Gannett Announces Further Real Estate Sales and Debt Repayment

Gannett Co., Inc. (“Gannett”, “we”, “us”, “our”, or the “Company”) (NYSE: GCI) today announced that from the beginning of the fourth quarter through the end of this week, the Company will have repaid approximately $647 million of its 11.5% term loan, reducing the outstanding balance to $1.082 billion. The sources of funds for the $647 million of repayment are: $497 million of proceeds from the Company’s issuance of 6% senior secured convertible notes due 2027; Approximately $135 million of real estate and other non-core asset sales; and Approximately $15 million of excess cash sweeps.

“We are pleased to be closing the year having made significant progress to improve our capital structure. The actions we have taken to date have lowered our interest payments by $45 million annually. Our asset sales have accelerated our debt repayment expectations and have increased our confidence in our ability to refinance the remaining term loan during the first half of 2021,” said Michael Reed, Gannett Chairman and Chief Executive Officer. “Additionally, revenue trends have continued to improve, which we expect will drive strong fourth quarter results and set us up to start the year with strong momentum. Our real estate sales pipeline and amortization payments are expected to further reduce debt by approximately $100 million by early 2021.”

Accounting for recent real estate sales, total debt outstanding is $1.582 billion, which includes the $1.082 billion outstanding term loan, $497.1 million 6% senior secured convertible notes, and $3.3 million of legacy Gannett 4.75% senior secured convertible notes.
https://investors.gannett.com/news/news-details/2020/Gannett-Announces-Further-Real-Estate-Sales-and-Debt-Repayment/default.aspx

Related Posts

Catalog Mailers Infuriated by Supreme Court’s Wrong Decision in South Dakota v. Wayfair Case

The American Catalog Mailers Association (ACMA) and the catalog marketers and other remote merchants it represents are outraged that the Supreme Court today upended well-established precedent that has served the country well for more than half a century. “Small catalog and online retailers with little or no presence beyond their headquarters will be hurt the most – some will be forced out of business,” said ACMA President & Executive Director Hamilton Davison. “Rural Americans, shut ins and older consumers will be particularly hard hit by this decision.” By ruling against remote sellers and customers all across America, the High Court’s decision means companies who sell only 100 orders a year must now collect sales taxes for every South Dakota order. “This is a ridiculously small threshold,” Davison said. “A merchant might sell only 100 $20 orders and now be forced to comply with laws well outside its capacity and be subject to horrendous complexity.” Click Read More below for additional information.

Graphics and Specialty Print Media Industry Veteran Robert Rundle Joins Midland as Senior Product Manager

Midland, one of North America's largest independent distributors of media for business communications, announced today that industry veteran Robert Rundle has joined the organization as Sr. Product Manager for Graphics and Specialty Media. Robert has over 20 years of experience in the Marketing and Product Management of Offset, Digital and Wide Format Pressure Sensitive Film. “Robert will lead Midland’s efforts to continue to grow our Graphics and Specialty Media product category, including development of new and innovative self-adhesive Specialty Media for offset, digital and wide format inkjet print applications. In today’s challenging print market, these products offer opportunities for printers to offer high value Graphics and Specialty Media solutions to their end user customers. Robert’s expertise in this sector of the market will be an invaluable resource for our customers to leverage”, comments David Field, General Manager of Midland’s Specialty Paper & Film Division.

Kohl’s Opens Sixth E-Commerce Fulfillment Center to Support Growing Digital Demand and Supply Chain Efficiencies

Kohl’s announced the opening of its sixth e-commerce fulfillment center in Etna, Ohio (10201 Schuster Way) to support the company’s continued online demand and digital sales acceleration. The 1.2 million square-foot facility is Kohl’s largest, most efficient fulfillment center and will be dedicated to processing, filling and shipping Kohls.com orders. The next-generation facility leverages automation and technology to make processing and delivering Kohls.com orders faster and more efficient. Construction of the facility began in 2019, was temporarily paused in 2020 due to the pandemic, and resumed in 2021. “Over the past five years, Kohl’s digital sales have grown more than 100 percent. Our investment in a highly efficient sixth e-commerce fulfillment center will meaningfully grow our peak fulfillment capacity,” said Paul Gaffney, Kohl’s senior executive vice president, chief technology officer and head of supply chain. “The new facility makes Kohl's more efficient at fulfilling orders via automation and modern technology, puts Kohl’s products geographically closer to our customers, and ultimately gets our great products to our customers faster.”
Back To Top
×Close search
Search