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EXHIBIT A
PLAN OF REORGANIZATION
111
Exhibit T3
E-2
Richard M. Cieri
Paul M. Basta
Stephen E. Hessler
KIRKLAND & ELLIS LLP
Citigroup Center
153 East 53rd Street
New York, New York 10022-4611
Telephone: (212) 446-4800
Facsimile: (212) 446-4900
- and -
Ray C. Schrock
KIRKLAND & ELLIS LLP
200 East Randolph Drive
Chicago, Illinois 60601-6636
Telephone: (312) 861-2000
Facsimile: (312) 861-2200
Counsel to the Debtors and Debtors in Possession
(other than Charter Investment, Inc.)
- and -
Albert Togut
Frank A. Oswald
TOGUT, SEGAL & SEGAL LLP
One Penn Plaza
New York, New York 10119
Telephone: (212) 594-5000
Facsimile: (212) 967-4258
Counsel to the Debtor and Debtor in Possession
Charter Investment, Inc.
UNITED STATES BANKRUPTCY COURT
SOUTHERN DISTRICT OF NEW YORK
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Chapter 11 |
In re:
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Case No. 09-11435 (JMP) |
CHARTER COMMUNICATIONS, INC., et al.,
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Debtors.
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Jointly Administered |
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DEBTORS’ JOINT PLAN OF REORGANIZATION
PURSUANT TO CHAPTER 11 OF THE UNITED STATES BANKRUPTCY CODE
Dated: May 7, 2009
TABLE OF CONTENTS
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INTRODUCTION |
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ARTICLE I. DEFINITIONS AND INTERPRETATION |
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A. Defined Terms |
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B. Rules of Interpretation |
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C. Computation of Time |
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ARTICLE II. ADMINISTRATIVE AND PRIORITY CLAIMS |
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A. Administrative Expense Claims |
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B. Professional Compensation and Reimbursement Claims |
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C. Priority Tax Claims |
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ARTICLE III. CLASSIFICATION OF CLAIMS AND INTERESTS |
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A. CCI |
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B. CII |
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C. Holdco, Enstar Communications Corporation, and Charter Gateway, LLC |
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D. CCHC |
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E. CCH and Charter Communications Holdings Capital Corp. |
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F. CIH and CCH I Holdings Capital Corp. |
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G. CCH I and CCH I Capital Corp. |
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H. CCH II and CCH II Capital Corp. |
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I. CCOH and CCO Holdings Capital Corp. |
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J. CCO (and its direct and indirect subsidiaries) |
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ARTICLE IV. TREATMENT OF CLAIMS AND INTERESTS |
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A. CCI |
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B. CII |
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C. Holdco, Enstar Communications Corporation, and Charter Gateway, LLC |
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D. CCHC |
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E. CCH and Charter Communications Holdings Capital Corp. |
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F. CIH and CCH I Holdings Capital Corp. |
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G. CCH I and CCH I Capital Corp. |
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H. CCH II and CCH II Capital Corp. |
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I. CCOH and CCO Holdings Capital Corp. |
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J. CCO (and its direct and indirect subsidiaries) |
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ARTICLE V. IDENTIFICATION OF IMPAIRED CLASSES OF CLAIMS AND INTERESTS;
ACCEPTANCE OR REJECTION OF THIS PLAN OF REORGANIZATION |
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A. Classes Entitled to Vote |
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B. Classes Not Entitled to Vote; Deemed to Accept |
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C. Classes Not Entitled to Vote; Deemed to Reject |
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D. Nonconsensual Confirmation |
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ARTICLE VI. PROVISIONS FOR IMPLEMENTATION OF THE PLAN |
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A. Sources of Consideration for Plan Distributions |
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B. Reorganized Company Equity Interests |
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C. CII Settlement Claim |
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D. Section 1145 Exemption |
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E. Corporate Existence |
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F. Vesting of Assets in the Reorganized Debtors |
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G. Discharge of Debtors |
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H. Restructuring Transactions |
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I. Corporate Action |
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J. Post-Effective Date Governance |
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K. Limited Liability Company Agreement |
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L. Effectuating Documents; Further Transactions |
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M. Exemption from Certain Transfer Taxes and Recording Fees |
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N. Board Representation |
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O. Senior Management |
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P. Management Incentive Plan and VCP |
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Q. Employee and Retiree Benefits |
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R. Creation of Professional Fee Escrow Account |
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S. Preservation of Rights of Action |
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ARTICLE VII. TREATMENT OF EXECUTORY CONTRACTS |
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A. Assumption and Rejection of Executory Contracts |
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B. Indemnification Obligations |
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C. Cure of Defaults for Assumed Executory Contracts |
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D. Claims Based on Rejection or Repudiation of Executory Contracts |
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E. Reservation of Rights |
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F. Nonoccurrence of Effective Date |
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ARTICLE VIII. PROCEDURES FOR RESOLVING CLAIMS AND DISPUTES |
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A. Allowance of Claims and Interests |
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B. Claims and Interests Administration Responsibilities |
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C. Estimation of Claims and Interests |
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D. Adjustment to Claims and Interests Without Objection |
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E. Disallowance of Claims or Interests |
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F. Offer of Judgment |
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G. Amendments to Claims |
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ARTICLE IX. PROVISIONS GOVERNING DISTRIBUTIONS |
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A. Distributions on Account of Claims and Interests Allowed As of the Effective Date |
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B. Distributions on Account of Claims and Interests Allowed After the Effective Date |
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C. Delivery of Distributions |
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D. Claims Paid or Payable by Third Parties |
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E. Allocation Between Principal and Accrued Interest |
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ARTICLE X. EFFECT OF PLAN CONFIRMATION |
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A. Discharge of Claims and Termination of Interests |
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B. Compromise and Settlement of Claims and Controversies |
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C. CCO Credit Facility |
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D. Releases by the Debtors |
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E. Third Party Releases |
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F. Injunction |
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G. Exculpation |
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H. Protection Against Discriminatory Treatment |
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I. Setoffs and Recoupment |
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J. Release of Liens |
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K. Document Retention |
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L. Reimbursement or Contribution |
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ARTICLE XI. ALLOWANCE AND PAYMENT OF CERTAIN ADMINISTRATIVE EXPENSE
CLAIMS |
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A. Professional Claims |
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B. Other Administrative Expense Claims |
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ARTICLE XII. CONDITIONS PRECEDENT TO EFFECTIVE DATE |
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A. Conditions Precedent to Effective Date |
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B. Waiver of Conditions Precedent |
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C. Effect of Non-Occurrence of Conditions to the Effective Date |
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ARTICLE XIII. MODIFICATION, REVOCATION, OR WITHDRAWAL OF THE PLAN |
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A. Modification or Amendments |
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B. Effect of Confirmation on Modifications |
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C. Revocation or Withdrawal of Plan |
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ARTICLE XIV. RETENTION OF JURISDICTION |
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ARTICLE XV. MISCELLANEOUS PROVISIONS |
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A. Immediate Binding Effect |
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B. Additional Documents |
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C. Payment of Statutory Fees |
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D. Reservation of Rights |
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E. Successors and Assigns |
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F. Service of Documents |
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G. Term of Injunctions or Stays |
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H. Entire Agreement |
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I. Governing Law |
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J. Exhibits |
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K. Nonseverability of Plan Provisions upon Confirmation |
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L. Closing of Chapter 11 Cases |
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M. Waiver or Estoppel |
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N. Conflicts |
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iii
INTRODUCTION
Charter Communications, Inc. and the other debtors in the above-captioned chapter 11 cases
(collectively, the “Debtors”)1 propose the following joint plan of reorganization (the
“Plan”) for the resolution of outstanding creditor claims against, and equity interests in, the
Debtors pursuant to title 11 of the United States Code, 11 U.S.C.
§§ 101–1532. Capitalized terms
used in the Plan and not otherwise defined have the meanings ascribed to such terms in ARTICLE I.A
of the Plan.
Reference is made to the Disclosure Statement, Filed contemporaneously with the Plan, for a
discussion of the Debtors’ history, businesses, assets, results of operations, and projections of
future operations, as well as a summary and description of the Plan and certain related matters.
The Debtors are the proponents of the Plan within the meaning of section 1129 of the Bankruptcy
Code.
ARTICLE I.
DEFINITIONS AND INTERPRETATION
A. Defined Terms. As used in the Plan, the capitalized terms below have the following
meanings, except as expressly provided or unless the context otherwise requires. Any term used but
not defined in the Plan, but that is used in the Bankruptcy Code or the Bankruptcy Rules, has the
meaning ascribed to that term in the Bankruptcy Code or the Bankruptcy Rules.
