Debt Extension for Canwest

WINNIPEG: Canwest Global Communications Corp. has secured another week to make a $30.4 million payment related to outstanding 8 percent senior subordinated notes.

Canwest now has till April 21 to make the payment, after missing both its March 15 and April 14 deadlines. Had it not received the extension, bondholders could have demanded payment of the $761 million outstanding principal amount, as well as the unpaid interest payment and associated default interest. The company said in a statement that it "continues discussions with its senior lenders and noteholders to develop a framework for a potential recapitalization transaction and to secure the necessary extensions to allow the recapitalization process to proceed."