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story category Charter, Banks At Impasse
As cable company struggles through bankruptcy...
09:25AM Monday Aug 24 2009 by Karl Bode
tags: business · cable · trouble
Charter's been stuck in a tussle with the company's creditors for most of the summer, the company trying to eliminate $8 billion of the company's $22 billion debt load while keeping Paul Allen in control of the company. According to the New York Post, the two sides are no longer even negotiating, which means the fight will be settled next month in court. Apparently if the banks win, and are able to repossess Charter and change its ownership structure, founder Paul Allen would be personally responsible for more than $1 billion in taxes, notes the Post.


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  5. Charter Lenders Balking At Restructuring Plan
  6. Charter Faces Lawsuits On All Sides
  7. Real Consumer Group Takes Aim At Fake Ones
  8. Bankruptcy Judge Slams Charter Founder Allen
Forums » Charter, Banks At Impasse
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Tails

join:2007-09-25
Sanford, NC
·Windstream

If only we had a different cable company...

I wish our city would let another cable company in here, like Comcast. We have charter business at work, and it's been out at least once a week in the past several months. It's pathetic that we have to choose between this company and Windstream. Don't get me wrong, Windstream is awesome, but upload = suckage even for the highest tiers.

I'll be talking to the city council here, and make them aware of this issue.
--
Do or do not, there is no try! - Yoda
openbox9

join:2004-01-26
Alexandria, VA

Re: If only we had a different cable company...

I doubt your city is preventing another cable company from entering the market. Sheer economics and ROI is most likely what prevents cable company competitors from stepping in.

Tails

join:2007-09-25
Sanford, NC
·Windstream

Re: If only we had a different cable company...

No, it actually is because the city won't allow it. Charter has a franchise here, and will not allow any other cable company to step in. I'm 30 minutes away from Raleigh, Southern Pines, and a few other big cities. You can imagine that with being in the middle of all these big cities, many people live here because it's easy to go where you please. Comcast would have a significant ROI if they came in and took over.
--
Do or do not, there is no try! - Yoda
Skippy25

join:2000-09-13
Hazelwood, MO

Re: If only we had a different cable company...

No really it is not. Charter, nor your city, can legally deny another company from coming in and serving customers.

TKJunkMail
Enjoy the sun
Premium
join:2002-03-03
Avalon, NJ
·Sprint Mobile Broa..
·Comcast


1 edit

Re: If only we had a different cable company...

said by Skippy25 See Profile :

No really it is not. Charter, nor your city, can legally deny another company from coming in and serving customers.
You are right. No city can refuse a new franchise. They could delay it by dragging their feet, but they ultimately would lose and a court would set the franchise rules if the city refused to negotiate.
--
My BLOG .. .. Internet News .. .. My Web Page

BF69

join:2004-07-28
Camden, TN

said by Skippy25 See Profile :

No really it is not. Charter, nor your city, can legally deny another company from coming in and serving customers.
But they do. I KNOW for a FACT that Charter is the only cbale company allowed to serve our area. Like I said I know for a FACT. Doesn't matter what the law says because no one is going to enforce it.

Space_Ranger

join:2002-07-15

Skippy is right...

It is more it isn't worth the start up costs for another company to come in. Might sound crazy but most people are lazy about switching. A new company would have to lay their own lines as well since they wouldn't be able to use their existing lines.

Cheaper to wait and either buy out the market or for them to go belly up and wait for the fire sale..

Tails

join:2007-09-25
Sanford, NC
Well that's definitely news to me then. I wonder why only charter exists in a fairly large town here...
--
Do or do not, there is no try! - Yoda
openbox9

join:2004-01-26
Alexandria, VA

Re: If only we had a different cable company...

ROI. It's too expensive to lay the infrastructure and then try to compete. It's a loosing proposition for just about any company, no matter how bad the incumbent provider might be.
unoriginal

join:2000-07-12
San Diego, CA
Ask RCN about trying to overbuild and competing with the local cable co. They spent (and lost) billions to end up with the 400k subs or so that they have now.

antdude
A Ninja Ant
Premium,VIP
join:2001-03-25
Monopolies suck.
ender7074

join:2006-11-21
Saint Louis, MO

Re: If only we had a different cable company...

Good thing its not a monopoly then.

antdude
A Ninja Ant
Premium,VIP
join:2001-03-25

Re: If only we had a different cable company...

said by ender7074 See Profile :

Good thing its not a monopoly then.
It sound like a monopoly due to no competitions.
ender7074

join:2006-11-21
Saint Louis, MO
·AT&T Southeast


1 edit

Re: If only we had a different cable company...