1. “Accrued Professional Compensation” means, at any given moment, all
accrued fees and expenses
(including success fees) for services rendered by all Professionals through and including the
Effective Date, to the extent such fees and expenses have not been paid and regardless of whether a
fee application has been Filed for such fees and expenses. To the extent there is a Final Order
denying some or all of a Professional’s fees or expenses, such denied amounts shall no longer be
considered Accrued Professional Compensation.
2. “Administrative Expense Claim” means a Claim for costs and expenses
of administration of the
Estates under sections 503(b), 507(b) or 1114(e)(2) of the Bankruptcy Code, including: (a) the
actual and necessary costs and expenses incurred after the Petition Date of preserving the Estates
and operating the businesses of the Debtors; (b) Allowed Claims of retained Professionals in the
Chapter 11 Cases; and (c) all fees and charges assessed against the Estates under chapter 123 of
title 28 of the United States Code, 28 U.S.C. §§ 1911-1930.
3. “Affiliate” is as defined in section 101(2) of the Bankruptcy Code.
4. “Allen Entities” means (a) Mr. Allen, (b) any Entity controlled by Mr. Allen, (c)
any trust in which Mr. Allen is the grantor, (d) the estate, spouse, immediate family members and
heirs of Mr. Allen, and (e) any trust created as a result of the death of Mr. Allen; provided,
however, the Debtors (other than CII) shall not be Allen Entities. For the purpose of this
definition, “controlled” means the direct or indirect ownership of at least fifty percent (50%) of
the voting power and economic interest of such Entity.
5. “Allen Fee Reimbursement” means up to $20 million for the actual out-of-pocket fees
and expenses of the CII Settlement Claim Parties in connection with the proposed restructuring,
without further Bankruptcy Court approval and after submission of documentation by Mr. Allen to the
Reorganized Debtors (other than Reorganized CII).
6. “Allen Management Receivable” means $25 million for amounts owing to CII under the
Management Agreement and predecessor agreements, which shall constitute payment in full thereunder.
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A full list of the Debtors in these Chapter 11 Cases is attached as Exhibit 1 to the Plan
Supplement. |
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7. “Allowed” means, with respect to any Claim against any Debtor, except as otherwise
provided herein, any Claim listed by such Debtor in its books and records as liquidated in amount
and not disputed or contingent; provided, that to the extent that a Claim is a Disputed Claim, the
determination of whether such Claim shall be allowed and/or the amount of any such Claim shall be
determined, resolved or adjudicated, as the case may be, in the manner in which such Claim would
have been determined, resolved or adjudicated, as the case may be, if the Chapter 11 Cases had not
been commenced; and provided, further, the Debtors or Reorganized Debtors in their discretion may
bring any objection or other motion with respect to a Disputed Claim for resolution. For the
purpose of determining the amount in which a Claim is Allowed, the Debtors or Reorganized Debtors
may, at their option, deduct therefrom an amount equal to the amount of any claim which the Debtors
or Reorganized Debtors may hold against the Holder thereof, to the extent such claim may be set off
pursuant to applicable law.
8. “Amended and Restated Bylaws” means the bylaws of the Reorganized
Company, attached as
Exhibit 2 to the Plan Supplement.
9. “Amended and Restated Certificate of Incorporation” means the
certificate of incorporation of the
Reorganized Company, attached as Exhibit 3 to the Plan Supplement.
10. “Annex C” means the list of Rollover Commitment Parties and related aggregate
commitment amounts set forth in Annex C to the Term Sheet (and attached as Exhibit 4 to the Plan
Supplement).
11. “Annex D” means the list of New CCH II Notes Commitment Parties and aggregate
commitment amounts set forth in Annex D to the Term Sheet (and attached as Exhibit 5 to the Plan
Supplement).
12. “Annex E” means the list of Equity Backstop Parties and aggregate commitment
amounts set forth in Annex E to the Term Sheet (and attached as Exhibit 6 to the Plan Supplement).
13. “Authorized Class B Holders” means any of: (a) Mr. Allen; (b) his estate, spouse,
immediate family members and heirs; and (c) any trust, corporation, partnership or other entity,
the beneficiaries, stockholders, partners or other owners of which consist exclusively of Mr. Allen
or such other Persons referred to in clause (b) above or a combination thereof.
14. “Available Cash” means, as of any date of determination, all Cash and cash
equivalents on the consolidated balance sheet of the Reorganized Company and its consolidated
subsidiaries, excluding any Cash collateral securing letters of credit and segregated Cash that may
be used only as required by contract, statute or regulation (other than funds set aside to satisfy
Specified Fees and Expenses), after giving effect to the use of proceeds described in clauses (a)
through (e) of ARTICLE VI.A.1, minus the Fee Payment Threshold; provided, that if the Overallotment
Option is exercised, the Cash proceeds of the Overallotment Option shall be deemed to be included
on the balance sheet of the Reorganized Company as of the Effective Date, regardless of the actual
date of funding thereof.
15. “Bankruptcy Code” means title 11 of the United States Code, 11 U.S.C. §§
101-1532.
16. “Bankruptcy Court” means the United States Bankruptcy Court for the Southern
District of New York.
17. “Bankruptcy Rules” means the Federal Rules of Bankruptcy Procedure as promulgated
by the United States Supreme Court under section 2075 of title 28 of the United States Code, 28
U.S.C. § 2075.
18. “Board of Directors” means the Reorganized Company’s board of directors.
19. “Business Day” means any day other than a Saturday, Sunday or any other day on
which banking institutions in New York, New York are required or authorized to close by law or
executive order.
20. “Cash” means legal tender of the United States of America.
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21. “Causes of Action” means all actions, causes of action, Claims, liabilities,
obligations, rights, suits, debts, damages, judgments, remedies, demands, setoffs, defenses,
recoupments, crossclaims, counterclaims, third party claims, indemnity claims, contribution claims
or any other claims disputed or undisputed, suspected or unsuspected, foreseen or unforeseen,
direct or indirect, choate or inchoate, existing or hereafter arising, in law, equity or otherwise,
based in whole or in part upon any act or omission or other event occurring prior to the Petition
Date or during the course of the Chapter 11 Cases, including through the Effective Date.
22. “CC VIII” means CC VIII, LLC.
23. “CC VIII Preferred Units” means the Class A preferred units of CC VIII.
24. “CCH” means Charter Communications Holdings, LLC.
25. “CCH Notes” means:
(a) the 9.625% Senior Notes of CCH and Charter Communications Holdings Capital Corp.
due November 15, 2009 issued pursuant to the Indenture, dated as of May 15, 2001, among CCH
and Charter Communications Holdings Capital Corp, as issuers, and BNY Midwest Trust
Company, as trustee;
(b) the 9.92% Senior Discount Notes of CCH and Charter Communications Holdings Capital
Corp. due April 1, 2011 issued pursuant to the Indenture, dated as of March 17, 1999, among
CCH and Charter Communications Holdings Capital Corp., as issuers, Marcus Cable Holdings,
LLC, as guarantor, and Harris Trust and Savings Bank, as trustee;
(c) the 10.00% Senior Notes of CCH and Charter Communications Holdings Capital Corp.
due April 1, 2009 issued pursuant to the Indenture, dated as of January 12, 2000, among CCH
and Charter Communications Holdings Capital Corp., as issuers, and Harris Trust and Savings
Bank, as trustee;
(d) the 10.00% Senior Notes of CCH and Charter Communications Holdings Capital Corp.
due May 15, 2011 issued pursuant to the Indenture, dated as of May 15, 2001, among CCH and
Charter Communications Holdings Capital Corp., as issuers, and BNY Midwest Trust Company,
as trustee;
(e) the 10.25% Senior Notes of CCH and Charter Communications Holdings Capital Corp.
due January 15, 2010 issued pursuant to the Indenture, dated as of January 12, 2000, among
CCH and Charter Communications Holdings Capital Corp., as issuers, and Harris Trust and
Savings Bank, as trustee;
(f) the 10.75% Senior Notes of CCH and Charter Communications Holdings Capital Corp.
due October 1, 2009 issued pursuant to the Indenture, dated as of January 10, 2001, among
CCH and Charter Communications Holdings Capital Corp., as issuers, and BNY Midwest Trust
Company, as trustee;
(g) the 11.125% Senior Notes of CCH and Charter Communications Holdings Capital Corp.
due January 15, 2011 issued pursuant to the Indenture, dated as of January 10, 2001, among
CCH and Charter Communications Holdings Capital Corp., as issuers, and BNY Midwest Trust
Company, as trustee;
(h) the 11.75% Senior Discount Notes of CCH and Charter Communications Holdings
Capital Corp. due January 15, 2010 issued pursuant to the Indenture, dated as of January
12, 2000, among CCH and Charter Communications Holdings Capital Corp., as issuers, and
Harris Trust and Savings Bank, as trustee;
(i) the 11.75% Senior Discount Notes of CCH and Charter Communications Holdings
Capital Corp. due May 15, 2011 issued pursuant to the Indenture, dated as of May 15, 2001,
among CCH and Charter Communications Holdings Capital Corp., as issuers, and BNY Midwest
Trust Company, as trustee;
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(j) the 12.125% Senior Discount Notes of CCH and Charter Communications Holdings
Capital Corp. due January 15, 2012 issued pursuant to the Indenture, dated as of January
14, 2002, among CCH and Charter Communications Holdings Capital Corp., as issuers, and BNY
Midwest Trust Company, as trustee; and
(k) the 13.50% Senior Discount Notes of CCH and Charter Communications Holdings
Capital Corp. due January 15, 2011 issued pursuant to the Indenture, dated as of January
10, 2001, among CCH and Charter Communications Holdings Capital Corp., as issuers, and BNY
Midwest Trust Company, as trustee.
