Charter Communications has hired turnaround expert Greg Doody, another signal that the company may end up restructuring as part of its struggle to manage its debt, according to a report in Reuters.
Doody is known for his work turning around energy company Calpine Corp., and before that HealthSouth Corp.
Reuters previously reported that Charter had hired Kirkland & Ellis to advise on bankruptcy proceedings and investment bank Lazard LLC to help renegotiate debt agreements with bondholders.
The company missed a $73.7 million interest payment due on Jan. 14 but has until Feb. 15 before technically defaulting (story here).
According to Reuters: “The timing of a possible bankruptcy filing is unclear, and there is a possibility that the company could negotiate a so-called "prepackaged" bankruptcy with bondholders. A prepackaged plan is a cheaper and quicker way to go through the bankruptcy process because major creditors vote on the terms of the bankruptcy plan before it is filed with the court.”