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