Redstone postpones debt repayments

03 March 2009

NEW YORK: Sumner M Redstone, the chairman and controlling shareholder of CBS and Viacom, is said to have agreed new terms postponing the full repayment of the $1.46 billion (€1.16bn; £1.04bn) debt owned by his holding company National Amusements until the end of next year.

While the exact details of the deal have not yet been released, one repayment is thought to be due next month, and a second in 2010, with the final debt maturities running out at the end of December 2010.

Redstone sold $230m in stock last year to help finance National Amusements' debts, and among the properties now likely to be sold are the company's UK and US cinema chains.

Viacom's net profit in the final quarter of last year fell 69% to $454m, while CBS saw its total revenues fall to $13.95 billion in 2008, down from $14.07bn in the previous year.



Data sourced from Financial Times; additional content by WARC staff