The New York Times Company Enters into Financing Agreement

Jan 23, 2009

The New York Times Company announced that it has entered into a private financing agreement with Banco Inbursa, S. A., Institucion de Banca Multiple, Grupo Financiero Inbursa ("Banco Inbursa") and Inmobiliaria Carso for an aggregate amount of $250 million in senior unsecured notes due 2015 with detachable warrants. The notes will rank equally and ratably on a senior unsecured basis with all senior unsecured obligations of The New York Times Company. The notes have a coupon of 14.053 percent, of which the Company may elect to pay 3 percent in kind. Banco Inbursa and Inmobiliaria Carso also received detachable warrants for an aggregate amount of 15.9 million Class A shares (50 percent each), at a strike price of $6.3572.