Liberty Media provides update regarding 2.75% exchangeable debentures

Chicago, Sept. 1 – Liberty Media Corp. provided an update regarding its 2.75% exchangeable senior debentures due 2049, according to a press release.

The Liberty Media debentures are exchangeable into shares of Sirius XM, as reported when they were sold.

The company is permitted to make excess regular additional distributions, which reduce the principal amount outstanding.

The adjusted principal amount is further reduced on each successive quarterly interest payment date to the extent necessary to cause the quarterly interest payment to represent the payment at an annualized yield of 2.75% of the adjusted principal amount.

The latter adjustment takes effect on the second succeeding interest payment date after the payment of that extraordinary additional distribution.

As of Aug. 15, the amount of the quarterly interest payment is $6.875 per $1,000 note and the excess regular additional distribution is $1.0038 per $1,000 debenture. As of Sept. 1, the adjusted principal amount is approximately $586 million.

To date, Liberty has made one extraordinary additional distribution. On March 4, Liberty made an extraordinary additional distribution of $29.0057 per $1,000 note due a special cash dividend paid on Feb. 25 by Sirius XM Holdings Inc. to holders of its common stock.

The adjusted principal amount per note is now $970.7949, from $970.9943.

The $6.875 payment mentioned above is comprised of $6.6756 in interest and $0.1994 payment of principal.

The $1.0038 additional distribution is attributable to the regular quarterly dividend paid by Sirius of $0.0219615 per share on May 25. The payment of the excess regular additional distribution will not result in a reduction to the adjusted principal amount of the debentures.

Liberty Media is an Englewood, Colo.-based media, communications and entertainment company. Sirius is a New York-based broadcasting company that provides satellite radio and online radio services.

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