McClatchy Completes $300 Million Tender Offer, Reduces Debt $17.5 Million

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By: E&P Staff The McClatchy Co. said Thursday it had purchased $300 million in aggregate principal amount of debt securities under its previously announced tender offer.

"The oversubscription to the offer is clearly a reflection of a win-win transaction for the company and its bond holders," McClatchy CFO Pat Talamantes said in a statement. "We were able to reduce debt by $17.5 million and lower our ongoing interest costs, and expect to record a $19.5 million pre-tax gain on the extinguishment of this debt."

Talamantes said McClatchy will continue to focus on reducing its debt, and expects its debt to be down to about $2 billion by the end of 2008.

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