Beleaguered internet portal Excite@Home has won a stay of execution from its main creditor Promethean Asset Management LLC of New York, to which its owes $100 million [WAMN: 28-Aug-01].
Promethean had demanded repayment of half the loan by August 31 but after frenetic negotiations over the weekend – that may also have involved high powered business consultancy Kissinger McLarty Associates [WAMN: 30-Aug-01] – the lender announced it had delayed its demand and was seeking a solution. According to Promethean, Excite “has taken concrete steps that may form the foundation for potentially constructive solutions to resolve the breach of terms of the notes.”
Meantime, two long-term cable partners, Comcast and Cox Communications announced they plan to pull out of deals under which Excite provides high speed internet access services to cable customers. Their withdrawal is scheduled for next summer – assuming current events don’t anticipate their decision.
News source: Wall Street Journal