Really? Charter has no competition? Ok, Ill bite. What about Dish Network, DirecTV, Local OTA stations, and Uverse (if its available)? Those dont count? The only way it would be a monopoly is if Charter was the ONLY place to receive any kind of television service at all. As you can see, that's not the case. If you don't like Charter, then you have many other options to choose from therefore it's not a monopoly. Also, just because they are the only provider to deliver their product through the cable system also doesn't make it any more of a monopoly either.
--
Does Microsoft mean small and squishy?

antdude
A Ninja Ant
Premium,VIP
join:2001-03-25

Re: If only we had a different cable company...

said by ender7074 See Profile :

Really? Charter has no competition? Ok, Ill bite. What about Dish Network, DirecTV, Local OTA stations, and Uverse (if its available)? Those dont count? The only way it would be a monopoly is if Charter was the ONLY place to receive any kind of television service at all. As you can see, that's not the case. If you don't like Charter, then you have many other options to choose from therefore it's not a monopoly. Also, just because they are the only provider to deliver their product through the cable system also doesn't make it any more of a monopoly either.
Oh my bad. I thought this was about cable Internet. In my area, only @Home/Adelphia/TWC was the only low-cost broadband service available. DSL, FIOS, etc. don't exist.

Tails

join:2007-09-25
Sanford, NC
·Windstream

I'm not referring to TV service, I could care less about cable TV. I'm talking about broadband. Charter is the ONLY cable company in town. Windstream is our other choice, with their paltry 1.0 meg upload speed. Charter does offer 2!!!! But like I said, Charter is terribad here, and our BUSINESS account has been down at least once a week now.

I like Windstream, but when it comes to speed, they can't really compete.
--
Do or do not, there is no try! - Yoda
iansltx

join:2007-02-19
Golden, CO

Re: If only we had a different cable company...

Correction: 768k - 15% upload speeds. So closer to 650 kbps unfortunately. Would be nice if competition prompted WS to roll out more areas with 24 Mbps down, 1.5 Mbps up fiber like in Lexington, KY.
ender7074

join:2006-11-21
Saint Louis, MO
·AT&T Southeast

So if the Charter service is so bad, then why would you not at least try out the competition? I can understand the poor upload speed but if the cable service is down then I would think that the upload on a working service would be much better.
--
Does Microsoft mean small and squishy?

Tails

join:2007-09-25
Sanford, NC
·Windstream

Re: If only we had a different cable company...

I have Windstream at home, and the highest tier we have is 3.0 meg/ 384 kilobit package. We can't get anything higher than that, and we live right across the street from a developed community.

Charter? They want something like $1000 to run a cable to our house, and that = fail. Windstream is the only one available at home. Windstream isn't bad, but I wish we had more of a choice in terms of competition.
--
Do or do not, there is no try! - Yoda

TKJunkMail
Enjoy the sun
Premium
join:2002-03-03
Avalon, NJ

1 edit

Paul Allen should lose

Allen keeps control with a very small share of the company's stock by using "Special Share" voting rights. The court should give the creditors and regular shareholders their rights and strip Allen of his.

mikedz4

join:2003-04-14
Weirton, WV
·DIRECTV
·Verizon Online DSL
·Comcast Digital Vo..
·Comcast

Re: Paul Allen should lose

how can paul allen be bankrupt? Didn't he co-found microsoft with bill gates and doesn't he get a certain percentage of sales of microsoft product because of that? What about all the shares of stock in microsoft he had or did he sell all that to try to keep charter afloat?

Hpower
Roflmao

join:2000-06-08
Glendale, CA
·Charter Pipeline

*sigh*

Such bad times for Charter. There isn't much time left for them. For a new company to come it, as said, it would cost too much to lay a new infastructure all around. Better off being taken over by someone and use the existing network (/me begs for upgrade if this happens). Only time will tell us now what will happen.

Next month is going to be a big one for charter.
--
The Internet is about to go down....it is actually.
markopoleo

join:2003-04-02
Bonne Terre, MO
·Charter Pipeline

Re: *sigh*

said by Hpower See Profile :

Such bad times for Charter. There isn't much time left for them. For a new company to come it, as said, it would cost too much to lay a new infastructure all around. Better off being taken over by someone and use the existing network (/me begs for upgrade if this happens). Only time will tell us now what will happen.

Next month is going to be a big one for charter.
That is the problem. NO ONE wants Charter infrastructure for one reason alone, Charter is very rural market footprint. The cost to reclaim the debt of a purchase would be to great.

That is one reason debt collectors don't want to actually split charter up, they just want better people in charge of it.
hottboiinnc
ME

join:2003-10-15
Cleveland, OH
·Time Warner Cable
·buckeye cable

Re: *sigh*

Windjammer will take it! TWC is selling/giving all of their rural markets to them. Most of the markets are from Adelphia.

But it's funny Windjammer only started to come around after TWC got rid of some of the markets. Wonder if TWC actually spun them off on their own, especially since they still offer Roadrunner with powerboost (with all the same tiers) and offer "digital phone" which TWC did as well. Everything pretty much stayed the same.
zed260

join:2007-09-30
Cleveland, TN
·Charter Pipeline

from a consumer prospective in long run breaking charter up would be best for consumers an example is in aldlphia case most consumers have benifited from it

but in short term say next 2 years it will likely be worse then if the plan they propsoe is passed
watts3000

join:2002-01-21
Birmingham, AL

Re: *sigh*

As I've said a million time I want them to stay I get great service from them. You can find bad cable companies in every area TWC, Comcast you name it it's all about area you are in
Forums » Charter, Banks At Impasse


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