26. “CCH Notes Claim” means any Claim against CCH and/or Charter Communications
Holdings Capital Corp. by Holders of CCH Notes on account of CCH Notes.
27. “CCH Warrants” means those Warrants to be issued to Holders of CCH Notes Claims,
which shall be in the form set forth in Exhibit 7 to the Plan Supplement.
28. “CCH I” means CCH I, LLC.
29. “CCH I Notes” means the 11.00% Senior Secured Notes of CCH I and CCH I Capital
Corp. due 2015 issued pursuant to the Indenture, dated as of September 28, 2005, among CCH I and
CCH I Capital Corp., as issuers, CCH, as parent guarantor, and The Bank of New York Trust Company,
N.A., as trustee.
30. “CCH I Notes Claim” means any Claim against a Debtor by Holders of CCH I Notes on
account of CCH I Notes.
31. “CCH II” means CCH II, LLC.
32. “CCH II Notes” means:
(a) the 10.25% Senior Notes of CCH II, LLC and CCH II Capital Corp. due 2010 issued
pursuant to the Indenture, dated as of September 23, 2003, among CCH II, LLC and CCH II
Capital Corp., as issuers, and Wells Fargo Bank, N.A., as trustee;
(b) the 10.25% Senior Notes of CCH II, LLC and CCH II Capital Corp. due 2010 issued
pursuant to the First Supplemental Indenture, dated as of January 30, 2006, among CCH II,
LLC and CCH II Capital Corp., as issuers, and Wells Fargo Bank, N.A., as trustee;
(c) the 10.25% Senior Notes of CCH II, LLC and CCH II Capital Corp. due 2010 issued
pursuant to the Second Supplemental Indenture, dated as of September 14, 2006, among CCH
II, LLC and CCH II Capital Corp., as issuers, and Wells Fargo Bank, N.A., as trustee;
(d) the 10.25% Senior Notes of CCH II, LLC and CCH II Capital Corp. due 2013 issued
pursuant to the Indenture, dated as of September 14, 2006, among CCH II, LLC and CCH II
Capital Corp., as issuers, CCH, as parent guarantor, and The Bank of New York Trust
Company, N.A., as trustee; and
(e) the 10.25% Senior Notes of CCH II, LLC and CCH II Capital Corp. due 2013 issued
pursuant to the First Supplemental Indenture, dated as of July 2, 2008, among CCH II, LLC
and CCH II Capital Corp., as issuers, CCH, as parent guarantor, and The Bank of New York
Mellon Trust Company, N.A., as trustee.
33. “CCH II Notes Claim” means any Claim against a Debtor by Holders of CCH II Notes
on account of CCH II Notes.
34. “CCHC” means CCHC, LLC.
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35. “CCHC Note” means the 14% Subordinated Accreting Note, dated as of October 31,
2005, issued by CCHC in favor of CII.
36. “CCI” means Charter Communications, Inc.
37. “CCI-CII Exchange Agreement” means the exchange agreement, dated as of November
12, 1999, by and among CCI, CII, Vulcan Cable III Inc. and Mr. Allen.
38. “CCI Notes” means:
(a) the 5.875% Convertible Senior Notes of CCI due 2009 issued pursuant to the
Indenture, dated as of November 22, 2004, among CCI and Wells Fargo Bank, N.A., as trustee;
and
(b) the 6.50% Convertible Senior Notes of CCI due 2027 issued pursuant to the
Indenture, dated as of October 2, 2007, among CCI and The Bank of New York Trust Company,
N.A., as trustee.
39. “CCI Notes Claim” means any Claim against CCI by Holders of CCI Notes on account
of CCI Notes.
40. “CCO” means Charter Communications Operating, LLC.
41. “CCO Credit Facility” means the Amended and Restated Credit Agreement, dated as of
March 18, 1999, as amended and restated on March 6, 2007, among CCO, CCOH, the several banks and
other financial institutions or entities from time to time parties thereto, J.P. Morgan Chase Bank,
N.A., as administrative agent, J.P. Morgan Chase Bank, N.A. and Bank of America, N.A., as
syndication agents, Citicorp North America, Inc., Deutsche Bank Securities Inc., General Electric
Capital Corporation and Credit Suisse Securities (USA) LLC, as revolving facility co-documentation
agents, and Citicorp North America, Inc., Credit Suisse Securities (USA) LLC, General Electric
Capital Corporation and Deutsche Bank Securities Inc., as term facility co-documentation agents.
42. “CCO Credit Facility Claim” means any Claim against CCO and any other obligors
under the CCO Credit Facility by Holders of the obligations under the CCO Credit Facility.
43. “CCO Notes” means:
(a) the 8% Senior Second Lien Notes of CCO and Charter Communications Operating
Capital Corp. due April 30, 2012 and the 8 3/8% Senior Second Lien Notes of CCO and Charter
Communications Operating Capital Corp. due April 30, 2014 issued pursuant to the Indenture,
dated as of April 27, 2004, among CCO and Charter Communications Operating Capital Corp.,
as issuers, each of the guarantors from time to time party thereto, as guarantors, and
Wells Fargo Bank, N.A., as trustee; and
(b) the 10.875% Senior Second Lien Notes of CCO and Charter Communications Operating
Capital Corp. due September 15, 2014 issued pursuant to the Indenture, dated as of March
19, 2008, among CCO and Charter Communications Operating Capital Corp., as issuers, each of
the guarantors from time to time party thereto, as guarantors, and Wilmington Trust
Company, as trustee.
44. “CCO Notes Claim” means any Claim against CCO, Charter Communications Operating
Capital Corp., and any other obligors under the CCO Notes by Holders of CCO Notes on account of the
CCO Notes.
45. “CCO Swap Agreements” means interest rate swaps entered into under ISDA Master
Agreements with counterparties who were at the time of the relevant transaction lenders or
affiliates of
lenders under the CCO Credit Facility and which constitute Specified Hedge Agreements under
the CCO Credit Facility and that share in the collateral pledged to the CCO Credit Facility
lenders.
46. “CCO Swap Agreements Claim” means any Claim against CCO by counterparties to CCO
Swap Agreements on account of CCO Swap Agreements.
5
47. “CCOH” means CCO Holdings, LLC.
48. “CCOH Credit Facility” means the Credit Agreement, dated as of March 6, 2007,
among CCOH, the several banks and other financial institutions or entities from time to time
parties thereto, Bank of America, N.A., as administrative agent, Banc of America Securities LLC and
J.P. Morgan Securities Inc., as co-syndication agents, and Citigroup Global Markets Inc., Credit
Suisse Securities (USA) LLC and Deutsche Bank Securities Inc., as co-documentation agents.
49. “CCOH Credit Facility Claim” means any Claim against CCOH and any other obligors
under the CCOH Credit Facility by Holders of the obligations under the CCOH Credit Facility.
50. “CCOH Notes” means the 8.75% Senior Notes of CCOH and CCO Holdings Capital Corp.
due November 15, 2013 issued pursuant to the Indenture, dated as of November 10, 2003, among CCOH
and CCO Holdings Capital Corp., as issuers, and Wells Fargo Bank, N.A., as trustee.
51. “CCOH Notes Claim” means any Claim against CCOH and/or CCO Holdings Capital Corp.
by Holders of CCOH Notes on account of CCOH Notes Claims.
52. “CEO” means the Reorganized Company’s Chief Executive Officer.
53. “Certificate” means any instrument evidencing a Claim or an Interest.
