MATTOON, Ill., Feb. 26 /PRNewswire-FirstCall/ -- Consolidated Communications Holdings, Inc. (Nasdaq: CNSL) today announced that on April 1, 2008 it will redeem its 9-3/4% Senior Notes due in 2012, of which $130,000,000 in aggregate principle amount are outstanding. The redemption price will be 104.875% of the principal amount plus accrued and unpaid interest to the date of redemption. The company will fund the redemption by borrowing pursuant to the credit agreement dated as of December 31, 2007. The agreement includes a delayed draw term loan facility of up to $140,000,000 for the purpose of funding the senior note redemption and to pay related fees and expenses. The delayed draw term loan facility shall bear an interest rate consistent with other term loans under the credit facility and will mature on December 31, 2014. As a result of this transaction, the company estimates it will save approximately $3,000,000 in annualized cash interest expense.
Consolidated Communications Holdings, Inc. is an established rural local exchange company providing voice, data and video services to residential and business customers in Illinois, Texas and Pennsylvania. Each of the operating companies has been operating in its local market for over 100 years. With approximately 286,500 ILEC access lines, 67,802 Competitive Local Exchange Carrier (CLEC) access line equivalents (including 42,317 access lines and 2,286 DSL subscribers), 79,400 ILEC and CLEC DSL subscribers, and 11,100 IPTV subscribers, Consolidated Communications offers a wide range of telecommunications services, including local and long distance service, custom calling features, private line services, high-speed Internet access, digital TV, carrier access services, and directory publishing. Consolidated Communications is the 12th largest local telephone company in the United States.
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Consolidated Communications Holdings, Inc.
Company, Stephen Jones, Vice President - Investor Relations of Consolidated Communications Holdings, Inc., +1-217-258-9522, email@example.com; or Investor Relations, Dahlia Bailey of Lippert - Heilshorn & Associates, +1-415-433-3777, firstname.lastname@example.org, for Consolidated Communications Holdings, Inc.