Charter Communications to file for bankruptcy

by Darren Murph posted Feb 12th 2009 at 2:28PM

Okay, so we hate to be blunt, but if there was one cable carrier out there just waiting to crash, it was Charter. The company famous for engaging in less-than-forthright contest practices and perpetually finding ways to perturb subscribers has just announced that a Chapter 11 filing isn't too far away. In fact, a recent press release makes clear that it "intends to implement its financial restructuring through a Chapter 11 filing to be initiated on or before April 1, 2009." As per the agreement, all debt holders will reportedly be paid in full, with Paul Allen keeping the largest voting interest in the company. Of course, shareholders' stake in the company will be canceled, but the decision will supposedly reduce debt by around $8 billion. As expected, the company has assured subscribers that its services will continue to operate throughout the debt restructuring process, but we wouldn't expect service to get any better in the coming months.

[Via AP, thanks Vanbrothers]

Filed under: Industry, Cable

Tags: bankrupcy, bankrupt, bankruptcy, breaking news, BreakingNews, chapter 11, Chapter11, charter, Charter Communications, CharterCommunications

Reader Comments (Page 1 of 1)

Highly Ranked

Pingles @ Feb 12th 2009 3:04PM

Sorry, but HALLELUJAH!!!!!!

Our local Charter office offered NINE HD channels. NINE! We went to DirecTV instead.

I sure hope they let a new company come in and take over this local branch!

Neutral

shawn @ Feb 12th 2009 3:05PM

i wonder if comcast is right behind them,they need to get something thrown into there face to make them wake up

Neutral

glenn s @ Feb 12th 2009 4:12PM

I hope this is the beginning of the end for the cable TV industry. They need to morph into commodity broadband suppliers. All content is going online, and it is happening faster than the cable industry can react to.

Well, maybe not. But I can dream, can't I.

Highly Ranked

nate @ Feb 12th 2009 5:04PM

Our local charter in NC sucks.... Decent internet services, crappy HD service... not enough channels.

Neutral

You Can Call Me Ray @ Feb 12th 2009 7:56PM

"company famous for engaging in less-than-forthright contest practices and perpetually finding ways to perturb subscribers"...yes, perfectly stated. If they could apply the same effort to customer relations as they do to alienating us they would be wonderful. They have taken the "screw you" attitude to new heights. I was in the Burbank office the other day...around twenty-five people in line and two windows open. And phone tech support? Forget it. When my Internet connect quit working, the tech rep tried having me change my IE security settings...the same settings I've had for years. Yikes. I am considering changing to satellite, but I suspect all providers are the same. And these conditions go beyond cable companies...the new model is sell the product and offer litter to no support, and what you do offer, make it useless. To them, the cost of a few lost customers is cheaper than hiring competent help and servicing the customer as if they matter.

Highly Ranked

daaper @ Feb 13th 2009 11:42AM

I don't know how typical my experiences have been (and I'm sure there are probably some contrary), but I have nothing but praise for DirecTV's customer service. Coming from Time Warner, it was such a breath of fresh air. I now have little-to-no waiting time on phone calls, reps that actually know how to walk you through trying to fix things yourself, and if something needs service I get it within the week.

Highly Ranked

B.J. @ Feb 12th 2009 8:31PM

I hate to say because I have Charter internet, but it wouldn't hurt my feelings if they closed. I've never seen a more screwed up company in my life. The other week, I saw a line down in someone else's yard and called them and I was told to call them back later. They just suck!

Neutral

H Choi @ Feb 12th 2009 9:15PM

I don't see why anyone in their right mind would get cable unless they have no other alternative. I've had both Charter and Comcast and they both suck big time!

Neutral

Mark Shelstad @ Feb 12th 2009 11:37PM

Comment is interesting; how does a company do two things at the same time: "all debt holders will reportedly be paid in full" and "decision will supposedly reduce debt by around $8 billion"

Now that's some really hi tech Wall Street Finance. Suggest you apply for a job at Lehman.

Neutral

dandmcd @ Feb 13th 2009 9:51AM

Mediacom next? I hope so!

Neutral

Chris @ Feb 13th 2009 12:23PM

Nah, nah
nah, nah, nah, nah,
hey hey hey
goodbye )~`:

see yah latah suckahs

Neutral

mirilene @ Feb 13th 2009 6:55PM

Funny enough, i just switched from Charter to verizon Fios for my internet and tv and the day after i made the switch, i started seeing all these stories about bankruptcy and such. When i called up to turn off my service, they didnt even try to get me to stay.

F them though. Payed out the nose for faster internet but hell if i ever got 8mps down. I get 20 solid with verizon for the same price and more interesting features on my cable box. I sure wish it had a bigger internal hard drive though :(

Neutral

Steve Day @ Feb 16th 2009 4:52PM

I live on the North side of Houston and Charter doesn't even have OnDemand services around here... We've been waiting patiently for the past 4-1/2 years for it - after moving from an area 4 miles away which did have OnDemand and was in a Time Warner neighborhood.
The local manager practically accused me of stealing a cable box, after I legally purchased one (that was direct from a distributor) and requested to use my newer&better box in my house.
I'm just hoping the company completely folds. I'll be pleased to see the last nail put in their coffin.

Neutral

fred @ Feb 16th 2009 5:06PM

Maybe this trip into Chapter 11 may be what is needed to bring several new cable providers to Upstate South Carolina. Charter is so bad; they need to be thrown out of our region...today.

Neutral

Jewel @ Mar 9th 2009 9:50AM

Charter has become so expensive that in today's economic downfall, it's hard to keep up. I would switch to DishTV or another, but I cannot get a package deal even though Embarq is the local phone service in my town. Charter gives the "city" a free station, I guess that bunch will continue to keep other services out.

Neutral

Amy @ Mar 29th 2009 12:34PM

Try AT&T They have a new package. They do phone and internet and are partnered with Directv for satellite. We swicthed from Charter to them as did my mom.

Neutral

shadetree_tn @ Aug 14th 2009 6:34PM

Use to work for them and I am glad to see this. They take care of the management but screw the work force on pay and incentives. I saw people laid off and replaced a month later with friends of management. So if they don't like you they find a way to get rid of you.

Neutral

Daniel Long @ Mar 27th 2009 11:09AM

GOOD! Their customer service sucks! They think they can treat customers however they want because there are no other cable companies in the St. Louis, MO area. After several disappointing dealings with them, their lack of compassion and arrogance prompted me to figure out how to steal cable from them. They steal from people everyday so I don't feel bad at all. I've been watching free extended cable for 5 years now. When I start feeling bad I just listen to what other people have to say about them and it refuels my anger and frustrations against their evil. F* em

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