54. “Chapter 11 Cases” means (a) when used with reference to a particular Debtor, the
chapter 11 case Filed for that Debtor under chapter 11 of the Bankruptcy Code in the Bankruptcy
Court and (b) when used with reference to all Debtors, the procedurally consolidated chapter 11
cases for all of the Debtors.
55. “CIH” means CCH I Holdings, LLC.
56. “CIH Notes” means the following notes issued pursuant to the Indenture, dated as
of September 28, 2005, among CIH and CCH I Holdings Capital Corp., as issuers, CCH, as parent
guarantor, and The Bank of New York Trust Company, N.A., as trustee:
(a) 9.920% Senior Accreting Notes of CIH and CCH I Holdings Capital Corp. due April 1,
2014;
(b) 10.00% Senior Accreting Notes of CIH and CCH I Holdings Capital Corp. due May 15,
2014;
(c) 11.125% Senior Accreting Notes of CIH and CCH I Holdings Capital Corp. due January
15, 2014;
(d) 11.75% Senior Accreting Notes of CIH and CCH I Holdings Capital Corp. due May 15,
2014;
(e) 12.125% Senior Accreting Notes of CIH and CCH I Holdings Capital Corp. due January
15, 2015; and
(f) 13.50% Senior Accreting Notes of CIH and CCH I Holdings Capital Corp. due January
15, 2014.
57. “CIH Notes Claim” means any Claim against a Debtor by Holders of CIH Notes on
account of CIH Notes.
58. “CIH Warrants” means those Warrants issued to Holders of CIH Notes Claims, the
terms of which shall be set forth on Exhibit 8 to the Plan Supplement.
6
59. “CII” means Charter Investment, Inc.
60. “CII Settlement Claim” means any Claim or Interest held by a CII Settlement Claim
Party on the Effective Date against or in a Debtor (other than CII), which
(a) includes:
(i) 28,467,421 shares of Class A Common Stock of CCI (unless disposed of prior to the
Effective Date, subject to the restrictions on transfer in any order of the Bankruptcy
Court);
(ii) 10,000 vested options to acquire shares of Class A Common Stock of CCI;
(iii) 50,000 shares of Class B Common Stock of CCI;
(iv) 324,300,479 Class A Common
Units of Holdco;
(v) 14,831,552 Class C Common Units of Holdco;
(vi) rights under
the CCI-CII Exchange Agreement;
(vii) all Interests with respect to 7,282,183 CC
VIII Preferred Units;
(viii) the CCHC Note;
(ix) accrued and unpaid management fees owing to CII under the Management Agreement;
(x) rights under a letter agreement, dated as of September 21, 1999, by and among
Vulcan Ventures Inc. (an entity controlled by Mr. Allen), CCI, CII, and Holdco, which would
have granted Vulcan Ventures Inc. exclusive rights for carriage of up to eight digital
channels of each of the Debtors’ (other than CII) cable systems ;
(xi) rights under that certain consulting agreement, dated as of March 10, 1999, by
and among Vulcan Inc. (an entity controlled by Mr. Allen), CCI, and CCH, which provides for
payment of a fee to Vulcan Inc. for assistance with acquisitions made by CCI or CCH; and
(xii) any other Claim or Interest held by a CII Settlement Claim Party, including any
rejection damages Claims, other than Claims and Executory Contracts specifically or
categorically listed in clause (b) of this definition; but
(b) excludes:
(i) $70,650,000 principal amount of 9.920% Senior Discount Notes due 2014 (CUSIP No.
12501BAP9), $25,982,000 principal amount of 10.000% Senior Discount Notes due 2014 (CUSIP
No. 12501BAQ7), and $55,140,000 principal amount of 11.750% Senior Discount Notes due 2014
(CUSIP No. 12501BAR5), issued by CIH and CCH I Holdings Capital Corp.;
(ii) $47,278,000 principal amount of 11.000% Senior Notes due 2015 (CUSIP No.
12502BAE3), issued by CCH I and CCH I Capital Corp.;
(iii) any Executory Contract to which Digeo, Inc., Digeo Interactive, LLC, or any of
their subsidiaries is a party;
(iv) the Indemnification Agreement by and between Mr. Allen and CCI, dated as of
September 15, 2008; the Indemnification Agreement by and between Jo Allen Patton and CCI,
dated as of
7
September 15, 2008; and the Indemnification Agreement by and between W. Lance Conn and CCI,
dated as of September 15, 2008;
(v) any Executory Contract between the Debtors (other than CII) and a CII Settlement
Party that the Debtors assume, in consultation the Requisite Holders, which assumed
Executory Contracts (if any) shall be listed on an Exhibit to the Plan Supplement; and
(vi) any payment due for goods or services provided by a CII Settlement Party to the
Debtors (other than CII) between February 11, 2009 and the Effective Date.
61. “CII Settlement Claim Party” means: (a) Mr. Allen; (b) his estate, spouse,
immediate family members and heirs; (c) any trust in which Mr. Allen is the grantor or which is
created as a result of his death; (d) CII; and (e) any other Allen Entity which Mr. Allen or any of
the other persons or Entities identified in clauses (a) through (d) of this definition,
unilaterally or together with any other Allen Entity (directly or through agents), can legally bind
to a settlement, compromise and release of Claims and Interests against the applicable Debtors
under the Plan without authorization, consent or approval of any other person or Entity; provided,
however, that in no event shall “CII Settlement Claim Party” include any public company, including
without limitation, any Entity that has securities listed, quoted or traded on any securities
exchange.
62. “CII Settlement Claim Warrants” means those warrants issued to Mr. Allen (or his
designees) to purchase shares of New Class A Stock in an aggregate amount equal to 4% of the equity
value of the Reorganized Company, after giving effect to the Rights Offering, but prior to the
issuance of warrants and equity-based awards provided for by the Plan, the remaining terms of which
are set forth on Exhibit 9 to the Plan Supplement.
63. “CII Shareholder Claim” means any Claim against CII held by Mr. Allen.
64. “Claim” means any claim against a Debtor as defined in section 101(5) of the
Bankruptcy Code.
65. “Claims Register” means the official register of Claims and Interests maintained
by the Notice, Claims and Solicitation Agent.
66. “Class” means any group of substantially similar Claims or Interests classified by
the Plan pursuant to sections 1122 and 1123(a)(1) of the Bankruptcy Code.
67. “Collateral” means any property or interest in property of the estates of the
Debtors subject to a Lien, charge, or other encumbrance to secure the payment or performance of a
Claim, which Lien, charge or other encumbrance is not subject to avoidance or otherwise invalid
under the Bankruptcy Code or applicable state law.
68. “Commitment Fees” means the aggregate of the Equity Backstop Fee, the Rollover
Fee, and the New CCH II Notes Commitment Fee.
69. “Commitment Letters” means the letters executed between CCI, CCH I, CCH II and
CCO, on the one hand, and each of the New CCH II Notes Commitment Parties, on the other hand
(attached as Exhibit 10 to the Plan Supplement).
70. “Confirmation” means the entry of the Confirmation Order on the docket of the
Chapter 11 Cases.
71. “Confirmation Date” means the date upon which the Bankruptcy Court enters the
Confirmation Order on the docket of the Chapter 11 Cases.
72. “Confirmation Hearing” means the hearing conducted by the Bankruptcy Court
pursuant to section 1128(a) of the Bankruptcy Code to consider confirmation of the Plan, as such
hearing may be adjourned or continued from time to time.
8
73. “Confirmation Hearing Notice” means the notice of the Confirmation Hearing that
sets forth in detail the voting and objection deadlines with respect to the Plan.
74. “Confirmation Order” means the order of the Bankruptcy Court confirming the Plan
pursuant to, among others, section 1129 of the Bankruptcy Code.
75. “COO” means the Reorganized Company’s Chief Operating Officer.
76. “Creditor” means any Holder of a Claim.
77. “Creditors’ Committee” means the Official Committee of Unsecured Creditors
appointed in the Chapter 11 Cases by the United States Trustee for the Southern District of New
York on April 10, 2009 [Docket No. 136], with such additions and changes as may occur from time to
time.
78. “Crossover Committee” means the members of the unofficial committee of
unaffiliated holders of CCH I Notes and CCH II Notes.
79. “Cure” means the payment of Cash by the Debtors, or the distribution of other
property (as the applicable Debtors and the counterparty to the applicable Executory Contract may
agree or the Bankruptcy Court may order), as necessary to (a) cure a monetary default by the
Debtors in accordance with the terms of an Executory Contract of the Debtors and (b) permit the
Debtors to assume such Executory Contract under section 365(a) of the Bankruptcy Code.
