Charter Communications Holding Company, LLC
Offer to Exchange up to $309,375,000 Principal Amount
Outstanding of
Charter Communications, Inc.s
5.875% Convertible Senior Notes due 2009
(CUSIP Nos. 16117MAE7 and 16117MAD9)
Dated August 29, 2007
This Exchange Offer will expire at 11:59 P.M., New York
City time, on September 26, 2007, unless extended or
earlier terminated (such date, as the same may be extended or
earlier terminated, the Expiration Date). Holders of
the Old Notes (as defined below) must tender their Old
Notes for exchange on or prior to the Expiration Date to
receive the Exchange Consideration (as defined below).
August 29, 2007
To Brokers, Dealers, Commercial Banks,
Trust Companies and Other Nominees:
Enclosed for your consideration is an Exchange Offer Prospectus,
dated August 29, 2007 (as the same may be amended from time
to time, the Exchange Offer Prospectus), and a
Letter of Transmittal (the Letter of Transmittal
and, together with the Exchange Offer Prospectus, the
Exchange Offer) relating to the offer by Charter
Communications Holding Company, LLC (the Offeror),
to pay up to $595,082,000 principal amount of
7.00% convertible senior notes due 2027 (the New
Notes) of Charter Communications, Inc.
(Charter) to holders (the Holders) of up
to $309,375,000 of Charters $412,500,000 principal amount
outstanding 5.875% convertible senior notes due 2009 (the
Old Notes) who elect to exchange their Old Notes
upon the terms and subject to the conditions set forth in the
Exchange Offer Prospectus. Capitalized terms used but not
defined herein shall have the meanings given to them in the
Exchange Offer Prospectus.
The Exchange Consideration per $1,000 principal
amount of Old Notes accepted for exchange will be an amount of
New Notes determined based on the Average Price (as defined
below) of Charters Class A common stock as set forth
in the table below. In addition to the Exchange Consideration,
the Offeror will pay accrued interest on the Old Notes from and
including the last interest payment date (which was May 16,
2007) up to, but not including, the Settlement Date.
Average Price means the arithmetic average of the
daily volume-weighted average price of Charters
Class A common stock for the ten trading days prior to and
including the second business day before the Expiration Date,
rounded to four decimal places. The initial conversion price for
the New Notes will be the Average Price multiplied by 1.4
(examples of which are set forth in the table below). The
initial conversion rate will be $1,000 divided by the conversion
price, rounded to four decimal places. If the Average Price is
between two prices shown in
the table below, the principal amount of New Notes to be issued
per $1,000 principal amount of Old Notes tendered will be
calculated using straight-line interpolation.
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Principal Amount of New |
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| Average Price of |
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Notes to be Issued per |
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Terms of the New Notes |
| Charters Class A |
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$1,000 Principal Amount |
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| Common Stock |
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of Old Notes Tendered |
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Conversion Price |
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Conversion Rate |
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| $ |
2.00 |
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$ |
1,110.62 |
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$ |
2.80 |
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357.1429 |
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| $ |
2.20 |
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$ |
1,173.25 |
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$ |
3.08 |
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324.6753 |
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| $ |
2.40 |
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$ |
1,239.65 |
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$ |
3.36 |
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297.6190 |
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| $ |
2.60 |
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$ |
1,309.13 |
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$ |
3.64 |
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274.7253 |
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| $ |
2.80 |
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$ |
1,381.10 |
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$ |
3.92 |
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255.1020 |
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| $ |
3.00 |
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$ |
1,451.68 |
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$ |
4.20 |
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238.0952 |
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| $ |
3.20 |
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$ |
1,521.73 |
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$ |
4.48 |
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223.2143 |
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| $ |
3.40 |
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$ |
1,592.26 |
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$ |
4.76 |
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210.0840 |
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| $ |
3.60 |
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$ |
1,662.60 |
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$ |
5.04 |
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198.4127 |
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| $ |
3.80 |
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$ |
1,733.33 |
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$ |
5.32 |
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187.9699 |
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| $ |
4.00 |
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$ |
1,802.82 |
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$ |
5.60 |
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178.5714 |
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| $ |
4.20 |
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$ |
1,872.80 |
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$ |
5.88 |
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170.0680 |
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| $ |
4.35 |
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$ |
1,923.50 |
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$ |
6.09 |
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164.2036 |
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The Exchange Offer is conditioned on a minimum amount of
$75,000,000 aggregate principal amount Old Notes being tendered.
