Time Warner Faces $750m Fine

25 November 2004

An end may be in sight for US media giant Time Warner's spot of bother with the Securities and Exchange Commission over its merger with internet provider AOL.

A figure of $750 million (€573m, £400m) has been bandied about as the fine Time Warner could pay to settle the long-running probe into possible accounting irregularities at AOL at the time of the $100 billion deal four years ago.

However, no one is prepared to comment yet.

A conclusion of the affair would offer Time Warner the chance to pursue its joint venture with cable TV rival Comcast in the purchase of troubled Adelphia Communications [WAMN: 27-Oct-2004]

In order to bid up to $17bn for the bankrupt cable TV operator with its 5.4 million subscribers, Time Warner will need to settle with the SEC before it can offer any stock to raise cash.

Data sourced from Telegraph.co.uk; additional content by WARC staff