80. “Cure Bar Date” means the deadline for filing requests for payment of Cure, which
shall be the later of: (a) thirty (30) days after the Effective Date or (b) thirty (30) days after
the assumption of the applicable Executory Contract, unless otherwise ordered by the Bankruptcy
Court or agreed to by the Debtors and the counterparty to the applicable Executory Contract.
81. “D&O Liability Insurance Policies” means all insurance policies for directors and
officers’ liability maintained by the Debtors as of the Petition Date.
82. “Debt Registration Rights Agreement” means the registration rights agreement
between Reorganized CCH II, on the one hand, and certain holders of New CCH II Notes, on the other
hand, attached as Exhibit 11 to the Plan Supplement.
83. “Debtor” means one of the Debtors, in its individual capacity as a debtor and
debtor in possession in the Chapter 11 Cases.
84. “Disclosure Statement” means the disclosure statement for the Plan, as amended,
supplemented or modified from time to time, that is prepared and distributed in accordance with
sections 1125, 1126(b) and 1145 of the Bankruptcy Code, Bankruptcy Rule 3018 and other applicable
law.
85. “Disputed Claim” means any Claim against or Interest in any Reorganized Debtor
which such Reorganized Debtor believes is unliquidated, disputed or contingent, and which has not
been allowed by Final Order of a court of competent jurisdiction or by agreement with such
Reorganized Debtor.
86. “Distribution Agent” means the Reorganized Debtors, or the Entity or Entities
chosen by the Reorganized Debtors to make or to facilitate distributions pursuant to the Plan.
87. “Distribution Date” means the date occurring as soon as reasonably practicable
after the Effective Date when distributions under the Plan shall commence, but not later than ten
days after the Effective Date, without further Bankruptcy Court order.
88. “Effective Date” means the date that all conditions to the effectiveness of the
Plan have been satisfied or waived.
9
89. “Eligible CCH I Notes Claim Holder” means each Holder of a CCH I Notes Claim on
the Rights Offering Record Date and any transferee of such Holder’s Rights as permitted under the
Rights Offering Documents, in each case that is a qualified institutional buyer as defined in Rule
144A under the Securities Act or an accredited investor as defined in Rule 501 under the Securities
Act and who has timely delivered an investor certificate certifying to that effect.
90. “Employment Agreements” means the employment agreements attached as Exhibit 12 to
the Plan Supplement.
91. “Entity” has the meaning set forth in section 101(15) of the Bankruptcy Code.
92. “Equity Backstop” means the obligations, several and not joint, of the Equity
Backstop Parties (in the respective amounts set forth on Annex E), as described in ARTICLE
IV.G.4(c)(iii) of the Plan and the Commitment Letters.
93. “Equity Backstop Fee” means the aggregate Equity Backstop commitment fee for the
use of capital set forth in the Commitment Letters.
94. “Equity Backstop Parties” means the members of the Crossover Committee who have
agreed, pursuant to their respective Commitment Letters, to provide the Equity Backstop.
95. “Equity Registration Rights Agreement” means the registration rights agreement
between Reorganized CCI, on the one hand, and certain holders of New Common Stock, on the other
hand, attached as Exhibit 13 to the Plan Supplement.
96. “Estate” means, as to each Debtor, the estate created for such Debtor in its
Chapter 11 Case pursuant to section 541 of the Bankruptcy Code.
97. “Excess Backstop” means the obligations, several and not joint, of the Excess
Backstop Parties, as described in ARTICLE IV.G.4(c)(iv) of the Plan, the Commitment Letters, and
the Excess Backstop Agreement.
98. “Excess Backstop Agreement” means the excess backstop agreement executed between
CCI, CCH I, CCH II and CCO, on the one hand, and each of the Excess Backstop Parties, on the other
hand (attached as Exhibit 14 to the Plan Supplement).
99. “Excess Backstop Party” means each Equity Backstop Party who committed to an
Equity Backstop in excess of the dollar amount corresponding to its Pro Rata Participation Amount,
the aggregate of which is set forth on Annex E.
100. “Exchange” means the exchange by existing Holders of CCH II Notes for New CCH II
Notes, as described in ARTICLE
IV.A.4(c)(i).
101. “Exchange Cutback” means, with respect to any existing Holder of CCH II Notes
electing to participate in the Exchange, the potential reduction of such Holder’s participation in
the Exchange, as described in the treatment section for Class H-4 of the Plan.
102. “Executory Contract” means a contract or lease to which one or more of the
Debtors is a party that is subject to assumption or rejection under sections 365 or 1123 of the
Bankruptcy Code.
103. “Exculpated Parties” means the Debtors, each party who signed a Plan Support
Agreement, and the Creditors’ Committee, and each of their respective members, officers, directors,
agents, financial advisors, attorneys, employees, partners, Affiliates and representatives.
104. “Federal Judgment Rate” means the federal judgment rate in effect on the
Petition Date.
10
105. “Fees” means the reasonable fees, costs or charges provided for under the
applicable agreement.
106. “Fee Payment Threshold” means $600 million minus the sum of (i) any Cash payment
of interest made during the Chapter 11 Cases on the CCH II Notes that are exchanged for New CCH II
Notes pursuant to the Exchange and (ii) any prepayment of indebtedness for borrowed money or Cash
redemption payment for New Preferred Stock after the Effective Date.
107. “File” means to file with the Bankruptcy Court in the Chapter 11 Cases, or in the
case of a Proof of Claim or Interest, to file with the Notice, Claims and Solicitation Agent.
108. “Final Order” means an order or judgment of the Bankruptcy Court, or other court
of competent jurisdiction with respect to the subject matter, as entered on the docket in any
Chapter 11 Case or the docket of any court of competent jurisdiction, that has not been reversed,
stayed, modified or amended, and as to which the time to appeal, or seek certiorari or move for a
new trial, reargument or rehearing has expired and no appeal or petition for certiorari or other
proceedings for a new trial, reargument or rehearing has been timely taken, or as to which any
appeal that has been taken or any petition for certiorari that has been timely Filed has been
withdrawn or resolved by the highest court to which the order or judgment was appealed or from
which certiorari was sought or the new trial, reargument or rehearing shall have been denied,
resulted in no modification of such order or has otherwise been dismissed with prejudice.
109. “General Unsecured Claim” means any and all Claims against any of the Debtors
that are not a/an (a) Administrative Expense Claim; (b) Professional Compensation and Reimbursement
Claim; (c) Priority Tax Claim; (d) Priority Non-Tax Claim; (e) Secured Claim; (f) Section 510(b)
Claim; (g) CCI Notes Claim; (h) CII Settlement Claim; (i) CII Shareholder Claim; (j) Holdco Notes
Claim; (k) CCH Notes Claim; (l) CIH Notes Claim; (m) CCH I Notes Claim; (n) CCH II Notes Claim; (o)
CCOH Credit Facility Claim; (p) CCOH Notes Claim; (q) CCO Credit Facility Claim; (r) CCO Swap
Agreements Claim; (s) CCO Notes Claim; or (t) Interest.
110. “Holdco” means Charter Communications Holding Company, LLC.
111. “Holdco LLC Agreement” means the Amended and Restated Limited Liability Company
Agreement for Holdco, a Delaware limited liability company, made and entered into effective as of
August 31, 2001.
112. “Holdco Notes” means:
(a) the 5.875% Mirror Convertible Senior Note of Holdco due November 16, 2009 issued
pursuant to the Holdco Mirror Notes Agreement, dated as of November 22, 2004, between CCI
and Holdco; and
(b) the 6.50% Mirror Convertible Senior Note of Holdco due October 1, 2027 issued
pursuant to the Holdco Mirror Notes Agreement, dated as of October 2, 2007, between CCI and
Holdco.
113. “Holdco Notes Claim” means any Claim against Holdco by the Holder of Holdco Notes
on account of Holdco Notes.
114. “Holder” means an Entity holding a Claim or Interest, as applicable.
115. “Impaired” means Claims in an Impaired Class.
116. “Impaired Class” means an Impaired Class within the meaning of section 1124 of
the Bankruptcy Code.
117. “Incentive Program” means the Charter Communications, Inc. Incentive Program
under the 2001 Stock Incentive Plan to provide incentives to certain management employees.
11
118. “Indemnification Obligation” means a Debtor’s obligation under an Executory
Contract or otherwise to indemnify directors, officers, or employees of such Debtor who served in
such capacity at any time, with respect to or based upon any act or omission taken or omitted in
any of such capacities, or for or on behalf of any Debtor, pursuant to and to the maximum extent
provided by the Debtor’s respective articles of incorporation, certificates of formation, bylaws,
similar corporate documents, and applicable law, as in effect as of the Effective Date.
