Discovery Communications Secures $500 Million Credit Line

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May 13, 2009 (FinancialWire) -- Discovery Communications, Inc. (NASDAQ: DISCB) said that it has completed the syndication of $500 million of incremental Term C loans under DCH's existing credit facility, at an initial interest rate of LIBOR plus 3.25%, with a LIBOR floor of 2.00%.

In addition to other expenses of the transaction, the Term C loans will be made net of a 2% upfront fee. The new facility is a supplement to the existing credit agreement and will mature in May 2014, and prior to that date will amortize in quarterly principal installments totaling 1% annually beginning on June 30.

The company will use the net proceeds of the incremental loans to refinance outstanding indebtedness. Discovery expects the closing of the new credit facility to occur later this week.

Silver Spring, Maryland-based Discovery Communications is a nonfiction media company with subscribers in over 170 countries. The company's brands include Discovery Channel, TLC, Animal Planet, Science Channel, Planet Green, Investigation Discovery and HD Theater. It also offers consumer and educational products and services, and a portfolio of digital media services including HowStuffWorks.com.

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