TeleTech Completes Debt Reduction

Share this article:
TeleTech Holdings has completed a debt reduction plan, paying off $75 million in senior notes and reducing annual interest expenses by $5 million, the company said.

TeleTech, Denver, will take an $8 million charge in the second quarter from the completion of the debt reduction, of which $6 million will be related to a cash "make-whole" payment on the senior notes and the rest to writing off debt insurance costs. TeleTech originally estimated it would take a $9 million charge. The charge was lower because of recent increases in long-term treasury rates, and TeleTech expects to recoup the entire amount through future interest savings.

The company also structured a new $100 million revolving credit facility in May and drew $65 million from it as part of its debt reduction plan. TeleTech said its total long-term debt decreased $50 million as a result of the plan.

Share this article:
You must be a registered member of Direct Marketing News to post a comment.

Sign up to our newsletters

Follow us on Twitter @dmnews

Latest Jobs:

More in News

B2B Marketers Can Now Self-Serve Ads on Facebook Exchange

B2B Marketers Can Now Self-Serve Ads on Facebook ...

Sitescout's new integration with FBX opens up access to any size marketer, minus campaign spend minimums, according to the RTB company.

Day Two at DMA2014

Day Two at DMA2014

It was awards day in San Diego, with Teradata's Lisa Arthur being named Marketer of the Year, and Google Japan being feted for its direct mail prowess.

Today's Forecast: Chilly With a 10 Percent Lift in Parka Sales

Today's Forecast: Chilly With a 10 Percent Lift ...

The Weather Company launches a website offering marketers free advice on how to take advantage of shifts in the weather.