[Satellite Today – 06-04-08] WorldSpace secured a debt deferral agreement which gives the company more time to make its satellite radio strategy internationally a success, the company announced June 4.
    Four holders of WorldSpace’s debt agreed to defer the company’s obligation to pay $17.7 million in principal until June 30 and not to exercise rights and remedies with respect to the payment default.
    “This agreement gives the company time to bring in the funds already committed to it and to raise new funding,” WorldSpace CEO Noah Samara said in a statement. “While the agreement accelerates payment of the remaining outstanding amount of the bridge loan notes and the convertible notes, such accelerated pay down of the notes this year will remove capital structure restrictions, which would have otherwise remained until June 2010. Our cash needs are challenging, but we are working very hard to address this in order to take full advantage of the milestones we have.”