Liberty Announces Semi-Annual Payment on 3.5% Senior Exchangeable Debentures Due...

Liberty Announces Semi-Annual Payment on 3.5% Senior Exchangeable Debentures
Due 2031
Results in Further Reduction of Adjusted Principal Amount

ENGLEWOOD, Colo., Jan. 15 /PRNewswire-FirstCall/ -- Liberty Media
Corporation (Nasdaq: LINTA, LCAPA) ("Liberty") announced a semi-annual payment
to the holders of its 3.5% Senior Exchangeable Debentures due in 2031 (the
"Debentures"). The amount of the payment is $17.50 per $1,000 of original
principal amount of the Debentures.
This semi-annual payment will result in the further reduction of the
adjusted principal amount of the Debentures. As previously announced, the
principal amount of the Debentures was reduced in the amount of $162.616 per
Debenture, resulting in an adjusted principal amount equal to $837.384 per
Debenture. This adjustment resulted from an extraordinary distribution of cash
that was paid to bondholders on January 10, 2007 in accordance with the
indenture governing the Debentures (the "Indenture"). This extraordinary
distribution arose from Freescale Semiconductor's merger with an entity
controlled by a consortium of private equity firms in exchange for cash. At
that time, Liberty announced that, in accordance with the Indenture, the
adjusted principal amount of the Debentures would be further reduced on each
successive semi-annual interest payment date to the extent necessary to cause
the semi-annual payment on that date to represent the payment by Liberty, in
arrears, of an annualized yield of 3.5% of the adjusted principal amount of
the Debentures.
The adjustments described above will not affect the amount of the
semi-annual payments received by holders of the debentures, which will
continue to be a rate equal to 3.5% per annum of the original principal amount
of the Debentures. Below is a detail of the amount of the payment being made
on the Debentures, its allocation between payment of interest and repayment of
principal and the revised adjusted principal amount resulting from the
payment, per $1,000 of original principal amount of the Debentures:
Beginning Additional Ending
Adjusted Payment of Adjusted
Principal Payment Interest Principal Principal
$834.5382 $17.50 $14.6044 $2.8956 $831.6426

The semi-annual interest payment and additional distribution are expected
to be made on January 15, 2008 to holders of record of the Debentures on
January 1, 2008.
Liberty Media Corporation is a holding company that owns interests in a
broad range of electronic retailing, media, communications and entertainment
businesses. Those interests are attributed to two tracking stock groups: the
Liberty Interactive group, which includes Liberty's interests in QVC, Provide
Commerce, BUYSEASONS, Backcountry.com, IAC/InterActiveCorp and Expedia, and
the Liberty Capital group, which includes all of Liberty's assets that are not
attributed to the Liberty Interactive group, including Liberty's interests in
Starz Entertainment and News Corporation.
SOURCE Liberty Media Corporation

John Orr of Liberty Media Corporation, +1-720-875-5622