• by Ray Schultz , February 3, 2023

Gannett Co. has used funds from $21.3 million in real estate sales to reduce its first lien debt by $22.3 million. 

Of that sum, $5 million was used to repurchase roughly $6.1 million of its 6% first lien notes due on Nov. 1, 2026. The remaining $16.3 million will go into repaying amounts from its five-year senior secured term loan facility. 

“We continue to make meaningful progress in reducing our first lien debt, which will continue to lead toward an improved capital structure and stronger balance sheet,” states Michael Reed, Gannett, chairman and CEO of Gannett. 

Reed adds, “We expect to sell another $50 million to $60 million in real estate and other assets in 2023, the proceeds of which we expect to use to pay down debt. As a result, we expect to reduce our debt within the year by approximately $120 million through the sale of real estate and other assets, along with our scheduled quarterly amortization payments.”