Cablevision 2013 Annual Report Download - page 151

COMBINED NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (continued)
(Dollars in thousands, except per share amounts)
F-42
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, the Restricted Group must also remain
in compliance with the maximum ratio of total net indebtedness to cash flow and the maximum ratio of
senior secured net indebtedness to cash flow.
There is a commitment fee of 0.30% on undrawn amounts under the revolving credit facility.
In connection with the new credit facility, the Company wrote-off deferred financing costs of $6,602
related to the repaid credit facility. The Term B loans were issued at a discount of $11,750 and the
Company recorded deferred financing costs of $27,080 related to the new credit facility. The original
issue discount and the deferred financing costs are both being amortized to interest expense over the term
of the respective loans.
The Restricted Group was in compliance with all of its financial covenants under the Restricted Group
Credit Agreement as of December 31, 2013.
AMC Networks Distribution
In connection with the AMC Networks Distribution in 2011, AMC Networks issued senior notes and
senior secured term loans under its new senior secured credit facility to the Company as partial
consideration for the transfer of certain businesses to AMC Networks. The Company exchanged the
AMC Networks senior notes and senior secured term loans in satisfaction and discharge of $1,250,000
outstanding indebtedness under its previous Restricted Group revolving loan and extended revolving loan
facilities.
Newsday LLC Credit Facility
On October 12, 2012, Newsday LLC entered into a new senior secured credit agreement (the "Newsday
Credit Agreement"), the proceeds of which were used to repay all amounts outstanding under its existing
credit agreement dated as of July 29, 2008. The Newsday Credit Agreement consists of a $480,000
floating rate term loan which matures on October 12, 2016 (net of the $160,000 repayment in December
2013, discussed below). Interest under the Newsday Credit Agreement is calculated, at the election of
Newsday LLC, at either the base rate or the eurodollar rate, plus 2.50% or 3.50%, respectively, as
specified in the Newsday Credit Agreement. Borrowings by Newsday LLC under the Newsday Credit
Agreement are guaranteed by CSC Holdings on a senior unsecured basis and certain of its subsidiaries
that own interests in Newsday LLC on a senior secured basis. The Newsday Credit Agreement is secured
by a lien on the assets of Newsday LLC and Cablevision senior notes with an aggregate principal amount
of $611,455 (after the sale of Cablevision senior notes in December 2013 discussed below) owned by
Newsday Holdings. In connection with the Newsday Credit Agreement, the Company incurred deferred
financing costs of approximately $4,558, which are being amortized to interest expense over the term of
the Newsday Credit Agreement.
On December 10, 2013, Newsday LLC made a voluntary repayment of $160,000 on its term loan with the
proceeds it received from CSC Holdings in connection with CSC Holdings' purchase of Cablevision
senior notes with an aggregate principal amount of $142,262 held by Newsday Holdings. The senior
notes were subsequently distributed by CSC Holdings to Cablevision and were canceled.
The principal financial covenant for the Newsday Credit Agreement is a minimum liquidity test of
$25,000 which is tested bi-annually on June 30 and December 31. The Newsday Credit Agreement also
contains customary affirmative and negative covenants, subject to certain exceptions, including