119. “Interest” means any (a) equity Security in a Debtor, including all issued,
unissued, authorized or outstanding shares of stock together with any Warrants, equity-based awards
or contractual rights to purchase or acquire such equity Securities at any time and all rights
arising with respect thereto or (b) partnership, limited liability company or similar interest in a
Debtor.
120. “Interim Compensation Order” means the order entered pursuant to the Debtors’
Motion for an Order Under 11 U.S.C. §§ 105(a) and 331 Establishing Procedures for Interim
Compensation and Reimbursement of Expenses for Professionals, Filed on or about the Petition Date.
121. “Key Executives” means the Chief Financial Officer, Chief Marketing Officer,
Chief Technology Officer, General Counsel & Corporate Secretary, Chief Accounting Officer,
Treasurer, SVP—IT, SVP—Business Development, SVP—Customer Operations, SVP—Media,
President—West Division and President—East Division.
122. “Lien” has the meaning set forth in section 101(37) of the Bankruptcy Code.
123. “Local Bankruptcy Rules” means the Local Bankruptcy Rules for the Southern
District of New York.
124. “Lock-Up Agreement” means the lock-up agreement between the Reorganized Company
and Mr. Allen (attached as Exhibit 15 to the Plan Supplement).
125. “Management Agreement” means the Amended and Restated Management Agreement, dated
as of June 19, 2003, between CCO and CCI.
126. “Management Incentive Plan” means the stock incentive plan, attached as Exhibit
25 to the Plan Supplement, adopted by the CCI Board of Directors in 2009, that provides for grants
of various awards, including but not limited to: nonqualified stock options, incentive stock
options, stock appreciation rights, dividend equivalent rights, performance units and performance
shares, share awards, phantom stock, restricted stock units and restricted stock, cash payments or
any combination of the above. Under the Management Incentive Plan, the maximum number of shares
that may be granted to participants, subject to adjustment under certain circumstances, will equal
no less than three percent (3%) of the fully diluted New Class A Stock on the Effective Date.
127. “Mr. Allen” means Paul G. Allen.
128. “Mutual Services Agreement” means the Second Amended and Restated Mutual Services
Agreement, dated as of June 19, 2003, between CCI and Holdco.
129. “Net Proceeds” means the aggregate total Cash proceeds from the issuance of New
CCH II Notes pursuant to the New CCH II Notes Commitment (if any), the Rights Offering and the
Overallotment Option (if exercised).
130. “New CCH II Notes” means the new 13.5% Senior Notes of CCH II and CCH II Capital
Corp. to be issued pursuant to a new indenture in the form of Exhibit 16 to the Plan Supplement.
131. “New CCH II Notes Commitment” means the agreement by a New CCH II Notes
Commitment Party in its Commitment Letter.
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132. “New CCH II Notes Commitment Fee” means the Fee payable to the New CCH II
Commitment Parties with respect to the New CCH II Notes Commitment, as set forth in the Commitment
Letters.
133. “New CCH II Notes Commitment Parties” means the members of the Crossover
Committee listed on Annex D.
134. “New Class A Stock” means the new Class A common stock, par value $.001 per
share, of the Reorganized Company.
135. “New Class B Stock” means the new Class B common stock, par value $.001 per
share, of the Reorganized Company.
136. “New Common Stock” means, collectively, the New Class A Stock and New Class B
Stock.
137. “New Preferred Stock” means the Reorganized Company’s Series A 15% Pay-in-Kind
Preferred Stock, the terms of which are set forth on Exhibit A to the Amended and Restated
Certificate of Incorporation.
138. “New Value Consideration” means consideration contributed (directly or
indirectly) by CCI in exchange for Interests in certain Debtors remaining in place.
139. “New Value Interest” means interests in certain Reorganized Debtors purchased for
Cash or other consideration, as provided for in the Plan.
140. “Non-Released Parties” means those Entities (other than Releasing Parties)
identified in the Plan Supplement as Non-Released Parties.
141. “Notice, Claims and Solicitation Agent” means Kurtzman Carson Consultants LLC,
located at 2335 Alaska Avenue, El Segundo, California 90245, (888) 249-2792, retained as the
Debtors’ notice, claims and solicitation agent.
142. “Overallotment Option” means the option offered to the Excess Backstop Parties to
purchase additional shares of New Class A Stock pursuant to the Excess Backstop Agreement in an
aggregate amount equal to $400 million less the aggregate dollar amount of shares purchased
pursuant to the Excess Backstop.
143. “Per Share Purchase Price” means the Cash payment per share, reflecting a
discount of 25% to the Plan Value minus the Warrant Value per share, to be paid by each participant
in the Rights Offering and the Overallotment Option.
144. “Periodic Distribution Date” means the first Business Day that is as soon as
reasonably practicable occurring approximately ninety (90) days after the Distribution Date, and
thereafter, the first Business Day that is as soon as reasonably practicable occurring
approximately ninety (90) days after the immediately preceding Periodic Distribution Date.
145. “Person” means any individual, corporation, partnership, joint venture,
association, limited liability company, joint stock company, trust, unincorporated organization,
government or agency or political subdivision thereof or any other Entity.
146. “Petition Date” means the date on which the Debtors Filed their voluntary
petitions commencing these Chapter 11 Cases in the Bankruptcy Court.
147. “Plan” means this joint plan of reorganization, including the exhibits hereto or
contained in the Plan Supplement.
148. “Plan Support Agreement” means restructuring agreements, dated as of February 11,
2009, between certain Debtors (other than CII), on the one hand, and certain Holders of Claims, on
the other hand.
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149. “Plan Supplement” means the compilation of documents and forms of documents and
exhibits to the Plan Filed herewith, as supplemented or modified from time to time in accordance
with the terms hereof, the Bankruptcy Code and the Bankruptcy Rules.
150. “Plan Value” means $665 million.
151. “Post-Petition Interest” means with respect to:
(a) the CCO Credit Facility, accrued and unpaid interest pursuant to the CCO Credit
Facility from the Petition Date through the Effective Date, as determined by the Bankruptcy
Court to be required by section 1124 of the Bankruptcy Code;
(b) the CCO Swap Agreements, accrued and unpaid interest pursuant to the applicable
ISDA Master Agreements from the Petition Date through the Effective Date, as determined by
the Bankruptcy Court to be required;
(c) the CCO Notes, accrued and unpaid interest pursuant to the applicable indenture
from the Petition Date through the Effective Date, as determined by the Bankruptcy Court to
be required by section 1124 of the Bankruptcy Code;
(d) the CCOH Credit Facility, accrued and unpaid interest pursuant to the CCOH Credit
Facility from the Petition Date through the Effective Date, as determined by the Bankruptcy
Court to be required by section 1124 of the Bankruptcy Code;
(e) the CCOH Notes, accrued and unpaid interest pursuant to the applicable indenture
from the Petition Date through the Effective Date, as determined by the Bankruptcy Court to
be required by section 1124 of the Bankruptcy Code;
(f) the CCH II Notes, accrued and unpaid interest pursuant to the applicable indenture
from the Petition Date through the Effective Date, as determined by the Bankruptcy Court to
be required;
(g) Secured Claims, interest accruing on such Claims from the Petition Date through
the Effective Date at the rate set forth in the contracts or other applicable documents
giving rise to such Claims (to the extent lawful) or, if the applicable instruments do not
specify a rate of interest, at the Federal Judgment Rate as provided for in 28 U.S.C. §
1961 as in effect on the Petition Date; and
(h) General Unsecured Claims, interest accruing on such Claims from the Petition Date
through the Effective Date at the Federal Judgment Rate as provided for in 28 U.S.C. § 1961
as in effect on the Petition Date, to the extent entitled thereto.
152. “Priority Non-Tax Claims” means any and all Claims entitled to priority in
payment as specified in section 507(a)(4), (5), (6), or (7) of the Bankruptcy Code.
153. “Priority Tax Claims” mean any and all Claims of a governmental unit of the kind
specified in section 507(a)(8) of the Bankruptcy Code.
154. “Pro Rata” means the proportion that an Allowed Claim in a particular Class bears
to the aggregate amount of Allowed Claims in that Class, or the proportion that Allowed Claims in a
particular Class bear to the aggregate amount of Allowed Claims in that particular Class and in
other Classes entitled to share in the same recovery as such Allowed Claims under the Plan.
