Liberty Announces Semi-Annual Payment on 3.5% Senior Exchangeable Debentures Due 2031 - Results in Further Reduction of Adjusted Principal Amount

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ENGLEWOOD, Colo.--(BUSINESS WIRE)-- Liberty Media LLC ("Liberty"), a subsidiary of Liberty Media Corporation (Nasdaq: LCAPA, LCAPB, LINTA, LINTB, LSTZA, LSTZB), announced a semi-annual payment to the holders of its 3.5% Senior Exchangeable Debentures due in 2031 (the "Debentures"). The amount of the payment is $17.50 per $1,000 of original principal amount of the Debentures.

This semi-annual payment will result in the further reduction of the adjusted principal amount of the Debentures. As previously announced, the principal amount of the Debentures was reduced in the amount of $162.616 per Debenture, resulting in an adjusted principal amount equal to $837.384 per Debenture. This adjustment resulted from an extraordinary distribution of cash that was paid to bondholders on January 10, 2007 in accordance with the indenture governing the Debentures (the "Indenture"). This extraordinary distribution arose from Freescale Semiconductor's merger with an entity controlled by a consortium of private equity firms in exchange for cash. At that time, Liberty announced that, in accordance with the Indenture, the adjusted principal amount of the Debentures would be further reduced on each successive semi-annual interest payment date to the extent necessary to cause the semi-annual payment on that date to represent the payment by Liberty, in arrears, of an annualized yield of 3.5% of the adjusted principal amount of the Debentures.

The adjustments described above will not affect the amount of the semi-annual payments received by holders of the debentures, which will continue to be a rate equal to 3.5% per annum of the original principal amount of the Debentures. Below is a detail of the amount of the payment being made on the Debentures, its allocation between payment of interest and repayment of principal and the revised adjusted principal amount resulting from the payment, per $1,000 of original principal amount of the Debentures: 


July 15, 2011                             Additional   July 15, 2011
Beginning            Payment   Interest   Payment of   Ending Adjusted
Adjusted Principal                        Principal    Principal

$813.1734            $17.50    $14.2305   $3.2695      $809.9040

The semi-annual interest payment and additional distribution are expected to be made on July 15, 2011 to holders of record of the Debentures on July 1, 2011.

About Liberty Media LLC

Liberty Media LLC is an intermediate holding company of Liberty Media Corporation, owning interests in a broad range of electronic retailing, media, communications, and entertainment businesses. 


    Source: Liberty Media LLC

Released July 15, 2011