E.W. Scripps to launch $275 million credit facility on Tuesday

By Sara Rosenberg

New York, Nov. 7 - E.W. Scripps Co. will hold a bank meeting at 9:30 a.m. ET on Tuesday to launch a $275 million senior secured credit facility, according to a market source.

SunTrust Robinson Humphrey Inc. is leading the deal.

The facility consists of a $75 million five-year revolver and a $200 million covenant-light seven-year term loan B, the source said.

Price talk on the term loan B is Libor plus 275 basis points with a 0.75% Libor floor, the source continued, adding that the original issue discount is still to be determined but will likely come out around 991/2.

Also, the term loan B has 101 soft call protection for six months.

Ratings are expected in the mid-to-low double B's.

Proceeds will be used to refinance existing debt.

Senior and total pro forma leverage is expected to be 1.9 times.

E.W. Scripps is a Cincinnati-based media company.

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