Cumulus Reaches Refinancing Deal With Some Noteholders

Noteholder Deal

CUMULUS MEDIA INC. has reached a deal with holders of about $349.7 million (57.3%) of subsidiary CUMULUS MEDIA HOLDINGS INC.'s outstanding 7.75% Senior Notes due 2019 for a refinancing support agreement.

The bondholders, if 100% of the notes subject to the offer are tendered, will get 33.3% of the company's equity and CUMULUS will have retired $610 million in outstanding unsecured indebtedness and incurred $305 million in secured indebtedness (in revolving loans taken out under an existing credit agreement and offered as partial consideration to the bondholders for the exchange deal). A trust, the CUMULUS Pass Through Trust, is being established for the refinancing, and the revolving credit agreement's termination date will be extended to NOVEMBER 23, 2020.

The company is also amending its bylaws to allow for issuance of shares of Class D and E common stock to certain noteholders, with stockholders in each class able to nominate one director to the company's board, although the shares will not carry voting rights; the shares will be automatically convertible into an equal number of shares of Class A common stock upon the occurrence of certain events or at the option of the holder thereof.

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