The Exchange Offer is also conditioned upon the Average Price
being more than or equal to $2.00 and less than or equal to
$4.35. In addition, we will not accept for exchange more than
$309,375,000 principal amount of Old Notes (the Maximum
Amount). As a result, if more than the Maximum Amount of
Old Notes are validly tendered and not validly withdrawn, we
will accept Old Notes from each Holder pro rata, based on the
total amount of Old Notes validly tendered and not validly
withdrawn.
New Notes will be issued only in minimum denominations of $1,000
and integral multiples of $1,000. If, under the terms of the
Exchange Offer, any tendering Holder is entitled to receive New
Notes in a principal amount that is not an integral of $1,000,
the Offeror will round downward the amount of New Notes to the
nearest integral multiple of $1,000.
The Settlement Date in respect of any Old Notes that
are validly tendered for exchange and not validly withdrawn is
expected to be not later than the fourth business day following
the Expiration Date. Holders tendering their Old Notes for
exchange after 11:59 p.m., New York City time, on the
Expiration Date will not be eligible to receive the Exchange
Consideration.
Notwithstanding any other provision of the Exchange Offer, the
Offerors obligations to accept Old Notes tendered for
exchange and to pay the related Exchange Consideration is
subject to, and conditioned upon, the satisfaction of or, where
applicable, the Offerors waiver of, the conditions to the
Exchange Offer as set forth in the Exchange Offer Prospectus
under the caption Description of the Exchange
Offer Conditions to the Exchange Offer.
For your information and for forwarding to your clients for whom
you hold Old Notes registered in your name or in the name of
your nominee, we are enclosing the following documents:
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1. The Exchange Offer Prospectus, dated August 29, 2007; |
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2. A Letter of Transmittal for each of the Old Notes for
your use and for the information of your clients, which includes
a Form W-9 (with
instructions) providing information relating to backup
U.S. federal income tax withholding; and |
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3. A printed form of letter which may be sent to your
clients for whose accounts you hold Old Notes registered in your
name or in the name of your nominee, with space provided for
obtaining such clients instructions with regard to the
Exchange Offer. |
DTC participants must tender Old Notes for exchange through the
DTC Automated Tender Offer Program.
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WE URGE YOU TO CONTACT YOUR CLIENTS AS PROMPTLY AS POSSIBLE
IN ORDER TO OBTAIN THEIR INSTRUCTIONS.
The Offeror will not pay any fees or commission to any broker or
dealer or other person (other than the Dealer Managers, Exchange
Agent and the Information Agent) for soliciting exchange of Old
Notes pursuant to the Exchange Offer. You will be reimbursed for
customary mailing and handling expenses incurred by you in
forwarding the enclosed materials to your clients.
Any inquiries you may have with respect to the Exchange Offer
should be addressed to Citigroup Global Markets Inc. or Morgan
Stanley & Co. Incorporated, the Dealer Managers for the
Exchange Offer, at the telephone numbers set forth below.
Additional copies of the enclosed materials may be obtained from
Global Bondholder Services Corporation, the Information Agent,
at (866) 470-3700
(toll free) or at the address set forth on the back cover of the
Exchange Offer Prospectus.
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Very truly yours, |
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CITIGROUP GLOBAL MARKETS INC. |
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Collect:
(212) 723-7406 |
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U.S. Toll-Free:
(877) 531-8365 |
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MORGAN STANLEY & CO. INCORPORATED |
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Collect: (212) 761-1941 |
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U.S. Toll-Free: (800) 624-1808 |
NOTHING CONTAINED HEREIN OR IN THE ENCLOSED DOCUMENTS SHALL
CONSTITUTE YOU THE AGENT OF THE OFFEROR, THE DEALER MANAGERS,
THE INFORMATION AGENT OR THE EXCHANGE AGENT, OR AUTHORIZE YOU OR
ANY OTHER PERSON TO USE ANY DOCUMENT OR MAKE ANY STATEMENT ON
BEHALF OF ANY OF THEM IN CONNECTION WITH THE EXCHANGE OFFER
OTHER THAN THE DOCUMENTS ENCLOSED HEREWITH AND THE STATEMENTS
CONTAINED THEREIN.
The Exchange Offer is not being made to (nor will Old Notes
tendered for exchange be accepted from or on behalf of) Holders
in any jurisdiction in which the making or acceptance of the
Exchange Offer would not be in compliance with the laws of such
jurisdiction.
IMPORTANT: The Agents Message, together with a
conformation of book-entry transfer and all other required
documents, must be received by the Exchange Agent at or prior to
11:59 p.m., New York City time, on the Expiration Date in
order for Holders to receive the Exchange Consideration.
3