the “Cleansing Materials”) pursuant to the terms of the applicable non-disclosure agreements. A copy of the Cleansing Materials is attached hereto as Exhibit 99.1.”
CUMULUS notes the Company, “has not yet reached an agreement on mutually acceptable terms and conditions with the noteholders party to non-disclosure agreements with the Company regarding a potential restructuring transaction. Negotiations between the Company and certain of the noteholders are ongoing. There are no assurances that the Company and such noteholders will come to an agreement on the terms of a restructuring transaction. In accordance with the terms of the non-disclosure agreements that the Company entered into with such noteholders, the Company agreed to publicly disclose the material terms of the potential restructuring transaction being negotiated with such noteholders. In connection therewith, the Cleansing Materials include the material terms of a potential restructuring transaction that is the subject of ongoing negotiation between the Company and certain of the noteholders.”
CUMULUS also filed an EX-99.1 form, explaining a long term business plan.
View the full filing here.
This Article Was Originally Posted at www.allaccess.com