BOSTON-American Tower Corp. said it closed the sale of its 7.125-percent senior notes due 2012 for a total of $200 million principal amount of notes.
Net proceeds to the company from the sale are about $199.8 million. American Tower said it will use the proceeds to repurchase and redeem some of its outstanding 9.375-percent senior notes due 2009. The company began that process today by repurchasing about $85.2 million of the notes.
American Tower said it plans to use the remainder of the net proceeds in addition to $30.1 million in cash on hand to redeem $133 million principal amount of the 9.375-percent senior notes, for which the company has set a redemption date of Jan. 5. As a result of the repurchase and redemption programs, American Tower expects to record an aggregate pre-tax loss during the fourth quarter of this year and the first quarter of next year.
