In a regulatory filing today, Time Warner Inc. (TWX) revealed it had received financing of $2 billion in three-year loans to primarily pay off short-term debt about to be due. The lead lenders were Bank of America Corp. (BAC) and Deutsche Bank AG.
Time Warner has increased its debt load during 2007, up 6 percent as of September 30. That brings its overall total to $37.1 billion in long-term debt.
Along with paying off their short-term notes, other possible uses for the extra cash could be for working capital, stock buybacks or to make some acquisitions.
The world's largest company has a Baa2 rating by Moody's Investors Service Inc. on its debt. That represents the second-lowest grade level from Moody's.
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First Horizon, BOA, SunTrust lower prime rate ...Blogged about at Time Warner Secures $2 Billion Load to Pay Off Short-term Debt - bizofshowbiz, First Horizon National Corp., Bank of America Corp. and SunTrust Bank have lowered their prime lending rate... [Read More]
Tracked on: January 30, 2008 3:02 PM | Permalink to Trackback