• Skip to primary navigation
  • Skip to main content
  • Skip to primary sidebar
  • Skip to footer

Electrical Engineering News and Products

Electronics Engineering Resources, Articles, Forums, Tear Down Videos and Technical Electronics How-To's

  • Products / Components
    • Analog ICs
    • Connectors
    • Microcontrollers
    • Power Electronics
    • Sensors
    • Test and Measurement
    • Wire / Cable
  • Applications
    • Automotive/Transportation
    • Industrial
    • IoT
    • Medical
    • Telecommunications
    • Wearables
    • Wireless
  • Resources
    • DesignFast
    • Digital Issues
    • Engineering Week
    • Oscilloscope Product Finder
    • Podcasts
    • Webinars / Digital Events
    • White Papers
    • Women in Engineering
  • Videos
    • Teschler’s Teardown Videos
    • EE Videos and Interviews
  • Learning Center
    • EE Classrooms
    • Design Guides
      • WiFi & the IOT Design Guide
      • Microcontrollers Design Guide
      • State of the Art Inductors Design Guide
    • FAQs
    • Ebooks / Tech Tips
  • EE Forums
    • EDABoard.com
    • Electro-Tech-Online.com
  • 5G

Time Warner Cable gets solo wings

May 21, 2008 By Mike Robuck

Time Warner Inc. and Time Warner Cable announced today that their respective boards have put the stamp of approval on Time Warner Cable separating from its parent company.

Time Warner Cable will pay a $10.9 billion one-time dividend for the separation. Time Warner Inc., which had an 84 percent stake in Time Warner Cable with the remainder of the shares owned by public stockholders, will receive $9.25 billion of the payout, or $10.27 per share, of Time Warner Cable’s common stock.

In April, Time Warner Inc. President and CEO Jeff Bewkes said that Time Warner would spin-off the cable unit in order to streamline the company’s operations. Time Warner Cable became a separately traded company last year.

“Today’s announcement marks the next important step in Time Warner Cable’s evolution as a stand-alone, public company,” said Time Warner Cable President and CEO Glenn Britt. “In a single transaction, we increase our strategic and financial flexibility, simplify our capital structure, enhance the public float and liquidity of our stock, and return substantial capital to our stockholders. Importantly, we expect to accomplish all of this while maintaining solid investment-grade credit ratings.

“Paying a sizeable, one-time dividend is a reflection of our continued confidence in our growth prospects. Our separation from Time Warner also enhances our ability to compete aggressively and perform well in a highly competitive environment by delivering the innovative telecommunications services that our customers need, while making prudent investments to deliver continued value for our stockholders.”

Under terms of the deal, Time Warner will trade its 12.4 interest in TW NY Cable Holding Inc., a subsidiary of Time Warner Cable, for 80 million newly issued shares of Time Warner Cable’s Class A common stock, which will increase Time Warner’s ownership stake in Time Warner Cable’s common stock from 84 percent to 85.2 percent.

Time Warner will convert its Time Warner Cable Class B common shares – each Class B common share has the voting power equivalent to 10 Class A common shares – into Time Warner Cable common shares on a one-for-one basis in a recapitalization that results in Time Warner Cable having one class of common stock.

Time Warner Cable said it would fund the one-time dividend through its existing revolving credit facility and $9 billion from a new, committed two-year bridge term financing from a syndicate of banks. In addition, Time Warner has agreed to provide a commitment for a supplemental two-year term loan of up to $3.5 billion to enable Time Warner Cable to repay the bridge financing at its maturity, in case Time Warner Cable hasn’t replaced the bridge financing with long-term financing.

The deal, which is subject to the customary regulatory reviews, is expected to close in the fourth quarter.

More Broadband Direct:

• Time Warner Cable gets solo wings 

• Cox freshens up ad campaign with Digis 

• Cox dishes up ABC, NBC hits on-demand with MyPrimetime 

• ACSI for Q1: Satellite fares better than cable 

• Verizon ready to install fiber optic network in all 5 NYC boroughs 

• AT&T ramps up 3G mobile broadband service 

• NBCU, Dish Network hookup on interactive advertising 

• Alcatel-Lucent, Convergys team up on billing solution 

• Broadband Briefs for 5/21/08 

DesignFast Banner version: 33defd01

Filed Under: Wire and Cable Tips

Primary Sidebar

EE Training Center Classrooms

EE Classrooms

Featured Resources

  • EE World Online Learning Center
  • CUI Devices – CUI Insights Blog
  • EE Classroom: Power Delivery
  • EE Classroom: Building Automation
  • EE Classroom: Aerospace & Defense
  • EE Classroom: Grid Infrastructure
Search Millions of Parts from Thousands of Suppliers.

Search Now!
design fast globle

R&D World Podcasts

R&D 100 Episode 7
See More >

Current Digital Issue

Our second 5G Handbook is now available

Featuring 15 articles, the 2022 5G Handbook looks at private networks, timing, connectivity, latency, mmWaves, test, and other topics.

Digital Edition Back Issues

Sponsored Content

Positioning in 5G NR – A look at the technology and related test aspects

Radar, NFC, UV Sensors, and Weather Kits are Some of the New RAKwireless Products for IoT

5G Connectors: Enabling the global 5G vision

Control EMI with I-PEX ZenShield™ Connectors

Speed-up time-to-tapeout with the Aprisa digital place-and-route system and Solido Characterization Suite

Siemens Analogue IC Design Simulation Flow

More Sponsored Content >>

RSS Current EDABoard.com discussions

  • How do you find the angle made by two isosceles triangles in a kite?
  • Thermal pad construction on pcb
  • FPGA LVDS with separate clock
  • Help understanding 915MHz transciever pcb layout
  • Ansys Electronic Desktop (HFSS) file opening failed????

RSS Current Electro-Tech-Online.com Discussions

  • Flickering (candle) LED to trigger 555
  • Identify a circuit.
  • Microcontrollable adjustable and switchable constant current source for driving LED's
  • Useful Handbook for Making Low Level Measurements
  • CRYPTOOOOO, but wait i am no terrorist

Oscilloscopes Product Finder

Footer

EE World Online

EE WORLD ONLINE NETWORK

  • 5G Technology World
  • Analog IC Tips
  • Battery Power Tips
  • Connector Tips
  • DesignFast
  • EDABoard Forums
  • Electro-Tech-Online Forums
  • Engineer's Garage
  • Microcontroller Tips
  • Power Electronic Tips
  • Sensor Tips
  • Test and Measurement Tips
  • Wire & Cable Tips

EE WORLD ONLINE

  • Subscribe to our newsletter
  • Lee's teardown videos
  • Advertise with us
  • Contact us
  • About Us
Follow us on TwitterAdd us on FacebookConnect with us on LinkedIn Follow us on YouTube Add us on Instagram

Copyright © 2022 · WTWH Media LLC and its licensors. All rights reserved.
The material on this site may not be reproduced, distributed, transmitted, cached or otherwise used, except with the prior written permission of WTWH Media.

Privacy Policy