After cutting debt, Emmis lines up $100M refinancing

Back to TopCommentsE-mailPrintBookmark and Share

Emmis Communications Corp. on Friday said it had pulled off a $100 million debt refinancing under favorable terms, the culmination of CEO Jeff Smulyan’s years-long quest to strengthen the company's balance sheet.

“This marks an important milestone for Emmis,” Smulyan said in a statement. “We’re thrilled that after several years of hard work, we are now in a position to refinance the company at favorable and flexible terms to provide Emmis the capital to fuel our future growth.”

It wasn't immediately clear how much lower the interest rates on the new debt would be.

Indianapolis-based Emmis has been carrying debt far above market rates, some as high as 23 percent. It also was facing tens of millions of dollars in debt maturities in 2013 and 2014.

The new financing—an $80 million term loan and a $20 million credit line—does not come due until December 2017.

Participants in the new financing include affiliates of JPMorgan Chase, General Electric and Fifth Third Bank.

Emmis began rapidly cutting costs after the Great Recession caused a sharp decline in radio advertising revenue. The company further strengthened its balance sheet by selling radio stations and magazines and leasing a New York City radio station to ESPN Radio.

Smulyan this spring likened the process to “pushing water uphill.” He said the company, after years of being on defense, was ready to begin exploiting growth opportunities again.

Friday’s announcement of the refinancing came after the markets had closed for the afternoon. Emmis shares closed at $1.75, up two cents on the day.


Post a comment to this story

We reserve the right to remove any post that we feel is obscene, profane, vulgar, racist, sexually explicit, abusive, or hateful.
You are legally responsible for what you post and your anonymity is not guaranteed.
Posts that insult, defame, threaten, harass or abuse other readers or people mentioned in IBJ editorial content are also subject to removal. Please respect the privacy of individuals and refrain from posting personal information.
No solicitations, spamming or advertisements are allowed. Readers may post links to other informational websites that are relevant to the topic at hand, but please do not link to objectionable material.
We may remove messages that are unrelated to the topic, encourage illegal activity, use all capital letters or are unreadable.

Messages that are flagged by readers as objectionable will be reviewed and may or may not be removed. Please do not flag a post simply because you disagree with it.

Sponsored by

facebook - twitter on Facebook & Twitter

Follow on TwitterFollow IBJ on Facebook:
Follow on TwitterFollow IBJ's Tweets on these topics:
Subscribe to IBJ
  1. I am a Lyft driver who is a licensed CDL professional driver. ALL Lyft drivers take pride in providing quality service to the Indianapolis and surrounding areas, and we take the safety of our passengers and the public seriously.(passengers are required to put seat belts on when they get in our cars) We do go through background checks, driving records are checked as are the personal cars we drive, (these are OUR private cars we use) Unlike taxi cabs and their drivers Lyft (and yes Uber) provide passengers with a clean car inside and out, a friendly and courteous driver, and who is dressed appropriately and is groomed appropriately. I go so far as to offer mints, candy and/or small bottle of water to the my customers. It's a mutual respect between driver and passenger. With Best Regards

  2. to be the big fish in the little pond of IRL midwest racin' when yer up against Racin' Gardner

  3. In the first sentance "As a resident of one of these new Carmel Apartments the issue the local governments need to discuss are build quality & price." need a way to edit

  4. As a resident of one of these new Carmel Apartments the issue the local governments need to discuss is build quality & price. First none of these places is worth $1100 for a one bedroom. Downtown Carmel or Keystone at the Crossing in Indy. It doesn't matter. All require you to get in your car to get just about anywhere you need to go. I'm in one of the Carmel apartments now where after just 2.5 short years one of the kitchen cabinet doors is crooked and lawn and property maintenance seems to be lacking my old Indianapolis apartment which cost $300 less. This is one of the new star apartments. As they keep building throughout the area "deals" will start popping up creating shoppers. If your property is falling apart after year 3 what will it look like after year 5 or 10??? Why would one stay here if they could move to a new Broad Ripple in 2 to 3 years or another part of the Far Northside?? The complexes aren't going to let the "poor" move in without local permission so that's not that problem, but it the occupancy rate drops suddenly because the "Young" people moved back to Indy then look out.

  5. Why are you so concerned about Ace hardware? I don't understand why anyone goes there! Every time ive gone in the past, they don't have what I need and I end up going to the big box stores. I understand the service aspect and that they try to be helpful but if they are going to survive I think they might need to carry more specialty parts.