Scripps refinances debt on favorable terms

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Dec 02, 2013, 11:00 ET

CINCINNATI, Dec. 2, 2013 /PRNewswire/ -- The E.W. Scripps Company (NYSE: SSP) has refinanced its debt with a new $275 million senior secured credit facility.

The facility consists of a $200 million, seven-year term loan and a $75 million, five-year revolver. The company used net proceeds to refinance the previous senior secured credit facilities that were scheduled to mature in 2016.

"Terms of the new debt align very well with our strategic plans," said Tim Wesolowski, chief financial officer for Scripps. "Our ability to make acquisitions, to invest in digital opportunities and to repurchase stock is greatly enhanced by the flexibility of this 'covenant lite' refinancing."

Because of the refinancing, Scripps received first-time credit ratings from Moody's Investor Service and Standard & Poor's. Moody's assigned a Ba2 Corporate Family Rating as well as a Ba2 to the company's credit facilities. S&P assigned the company a BB- preliminary corporate credit rating and the senior secured credit facility a BB+ preliminary issue-level rating. The rating outlook from both rating agencies is stable.

SunTrust Robinson Humphrey, RBC Capital Markets and Wells Fargo Securities served as Joint Lead Arrangers and Joint Bookrunning Managers on the transaction, with SunTrust Bank serving as the administrative agent.

About Scripps
The E.W. Scripps Company (www.scripps.com) serves audiences and businesses through a growing portfolio of television, print and digital media brands. It owns 19 local television stations and daily newspapers in 13 markets across the United States and an expanding collection of local and national digital journalism and information businesses. Scripps also produces television programming, runs an award-winning investigative reporting newsroom in Washington, D.C., and serves as the long-time steward of one of the nation's largest, most successful and longest-running educational programs, Scripps National Spelling Bee. Founded in 1879, Scripps is focused on the stories of tomorrow.

SOURCE The E.W. Scripps Company