Cableco Virgin Media plans to retire its US$550m senior notes due 2016 within the next year to reduce its debt and future interest expense.
The 9.125% notes will be paid for using the company’s existing cash resources.
Virgin Media’s announcement came as…
Cableco Virgin Media plans to retire its US$550m senior notes due 2016 within the next year to reduce its debt and future interest expense.
The 9.125% notes will be paid for using the company’s existing cash resources.
Virgin Media’s announcement came as the group posted strong Q1 results, showing revenues for the quarter up 5.7% on the year to £982m, and operating cashflow up 7.6% to £376m.
CEO Neil Berkett said in a statement: “This has been another solid quarter where we have maintained strong levels of revenue growth and generated substantial free cash flow. As more customers demand better connectivity, we have seen an increase in the take-up of faster broadband speeds and continued to improve the quality of our customer base.” As of 31 March 2011, Virgin Media’s total debt consisted of a £775m SCF, £2.034bn in senior notes, £2.428bn in senior secured notes, £525m of convertible senior notes and £254m of capital leases and other indebtedness.
