Telewest "entering last stages of restructuring"

Britain's second largest cable operator is "entering the last stages" of a huge debt-for-equity restructuring deal with bondholders, according to the company's chairman, Cob Stenham.

A filing with the Securities and Exchange Commission in America will result in a new corporate structure being created for Telewest, along with a financial restructuring in which bondholders will receive 98.5% of the issued share capital of the new Telewest entity, named Telewest Global. Existing shareholders will only receive 1.5% of the issued share capital of the new company.

The company also announced that it plans to list its new US-based Telewest Global company on the NASDAQ National Market. A new board of directors will also be in place at the company, comprised of William Connors, John Duerden, Marnie Gordon, Donald LaVigne, Michael McGuiness, Rene Schuster, Steven Skinner, Barry R. Elson, as Chairman, and Charles Burdick, as Chief Executive Officer.

Telewest's current group managing director, Charles Burdick, will continue in his role during the restructuring process to promote stability. He said:

"I am pleased to continue as Managing Director through the effective date of the restructuring and thereafter will work with the board of Telewest Global as Chief Executive Officer to ensure that the restructured company continues to provide leadership in the entertainment, telephony, and broadband markets to the residential and business consumer."