The Rigas family has agreed with other shareholders and creditors to hand over control of beleaguered cable TV company Adelphia Communications – the nation’s sixth largest.
Former chairman/president/ceo John Rigas will receive a pay-off of $4.2 million (€4.57m; £2.88m) in pension rights after agreeing Thursday to surrender control of the media company he founded fifty years ago.
The group also revealed that the off-balance sheet loans that brought about the downfall of the Rigas clan now amounted to $3.1bn, far more than the $2.3bn that it disclosed two months ago. Rigas and his three sons have now quit the board.
The agreement paves the way to a resolution of the immediate crisis engulfing Adelphia. It also persuaded the Nasdaq stock market to reopen trading in the company's shares
Data sourced from: Financial Times; additional content by WARC staff