Virgin Media 2008 Annual Report Download - page 188

VIRGIN MEDIA INVESTMENT HOLDINGS LIMITED AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)
Note 8—Long Term Debt (Continued)
Long term debt repayments, excluding capital leases as of December 31, 2008, are due as follows
(in millions):
Year ending December 31:
2009 .................................................. £ 2.9
2010 .................................................. 854.0
2011 .................................................. 966.3
2012 .................................................. 2,070.0
2013 .................................................. 300.2
Thereafter ............................................... 2,468.2
Total debt payments ........................................ £6,661.6
On April 13, 2007, we borrowed £890.0 million under our senior credit facility which is repayable
in 2012, and used £863.0 million of the net proceeds to repay some of our obligations under our senior
credit facility that were originally scheduled to be paid from 2007 to 2011. In April 2007, we also
amended our senior credit facility agreement to allow for this £890.0 million of additional indebtedness,
the relaxation of certain financial covenants and additional flexibility to pay increased levels of
dividends on Virgin Media’s common stock.
On May 15, 2007, we made a mandatory prepayment of £73.6 million on our senior credit facility
as a result of cash flow generated in 2006. On December 17, 2007, we made a voluntary prepayment of
£200.0 million utilizing available cash reserves. On April 16 2008 we made a voluntary prepayment of
£504.0 million predominantly utilizing the proceeds of the senior convertible notes.
As a result of the senior credit facility amendments described above, and assuming satisfaction of
the repayment condition, our revised amortization schedule under our senior credit facility would be as
follows: March 2010—£32.7 million, September 2010—£171.6 million, March 2011—£288.4 million, June
2012—£1,167.3 million, September 2012—£2,042.4 million, March 2013—£300.0 million.
Note 9—Fair Value Measurements
In September 2006, the FASB issued Statement No. 157, Fair Value Measurements, or FAS 157.
FAS 157 provides guidance for using fair value to measure assets and liabilities. It also responds to
investors’ requests for expanded information about the extent to which companies measure assets and
liabilities at fair value, the information used to measure fair value, and the effect of fair value
measurements on earnings. FAS 157 applies whenever other standards require (or permit) assets or
liabilities to be measured at fair value, and does not expand the use of fair value in any new
circumstances. FAS 157 is effective for certain financial instruments included in financial statements
issued for fiscal years beginning after November 15, 2007 and for all other non-financial instruments for
fiscal years beginning after November 15, 2008. The provisions of FAS 157 relating to certain financial
instruments were required to be adopted by us in the first quarter of 2008 effective January 1, 2008.
The adoption of this standard did not have a material impact on our consolidated financial statements.
F-94