155. “Pro Rata Participation Amount” means, with respect to each Eligible CCH I Notes
Claim Holder, an amount expressed in shares of New Class A Stock equal to the product of (a) the
aggregate number of shares of New Class A Stock underlying Rights offered to all Eligible CCH I
Notes
Claim
Holders multiplied by (b) a fraction, the numerator of which is the principal amount of CCH I
Notes Claims held by such Eligible CCH I Notes
14
Claim Holder, and the denominator of which is the principal amount of CCH I Notes Claims held by
all Eligible CCH I Notes Claim Holders.
156. “Professional” means an Entity: (a) employed pursuant to a Bankruptcy Court order
in accordance with sections 327, 363 or 1103 of the Bankruptcy Code and to be compensated for
services rendered prior to or on the Confirmation Date, pursuant to sections 327, 328, 329, 330,
363 or 331 of the Bankruptcy Code or (b) awarded compensation and reimbursement by the Bankruptcy
Court pursuant to section 503(b)(4) of the Bankruptcy Code.
157. “Professional Compensation and Reimbursement Claim” means a Claim by a
Professional seeking an award by the Bankruptcy Court of compensation for services rendered or
reimbursement of expenses incurred through and including the Confirmation Date under sections 330,
331, 503(b)(2), 503(b)(3), 503(b)(4) or 503(b)(5) of the Bankruptcy Code.
158. “Professional Fee Escrow Account” means an interest-bearing account in an amount
equal to any Professional fee reserve amount funded and maintained by the Reorganized Debtors on
and after the Effective Date solely for the purpose of paying all Allowed and unpaid fees and
expenses of Professionals in the Chapter 11 Cases.
159. “Proof of Claim” means a proof of Claim Filed against any of the Debtors in the
Chapter 11 Cases.
160. “Rejection Damages Claim” means any Claim on account of the rejection of an
Executory Contract pursuant to section 365 of the Bankruptcy Code or the repudiation of such
contract.
161. “Releasing Parties” means (a) the Debtors, (b) the parties who signed Plan
Support Agreements with a Debtor, and (c) any statutory committees appointed in the Chapter 11
Cases.
162. “Reorganized CCH I” means CCH I after the Effective
Date.
163. “Reorganized CCH II” means CCH II after the Effective
Date.
164. “Reorganized CCO” means CCO after the Effective Date.
165. “Reorganized CII” means CII after the Effective Date.
166. “Reorganized Company” or “Reorganized CCI” means CCI after the Effective
Date.
167. “Reorganized Debtors” means, collectively, the Debtors after the Effective
Date.
168. “Reorganized Holdco” means Holdco after the Effective Date.
169. “Reorganized Holdco Exchange Agreement” means the exchange agreement among CCI,
CII, Holdco and Mr. Allen, attached as Exhibit 17 to the Plan Supplement.
170. “Reorganized Holdco LLC Agreement” means the Amended and Restated Limited
Liability Company Agreement of Reorganized Holdco, attached as Exhibit 18 to the Plan Supplement.
171. “Requisite Holders” means the members of the Crossover Committee holding a
majority in principal amount of the CCH I Notes held by all members of the Crossover Committee.
172. “Rights” means the rights to purchase New Class A Stock, as described in
ARTICLE G.4(c)(ii).
173. “Rights Offering” means the transaction described in ARTICLE VI.G.4(c), the terms
of which are set forth in the Rights Offering Documents, including without limitation the issuance
of shares to certain Holders of CCH I Notes Claims who are not Eligible CCH I Notes Claim Holders.
15
174. “Rights Offering Amount” means an amount equal to (a) $1.623 billion minus (b)
the excess, if any, of $450 million over the amount of the CCO Swap Agreements Claims.
175. “Rights Offering Documents” means the documents evidencing the offer and
procedures for the Rights Offering, which procedures shall be approved in connection with the
Bankruptcy Court’s approval of the Disclosure Statement and are attached as Exhibit 19 to the Plan
Supplement.
176. “Rights Offering Record Date” means April 17, 2009, 12 days prior to the date for
which the Disclosure Statement hearing was originally scheduled.
177. “Rollover Commitment” means the commitment of the Rollover Commitment Parties.
178. “Rollover Commitment Parties” means the members of the Crossover Committee listed
on Annex C.
179. “Rollover Fee” means an aggregate commitment fee for the use of capital, payable
in Cash, in an amount equal to 1.5% of the principal amount plus interest on CCH II Notes exchanged
by such Holder pursuant to the Exchange, as consideration for participating in the Exchange.
180. “Schedules” means the schedules of assets and liabilities, schedules of Executory
Contracts, and statement of financial affairs Filed by the Debtors pursuant to section 521 of the
Bankruptcy Code, the official bankruptcy forms, and the Bankruptcy Rules.
181. “Section 510(b) Claims” means any Claim arising from rescission of a purchase or
sale of a Security (including any Interest) of the Debtors, for damages arising from the purchase
or sale of such a Security, or for reimbursement or contribution allowed under section 502 of the
Bankruptcy Code on account of such Claim.
182. “Secured Claim” means, with respect to any Claim against any Debtor—other than
CCO Credit Facility Claims, CCO Swap Agreements Claims, CCO Notes Claims, CCOH Credit Facility
Claims, and CCH I Notes Claims—that portion, which, pursuant to section 506 of the Bankruptcy Code
is (a) secured by a valid, perfected, and enforceable security interest, Lien, mortgage or other
encumbrance, that is not subject to avoidance under applicable bankruptcy or nonbankruptcy law, in
or upon any right, title or interest of a Debtor in and to property of the relevant estate, to the
extent of the value of the Holder’s interest in such property as of the relevant determination date
or (b) Allowed as such pursuant to the terms of the Plan (subject to the occurrence of the
Effective Date).
183. “Securities Act” means the Securities Act of 1933, as amended.
184. “Security” means any instrument that qualifies under section 2(a)(1) of the
Securities Act.
185. “Servicer” means an indenture trustee, agent, servicer or other authorized
representative of Holders of Claims or Interests recognized by the Debtors.
186. “Specified Fees and Expenses” means the Allen Management Receivable, the Allen
Fee Reimbursement, the Commitment Fees, and payments due under the VCP.
187. “Target Amount” means $1.477 billion, plus accrued but unpaid interest to the
Petition Date plus Post-Petition Interest on exchanged CCH II Notes, but excluding any call
premiums or any prepayment penalties.
188. “Term Sheet” means the term sheet attached to the Plan Support Agreements and the
Commitment Letters, to which CCI, among others, is a party, dated as of February 11, 2009.
189. “Unclaimed Distribution” means any distribution under the Plan on account of an
Allowed Claim or Interest to a Holder that has not: (a) accepted a particular distribution or, in
the case of
distributions made by check, negotiated such check; (b) given notice to the Reorganized
Debtors of an intent to accept a particular
16
distribution; (c) responded to the Debtors’ or Reorganized Debtors’ requests for information
necessary to facilitate a particular distribution; or (d) taken any other action necessary to
facilitate such distribution.
190. “Unimpaired” has the meaning set forth in section 1124 of the Bankruptcy Code.
191. “VCP” means the Value Creation Plan adopted by CCI on March 12, 2009 and attached
as Exhibit 20 to the Plan Supplement.
192. “Warrant Value” means $53 million, subject to update upon Confirmation and with
the consent of the Requisite Holders.
193. “Warrants” means, collectively, the CIH Warrants, the CCH Warrants and the CII
Settlement Claim Warrants.
