(corrects OIBDA market estimate to a positive figure in last
PRAGUE Feb 28 Loss-making television
broadcaster Central European Media Enterprises
said on Friday it had reached an agreement with its
main shareholder Time Warner to secure the company's
"We are seeking to raise up to approximately US$ 545.0
million in new indebtedness through these transactions to enable
us to refinance the 2016 Fixed Rate Notes and for general
corporate purposes," the company said in a regulatory filing.
"These transactions, if closed, will significantly reduce
the amount of cash interest to be paid in the coming years by
replacing cash pay indebtedness with non-cash pay indebtedness
and will provide sufficient liquidity to fund our operations and
relieve pressure on our working capital position," it said.
The transactions will include issuing rights for debt notes
and warrants for new shares, it said.
The company's shares jumped after the announcement and
traded 25 percent higher at 1300 GMT at 65.8 crowns at the
Prague stock exchange.
CME reported loss of $0.72 per share for the fourth
quarter on revenue dropping to $237.9 million from $253.34
million last year.
Analysts in a Reuters poll estimated revenues at $206.5
million. Quarterly operating income before depreciation and
amortisation (OIBDA) loss of $0.4 million was worse than OIBDA
of $9.9 million estimated in the Reuters poll.
(Reporting by Robert Muller and Jan Lopatka)