Mark:
Here's part of the deal.
In July of 1998, pursuant to an agreement, dated July 10, 1998, between the Company and WinStar Communications, Inc.("WinStar"), (the "WinStar Agreement"), the Company agreed to assign to WinStar 850 MHz of contiguous Local Multipoint Distribution Service ("LMDS") spectrum currently licensed to the Company throughout its licensed territory for $32,500,000 in cash. The transaction is subject to regulatory and shareholder approval and is expected to close in the fourth quarter of 1998. In connection with the WinStar Agreement, the Company has borrowed $3,500,000 from WinStar and, upon shareholder approval and the submission of required FCC filings, WinStar is obligated to lend an additional $2,000,000 to the Company.These borrowings will be repaid as an offset against the purchase price. The Company will use the loan proceeds to meet outstanding obligations and finance its operations pending the closing, following which it intends to repay all of its outstanding debt obligations. In the event that the WinStar transaction is terminated, under certain conditions, the Company may be required to pay WinStar a termination fee of $1,625,000 and reimburse WinStar for expenses in an amount not to exceed $325,000.As
a result of the WinStar Agreement, the Company has paid an investment banking fee of $250,000 to WP&Co. and will be obligated to make an additional $800,000 payment upon closing.
Here's the whole document
sec.yahoo.com
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