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9-Nov-2009
Entry into a Material Definitive Agreement
A. Amendment to Restructuring Support Agreement
As previously announced, on October 30, 2009, Morris Publishing Group, LLC and Morris Publishing Finance Co., as issuers, and all other subsidiaries of Morris Publishing, as subsidiary guarantors (all together, "Morris Publishing") and the holders, or investment advisors or managers (the "Holders"), of over seventy-two percent of the outstanding $278,478,000 aggregate principal amount of Morris Publishing's 7% Senior Subordinated Notes Due 2013 (the "Existing Notes"), entered into a Restructuring Support Agreement regarding the exchange of the Existing Notes, including accrued and unpaid interest, for $100 million of new notes. The Restructuring Support Agreement required Morris Publishing to commence the exchange offer solicitation no later than November 6, 2009.
On November 6, 2009, Morris Publishing and the requisite number of Holders required to effectuate an amendment entered into an Amendment to the Restructuring Support Agreement extending the deadline to commence the exchange offer solicitation until November 17, 2009.
B. Amendment to Forbearance Agreement
On November 6, 2009, Morris Publishing and the Holders of over seventy-five percent of the outstanding aggregate principal amount of the Existing Notes entered into Amendment No. 17 ("Amendment No. 17") to the Forbearance Agreement, dated as of February 26, 2009 (the "Forbearance Agreement"), with respect to the indenture to the Existing Notes (the "Indenture"). Amendment No. 17 amended the definition of a Forbearance Termination Event as defined in the Forbearance Agreement to eliminate the requirement that Morris Publishing commence the exchange offer solicitation no later than 5:00 p.m. EDT on November 6, 2009, and to include the termination of the Restructuring Support Agreement as a Forbearance Termination Event. Other terminating events include an acceleration of the maturity of Morris Publishing's obligations under the Amended and Restated Credit Agreement, dated as of October 15, 2009, the occurrence of any other default under the Indenture, or if Morris Publishing files for bankruptcy protection or breaches its covenants under the Forbearance Agreement.
Date: November 6, 2009 MORRIS PUBLISHING GROUP, LLC
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