DirecTV Group Inc. (DTV) launched a tender offer for its $910
million of 8 3/8% senior notes due 2013, offering a 3.1% premium to
face value.
The nation's largest satellite-television provider said the
offer is $1,031.25 per $1,000 of notes. The offer expires at 11:59
p.m. EDT on Sept. 21.
A number of companies have been partaking in debt buybacks the
past several months to cut debt levels or refinance near-term
borrowings.
DirecTV has fared well despite the global recession because it
targets high-end customers who are more affluent and less likely to
cancel service. It also offers some exclusive programming,
including its NFL Sunday Ticket package, that TV viewers can't get
elsewhere.
Still, the company posted a 11% second-quarter profit drop due
to lower operating profit and margins. However, U.S. subscriber
growth jumped again.
Shares were up 9 cents to $25.63 in recent trading.
- By John Kell, Dow Jones Newswires; 212-416-2480;
john.kell@dowjones.com