CKX Enters $125 Million Credit Deal
Thursday May 25, 1:02 pm ET
American Idol Producer CKX Enters $125 Million Revolving Credit Agreement
NEW YORK (AP) -- CKX Inc., which produces the American Idol TV show, said Thursday it entered into a $125 million revolving credit agreement with several lenders.
The revolving credit facility is led by Bear Stearns & Co. and includes UBS Securities LLC, The Bank of New York, Lehman Commercial Paper Inc. and Credit Suisse. The new facility will replace the company's previous $50 million facility, which the company said it has not drawn on.
The available loan pool could help the company finance acquisitions and joint ventures, said Robert F.X. Sillerman, chairman and chief executive, in a statement.
CKX, aside from owning the company that produces American Idol, also owns a 85 percent stake in Elvis Presley Enterprises Inc., which licenses the name, image and likeness of Elvis Presley, as well as operates Graceland.
Shares of its stock fell 33 cents, or 2.6 percent, to $12.56 in afternoon trading on the Nasdaq.
