Exhibit 99.1
Charter Closes $1.5 Billion Senior Unsecured Notes
STAMFORD, Connecticut April 21, 2016 Charter Communications, Inc. (NASDAQ: CHTR) (together with its subsidiaries,
Charter) today announced that its subsidiaries, CCO Holdings, LLC and CCO Holdings Capital Corp., closed on the sale of $1.5 billion of senior unsecured notes due 2026 (the New Notes), consisting of $1.2 billion aggregate
principal amount which priced on April 7, 2016 (the Initial Notes) and $300 million aggregate principal amount which priced on April 14, 2016 (the Add-On Notes). The Initial Notes were issued at par and the Add-On
Notes were issued at a price of 100.375% of the aggregate principal amount thereof. The New Notes bear interest at a rate of 5.500% per annum.
The New Notes were sold to qualified institutional buyers in reliance on Rule 144A and outside the United States to non-U.S. persons in
reliance on Regulation S. The New Notes have not been registered under the Securities Act of 1933, as amended (the Securities Act), or any state securities laws and, unless so registered, may not be offered or sold in the United States
except pursuant to an exemption from, or in a transaction not subject to, the registration requirements of the Securities Act and applicable state securities laws.
This news release is neither an offer to sell nor a solicitation of an offer to buy the New Notes and shall not constitute an offer,
solicitation or sale, nor is it an offer to purchase, or the solicitation of an offer to sell the New Notes in any jurisdiction in which such offer, solicitation, or sale is unlawful.
About Charter
Charter (NASDAQ: CHTR) is a leading
broadband communications company and the fourth-largest cable operator in the United States. Charter provides a full range of advanced broadband services, including Spectrum TV video entertainment programming, Spectrum Internet access,
and Spectrum Voice. Spectrum Business similarly provides scalable, tailored, and cost-effective broadband communications solutions to business organizations, such as business-to-business Internet access, data networking, business
telephone, video and music entertainment services, and wireless backhaul. Charters advertising sales and production services are sold under the Spectrum Reach brand. More information about Charter can be found at www.charter.com.
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Contact: |
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Media: |
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Analysts: |
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Justin Venech |
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Stefan Anninger |
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203-905-7818 |
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203-905-7955 |
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CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING STATEMENTS
This communication includes forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E
of the Securities Exchange Act of 1934, as amended, regarding, among other things, our plans, strategies and prospects, both business and financial. Although we believe that our plans, intentions and expectations reflected in or suggested by these
forward-looking statements are reasonable, we cannot assure you that we will achieve or realize these plans, intentions or expectations. Forward-looking statements are inherently subject to risks, uncertainties and assumptions including, without
limitation, the factors described under Risk Factors from time to time in our filings with the SEC. Many of the forward-looking statements contained in this communication may be identified by the use of forward-looking words such as
believe, expect, anticipate, should, planned, will, may, intend, estimated, aim, on track, target,
opportunity, tentative, positioning, designed, create, predict, project, seek, would, could, continue,
ongoing, upside, increases and potential, among others. Important factors that could cause actual results to differ materially from the forward-looking statements we make in this communication are set
forth in our Annual Report on Form 10-K for the year ended December 31, 2015, our definitive proxy statement filed with the SEC on August 20, 2015, and other reports or documents that we file from time to time with the SEC, and include,
but are not limited to:
Risks Related to the TWC Transaction and Bright House Transaction (collectively, the Transactions)
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delays in the completion of the Transactions; |
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the risk that a condition to completion of the Transactions may not be satisfied; |
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the risk that regulatory or other approvals that may be required for the Transactions is delayed, is not obtained or is obtained subject to material conditions that are not anticipated; |
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New Charters ability to achieve the synergies and value creation contemplated by the Transactions; |
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New Charters ability to promptly, efficiently and effectively integrate acquired operations into its own operations; |
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managing a significantly larger company than before the completion of the Transactions; |
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diversion of management time on issues related to the Transactions; |
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changes in Charters, TWCs or Bright Houses businesses, future cash requirements, capital requirements, results of operations, revenues, financial condition and/or cash flows; |
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disruption in the existing business relationships of Charter, TWC and Bright House as a result of the Transactions; |
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the increase in indebtedness as a result of the Transactions, which will increase interest expense and may decrease Charters operating flexibility; |
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changes in transaction costs, the amount of fees paid to financial advisors, potential termination fees and the potential payments to TWCs and Bright Houses executive officers in connection with the
Transactions; |
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operating costs and business disruption that may be greater than expected; and |
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the ability to retain and hire key personnel and maintain relationships with providers or other business partners pending completion of the Transactions. |
Risks Related to Our Business
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our ability to sustain and grow revenues and cash flow from operations by offering video, Internet, voice, advertising and other services to residential and commercial customers, to adequately meet the customer
experience demands in our markets and to maintain and grow our customer base, particularly in the face of increasingly aggressive competition, the need for innovation and the related capital expenditures; |
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the impact of competition from other market participants, including but not limited to incumbent telephone companies, direct broadcast satellite operators, wireless broadband and telephone providers, digital subscriber
line (DSL) providers, video provided over the Internet and providers of advertising over the Internet; |
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general business conditions, economic uncertainty or downturn, unemployment levels and the level of activity in the housing sector; |
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our ability to obtain programming at reasonable prices or to raise prices to offset, in whole or in part, the effects of higher programming costs (including retransmission consents); |
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the development and deployment of new products and technologies including our cloud-based user |
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interface, Spectrum Guide®, and downloadable security for set-top boxes; |
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the effects of governmental regulation on our business or potential business combination transactions; |
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any events that disrupt our networks, information systems or properties and impair our operating activities and negatively impact our reputation; |
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the availability and access, in general, of funds to meet our debt obligations prior to or when they become due and to fund our operations and necessary capital expenditures, either through (i) cash on hand,
(ii) free cash flow, or (iii) access to the capital or credit markets; and |
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our ability to comply with all covenants in our indentures and credit facilities, any violation of which, if not cured in a timely manner, could trigger a default of our other obligations under cross-default provisions.
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All forward-looking statements attributable to us or any person acting on our behalf are expressly qualified in their entirety by this
cautionary statement. We are under no duty or obligation to update any of the forward-looking statements after the date of this release.
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