Heartland receives consents from bondholders
DALLAS--(BUSINESS WIRE)--Dec. 9, 1996-- Heartland Wireless Communications Inc Monday announced that it has received consents from 100 percent of the holders of its $115 million principal aggregate amount of Series B Notes due 2003 and Series C Notes due 2003 to amend certain provisions of the indentures governing such notes.
The amendments permit Heartland to issue debt securities in an aggregate principal amount of up to $125.0 million (New Notes) and remove certain restrictions that limited Heartland's ability to pursue certain additional financing and investment opportunities.
Representatives for Heartland stated that there could be no assurance that Heartland will be successful in consummating the issuance of the New Notes and that in the event that the issuance of the New Notes is not consummated, Heartland plans to immediately pursue alternative debt, preferred stock or equity financings, or a combination thereof.
Heartland Wireless Communications Inc. is America's largest wireless cable television company. Pro forma for previously announced acquisitions and divestitures, Heartland currently holds wireless cable channel rights in 95 small- to mid-size markets located in the central United States, representing approximately 10.3 million households, approximately 9.2 million of which can be served by line-of-sight transmissions.
Furthermore, Heartland estimates that within these markets approximately 3.7 million households are currently unpassed by traditional hard-wire cable systems. At Oct. 31, 1996, Heartland had 54 markets with systems in operation, providing wireless cable service to an aggregate of approximately 221,195 subscribers.
In addition, Heartland owns a 21 percent equity interest in Wireless One Inc , the largest rural wireless cable television operator in the southeastern United States, and owns a 37 percent pro forma equity interest in CS Wireless Systems Inc., one of the largest wireless cable television companies in the United States in terms of subscribers and line-of-sight households.
This release contains forward-looking statements based on current expectations. Such statements are based on an assessment of a variety of factors, contingencies and uncertainties deemed relevant by management, including technological changes, competitive products and services, management issues as well as those matters discussed specifically elsewhere herein.
As a result, the actual results realized by the company could differ materially from the statements made herein. Readers of this release are cautioned not to place undue reliance on the forward-looking statements made in this release. Please refer to Management's Discussion and Analysis of Financial Condition and Results of Operations included in the company's Form 10-Q for the quarter ended Sept. 30, 1996.
CONTACT: Heartland Wireless Communications Inc., Dallas
John R. Bailey, 972/633-4037
Russell J. Iorio, 972/633-4042 |
