Cablevision 2012 Annual Report Download - page 90

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(84)
Financial Covenants for the Restricted Group Credit Facility
The principal financial covenants for the Restricted Group credit facility are summarized below:
Maximum
Ratio of Total
Indebtedness to
Cash Flow(a)
Maximum
Ratio of Senior
Secured
Indebtedness to
Cash Flow(a)
Minimum
Ratio of Cash
Flow to Interest
Expense(a)
Minimum
Ratio of Cash
Flow Less Cash
Taxes to Total
Debt(a)
Revolving loan facility .................... 4.5 to 1 3.0 to 1 2.0 to 1 1.5 to 1
Extended revolving loan facility ...... 4.5 to 1 3.0 to 1 2.0 to 1 1.5 to 1
Term A-3 extended loan facility ...... 4.5 to 1 3.0 to 1 2.0 to 1 1.5 to 1
Term A-4 extended loan facility ...... 4.5 to 1 3.0 to 1 2.0 to 1 1.5 to 1
Term B-2 extended loan
facility(b) ...................................... 5.0 to 1 4.5 to 1 n/a n/a
Term B-3 extended loan
facility(b) ...................................... 5.0 to 1 4.5 to 1 n/a n/a
________________
(a) As defined in each respective loan facility.
(b) Incurrence based only.
These covenants and restrictions on the permitted use of borrowed funds in the revolving loan facility
may limit CSC Holdings' ability to utilize all of the undrawn revolver funds. Additional covenants
include limitations on liens and the issuance of additional debt.
Under the Restricted Group credit facility there are generally no restrictions on investments that the
Restricted Group may make, provided it is not in default; however, CSC Holdings must also remain in
compliance with the maximum ratio of total indebtedness to cash flow and the maximum ratio of senior
secured indebtedness to cash flow. CSC Holdings' ability to make restricted payments is also limited by
provisions in the Term B-2 extended loan facility, Term B-3 extended loan facility, and the indentures
covering CSC Holdings' notes and debentures.
The Restricted Group was in compliance with all of its financial covenants under the Restricted Group
credit facility as of December 31, 2012.
Senior Notes
Tender Offer for Senior Notes
In September 2012, CSC Holdings commenced a cash tender offer for: (1) its outstanding $120,543
aggregate principal amount of June 2015 Notes for total consideration of $1,046.25 per $1,000 principal
amount of notes tendered for purchase, consisting of tender offer consideration of $1,016.25 per $1,000
principal amount of notes plus an early tender premium of $30 per $1,000 principal amount of notes, and
(2) its outstanding $575,633 aggregate principal amount of April 2014 Notes for total consideration of
$1,113 per $1,000 principal amount of notes tendered for purchase, consisting of tender offer
consideration of $1,083 per $1,000 principal amount of notes plus an early tender premium of $30 per
$1,000 principal amount of notes. Holders that tendered their securities by September 26, 2012 ("Early
Tender Date") received the total consideration. Holders who tendered their securities after such time and
by the October 11, 2012 expiration date ("Tender Expiration Date") received the tender offer
consideration, which is the total consideration less the early tender premium.