AOL Time Warner Gets New Credit Line

Communications Today, July 10, 2002

AOL Time Warner [AOL] this week secured $10 billion in new bank credit lines to replace two loans that were set to mature later this year.

The company said 27 financial institutions arranged to give it a new $6 billion, 5-year revolving credit line and a $4 billion, 364-day revolving credit line. The agents for the deal, the company said, were ABN AMRO Bank [ABN], Bank of America [BAC], BNP Paribas, Citibank and JP Morgan Chase Bank [JPM].

In April, AOL Time Warner posted a first-quarter loss of $54.2 billion, mostly due to a charge reflecting the declining value of AOL's purchase of Time Warner last year.

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