Among other restrictions, the indenture governing the Bresnan notes limits
the ability of Bresnan Communications Group LLC and its specified subsidiaries
- incur additional debt;
- make specified restricted payments;
- create liens;
- create or permit any restrictions on the payment of dividends or
other distributions to Bresnan Communications Group LLC;
- guarantee debt;
- consolidate with, merge into or transfer all or substantially all of
- sell assets; and
- transact business with their affiliates.
The events of default for the Bresnan notes include a cross-default
provision that is triggered by any acceleration of the maturity of debt in a
total amount in excess of $15 million of Bresnan or the specified subsidiaries
of Bresnan or the failure to pay debt in this amount at final maturity.
As of June 30, 1999, there was $170.0 million total principal outstanding
on the Bresnan senior notes and the accreted value of the outstanding Bresnan
senior discount notes was $181.8 million.