CLEAR CHANNEL IS GETTING DESPERATE

The national boycott of Fats Limbaugh has really hurt it's cash flow and now it has to pay high interest rates to delay what may be inevitable - bankruptcy.

From Tom Taylor's NOW of 5/22/2013:

Clear Channel pushes back more debt maturities into the future.

Last week Clear Channel offered to extend $1.5 billion of its Term Loan B and C debt due in January 2016 to July 2018 – and it’s willing to shoulder that additional cost in the form of a higher interest rate. Yesterday it took action on another front – a private offer to qualified institutional investors under the SEC’s Rule 144A to exchange a couple of issues of debt due in 2016 for notes due in 2021. Those are the 10.75% Senior Cash Pay note and the 11%/11.75% Senior Toggle Notes. The exchange offer is valid through June 18 – and check the rate on the new notes. It will be 12% per year in cash, plus an additional 2% a year through the issuance of PIK (Payment in Kind) notes. That’s expensive money.