Charter Communications Filing Chapter 11

[David G Baker]

I watched the 11:00 P.M. news and found out that my cable, telephone and Internet company has filed for Chapter 11 bankruptcy. This will wipe out all share holders investment dollars but I haven't heard what will happen to us customers. I am reasonably sure that it won't be in our best interests.

[Ken Fitzgerald]

David,

That may not be a bad thing. Our previous local cable company was extremely small and expensive. They were on the verge of bankruptsy. I was on the verge of giving up cable and going to antenna only when they sold out to another slightly larger company headquartered in Phoenix, AZ. The new company improved our service, increased the number of channels and held costs without increases for 4 years. Later when the 4 years was up, they restructured the cost of cable but all-in-all, we are paying for what we get.

Good luck!

[Frank Hagan]

My brother had his cable and internet provider go out of business in Fremont and it took several days before the company that bought their assets to get things operating again.

[Steve Schlumpf]

I'm with David on this one as I also caught this on the 11 pm news that they were planning on filing by April 1st. There has been talk about bankruptcy for a few months now and this evening's announcement settles that issue. We have 2 TV channels where I live that can be received over the air - NBC and PBS. That limits things a bit as far as news and entertainment. My only real concern is internet. I really like having cable access and have my fingers crossed that services will be maintained. Now it is a wait and see.

[Joe Pelonio]

That's a Paul Allen company, there was a lot of press about it lately here because he's well known (owns the Seahawks and co-founded Microsoft).
Apparently the economic crisis has hit the top.

[Matt Meiser]

Who announces that they are going to file for bankruptcy 6 weeks from now? I thought you were supposed to deny it until it was a done deal.

[Tim Malyszko]

Despite what mainstream media says, Chapeter 11 Bankruptcy is not really a bad thing for corporations. All it really does is restructure the debt. It is normally due to a cash flow problem - plenty of assests but not enough of them liquid. Charter has $$$$$$ in cash tied up in one of their subsideries that they cannot get to since they are incorporated in Delaware and some of the laws there, without going into details, prevents them from using the cash to pay off their debts.

As with every corporation, equity holders like shareholders are at the absolute bottom of the list to get anything. In Charter's case, Paul Allen owns all the "preferred" shares, so he would more than likely get anything left over once all debtors are paid off. With as much debt as they have, even Paul Allen will be left out.

[Gene Howe]

Another reason friends don't let friends watch cable.:D
If the LOML hadn't fallen for our phone co.'s sales pitch for a two year commitment, we'd be a totally satellite based household. In 18 months, we will be! If Hughes and/or Verizon doesn't go belly up.:eek:

[Angus Hines]

Having had Charter all I can say is GOOD riddance. The cable community will be better without them.

[David G Baker]

I have had very few problems with Charter other than weather related issues on occasion and when they try to jack the price of their service every year. I have to call them and threaten to switch to satellite so I can get the best price on their package deals. This has worked so far but with the Chapter 11 in the wind I just might consider other options if I can get comparable prices and quality of service. I pay around $150 a month for high speed Internet, unlimited local/long distance and premium cable TV service.

[Jim O'Dell]

I've got Charter, and have been unhappy with what they keep cutting, and still raising the prices. I complained, and they cut the price down to a reasonable amount (basic cable and internet). I've tried to talk LOML into going to a dish, but she is opposed to changing e-mail again. I mean, it's been 12 years, I guess I don't think it's a hassle. ;) But she uses it for so many things ranging from Music teachers all across the state of Texas, to a music business she and another teacher run, to all of the rescue work she/we do. To change with all the shelters and websites would be a problem to do, and could cause a dog to slip through the cracks, and that could unnecessarily end it's life, so it is probably best we don't change. So, unless they sell to someone that is better (is there someone better??:eek:) then it looks like I'm stuck. Jim.

[Joe Pelonio]

One problem these days is contracts between networks and providers. Dish network, for example, dropped the Seattle CBS affiliate in our area when they were asked to pay an 82% increase, according to the news. Many homes switched to Direct TV. Charter Cable recently offered Dish customers a $19.95 a month deal to switch, apparently that didn't help them much.

[Jerome Hanby]

Another reason friends don't let friends watch cable.:D
If the LOML hadn't fallen for our phone co.'s sales pitch for a two year commitment, we'd be a totally satellite based household. In 18 months, we will be! If Hughes and/or Verizon doesn't go belly up.:eek:

Only problem I have with Satellite is Internet access. You just can't beat the speed of light, and adding nearly 100,000 miles to your round trip packet time is a pain for anything "real time".

Now of that set of Satellite in 400 mile orbits had ever come to pass, well 2000 miles worth of round trip delay is a whole new ballgame.

[Matt Meiser]

I'll politely submit that you'd be a fool to switch from anything other than dialup to satellite. :D And only then if that's your only option. Its the Internet of last resort.

[Frank Hagan]

Despite what mainstream media says, Chapeter 11 Bankruptcy is not really a bad thing for corporations. All it really does is restructure the debt. It is normally due to a cash flow problem - plenty of assests but not enough of them liquid. Charter has $$$$$$ in cash tied up in one of their subsideries that they cannot get to since they are incorporated in Delaware and some of the laws there, without going into details, prevents them from using the cash to pay off their debts.

As with every corporation, equity holders like shareholders are at the absolute bottom of the list to get anything. In Charter's case, Paul Allen owns all the "preferred" shares, so he would more than likely get anything left over once all debtors are paid off. With as much debt as they have, even Paul Allen will be left out.

Yep, the bankruptcy court often lets them raid the pension plans of any over-funding. That's not likely to be a big thing now, but ask any United Airlines employee about their pension plan (AFTER you leave the plane).

[Dewey Torres]

I bet you are going to see a big box company like Comcast or Cox take over your customer base.

[Jack Dickey]

We're out in the county and have charter , while we were waiting for the new house to be built , we had DirecTV in the mobile home that insurance put on our property .. Loved it , DirecTV .. Much better reception , better quality , better selection of channels , and much better price ..

We have knology in our area , but it isnt out our way yet ..

Charter is a ripoff ..