ITV to borrow £110m to support turnaround

ITV is borrowing an additional £110m to support Michael Grade's turnaround plan with a new bond issue.

The move comes as the company's share price, which has been in steep decline, hit a record low of 38.8p yesterday.

"We are pleased with this new issue of debt," said John Cresswell, chief operating officer and finance director. "We also have available a further £200m of five-year committed bi-lateral financing, none of which includes financial covenants or credit rating triggers. Together these provide the medium term liquidity to support our business plan."

The bonds, which will have a maturity date of March 20, 2013, have been issued under ITV's £1.5bn Euro Medium Term Note Programme.

Grade has said the firm will improve performance by cutting costs, increasing global programme sales and reducing or scrapping its public service broadcasting commitments.