B. Rules of Interpretation. For purposes of the Plan:
1. whenever from the context it is appropriate, each term, whether stated in the singular or
the plural, shall include both the singular and the plural, and pronouns stated in the masculine,
feminine or neuter gender shall include the masculine, feminine, and the neuter gender;
2. unless otherwise specified, any reference in the Plan or Plan Supplement to a contract,
instrument, release, indenture, or other agreement or document being in a particular form or on
particular terms and conditions means that such document shall be substantially in such form or
substantially on such terms and conditions, except that any contract, instrument, release,
indenture, or other agreement or document attached as an exhibit to the Plan Supplement shall be in
the form attached, subject to technical amendments prior to the Effective Date to correct
ambiguities, inconsistencies or errors, as applicable;
3. unless otherwise specified, any reference in the Plan to an existing document or exhibit,
whether or not filed with the Bankruptcy Court, shall mean such document or exhibit, as it may have
been or may be amended, modified or supplemented in accordance with its terms;
4. any reference to an Entity as a Holder of a Claim or Interest includes that Entity’s
successors and assigns;
5. unless otherwise specified, all references in the Plan to ARTICLES are references to
ARTICLES of the Plan;
6. unless otherwise specified, all references in the Plan to exhibits are references to
exhibits in the Plan Supplement;
7. the words “herein,” “hereof,” and “hereto” refer to the Plan in its entirety rather than to
a particular portion of the Plan;
8. subject to the provisions of any contract, certificate of incorporation, bylaw, instrument,
release or other agreement or document entered into in connection with the Plan, the rights and
obligations arising pursuant to the Plan shall be governed by, and construed and enforced in
accordance with, applicable federal law, including the Bankruptcy Code and Bankruptcy Rules;
9. captions and headings of the Plan are inserted for convenience of reference only and are
not intended to be a part of or to affect the interpretation of the Plan;
10. unless otherwise set forth in the Plan, the rules of construction set forth in section 102
of the Bankruptcy Code shall apply;
17
11. any term used in capitalized form in the Plan that is not otherwise defined but that is
used in the Bankruptcy Code or the Bankruptcy Rules shall have the meaning assigned to such term in
the Bankruptcy Code or the Bankruptcy Rules, as applicable;
12. all references to docket numbers of documents Filed in the Chapter 11 Cases are references
to the docket numbers under the Bankruptcy Court’s CM/ECF system;
13. all references to statutes, regulations, orders, rules of courts, and the like shall mean
as amended from time to time, as applicable to the Chapter 11 Cases, unless otherwise stated; and
14. any immaterial effectuating provisions may be interpreted by the Reorganized Debtors after
the Effective Date in such a manner that is consistent with the overall purpose and intent of the
Plan, all without further Bankruptcy Court order.
C. Computation of Time: In computing any period of time prescribed or allowed by the Plan, the
provisions of Bankruptcy Rule 9006(a) shall apply.
18
ARTICLE II.
ADMINISTRATIVE AND PRIORITY CLAIMS
In accordance with section 1123(a)(1) of the Bankruptcy Code, Administrative Expense Claims
and Priority Tax Claims have not been classified and thus are excluded from the Classes of Claims
set forth in ARTICLE III. Notwithstanding anything to the contrary herein, the CII Settlement
Claim shall not be a Claim designated in this ARTICLE II.
A. Administrative Expense Claims. Except with respect to Administrative Expense Claims
that are Professional Compensation and Reimbursement Claims and except to the extent that a Holder
of an Allowed Administrative Expense Claim and the applicable Debtors agree to less favorable
treatment to such Holder, each Holder of an Allowed Administrative Expense Claim shall be paid in
full in Cash on the later of the Distribution Date under the Plan, the date such Administrative
Expense Claim is Allowed, and the date such Allowed Administrative Expense Claim becomes due and
payable, or as soon thereafter as is practicable; provided, however, that Allowed Administrative
Expense Claims that arise in the ordinary course of the Debtors’ business shall be paid in full in
the ordinary course of business in accordance with the terms and subject to the conditions of any
agreements governing, instruments evidencing, or other documents relating to, such transactions.
B. Professional Compensation and Reimbursement Claims. Except as provided in ARTICLE II.A
hereof, all Entities seeking awards by the Bankruptcy Court of compensation for services rendered
or reimbursement of expenses incurred through and including the Confirmation Date under sections
330, 331, 503(b)(2), 503(b)(3), 503(b)(4) or 503(b)(5) of the Bankruptcy Code shall (1) File, on or
before the date that is ninety (90) days after the Effective Date, their respective applications
for final allowances of compensation for services rendered and reimbursement of expenses incurred
and (2) be paid in full, in Cash, in such amounts as are Allowed by the Bankruptcy Court in
accordance with the order relating to or Allowing any such Administrative Expense Claim. The
Reorganized Debtors are authorized to pay compensation for Professional services rendered and
reimbursement of expenses incurred after the Confirmation Date in the ordinary course and without
the need for Bankruptcy Court approval.
C. Priority Tax Claims. Each Holder of an Allowed Priority Tax Claim shall receive, on the
Distribution Date or such later date as such Allowed Priority Tax Claim becomes due and payable, at
the option of the Debtors, one of the following treatments on account of such Claim: (1) Cash in an
amount equal to the amount of such Allowed Priority Tax Claim; or (2) such other treatment as may
be agreed to by such Holder and the applicable Debtors or otherwise determined upon an order of the
Bankruptcy Court.
19
ARTICLE III.
CLASSIFICATION OF CLAIMS AND INTERESTS
Pursuant to section 1122 of the Bankruptcy Code, set forth below is a designation of Classes
of Claims against and Interests in the Debtors. A Claim or Interest is placed in a particular Class
for the purposes of voting on the Plan and receiving distributions pursuant to the Plan only to the
extent that such Claim or Interest is an Allowed Claim or an Allowed Interest in that Class and
such Claim or Interest has not been paid, released or otherwise settled prior to the Effective
Date. Notwithstanding anything to the contrary herein, the CII Settlement Claim shall not be a
Claim or Interest designated in this ARTICLE III.
A. CCI
1. Class A-1 shall consist of all Priority Non-Tax Claims that may exist against
CCI.
2. Class A-2 shall consist of all Secured Claims that may exist against CCI.
3. Class A-3 shall consist of all General Unsecured Claims that may exist
against CCI.
4. Class A-4 shall consist of CCI Notes Claims.
5. Class A-5 shall consist of all Section 510(b) Claims that may exist against CCI other than
all 510(b) Claims against CCI held by any CII Settlement Claim Party.
6. Class A-6 shall consist of all Interests in CCI other than all Interests in CCI held by any
CII Settlement Claim Party.
B. CII
1. Class B-1 shall consist of all Priority Non-Tax Claims that may exist against
CII.
2. Class B-2 shall consist of all Secured Claims that may exist against CII.
3. Class B-3 shall consist of all General Unsecured Claims that may exist
against CII.
4. Class B-4 shall consist of CII Shareholder Claims.
C. Holdco, Enstar Communications Corporation, and Charter Gateway, LLC
1. Class C-1 shall consist of all Priority Non-Tax Claims that may exist against Holdco,
Enstar Communications Corporation, and Charter Gateway, LLC.
2. Class C-2 shall consist of all Secured Claims that may exist against Holdco, Enstar
Communications Corporation, and Charter Gateway, LLC.
3. Class C-3 shall consist of all General Unsecured Claims that may exist against Holdco,
Enstar Communications Corporation, and Charter Gateway, LLC.
4. Class C-4 shall consist of Holdco Notes Claims.
5. Class C-5 shall consist of all Section 510(b) Claims that may exist against
Holdco, Enstar Communications Corporation, and Charter Gateway, LLC.
6. Class C-6 shall consist of all Interests in Holdco, Enstar Communications Corporation, and
Charter Gateway, LLC other than all Interests in Holdco held by any CII Settlement Claim Party.
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D. CCHC
1. Class D-1 shall consist of all Priority Non-Tax Claims that may exist against
CCHC.
2. Class D-2 shall consist of all Secured Claims that may exist against CCHC.
3. Class D-3 shall consist of all General Unsecured Claims that may exist
against CCHC.
4. Class D-4 shall consist of all Section 510(b) Claims that may exist against
CCHC.
5. Class D-5 shall consist of all Interests in CCHC.
E. CCH and Charter Communications Holdings Capital Corp.
1. Class E-1 shall consist of all Priority Non-Tax Claims that may exist against CCH and
Charter Communications Holdings Capital Corp.
2. Class E-2 shall consist of all Secured Claims that may exist against CCH and Charter
Communications Holdings Capital Corp.
3. Class E-3 shall consist of all General Unsecured Claims that may exist against CCH and
Charter Communications Holdings Capital Corp.
4. Class E-4 shall consist of CCH Notes Claims.
5. Class E-5 shall consist of all Section 510(b) Claims that may exist against CCH and Charter
Communications Holdings Capital Corp.
6. Class E-6 shall consist of all Interests in CCH and Charter Communications Holdings Capital
Corp.
F. CIH and CCH I Holdings Capital Corp.
1. Class F-1 shall consist of all Priority Non-Tax Claims that may exist against CIH and CCH I
Holdings Capital Corp.
2. Class F-2 shall consist of all Secured Claims that may exist against CIH and CCH I Holdings
Capital Corp.
3. Class F-3 shall consist of all General Unsecured Claims that may exist against CIH and CCH
I Holdings Capital Corp.
4. Class F-4 shall consist of CIH Notes Claims.
5. Class F-5 shall consist of all Section 510(b) Claims that may exist against CIH and CCH I
Holdings Capital Corp.
6. Class F-6 shall consist of all Interests in CIH and CCH I Holdings Capital
Corp.
G. CCH I and CCH I Capital Corp.
1. Class G-1 shall consist of all Priority Non-Tax Claims that may exist against CCH I and CCH
I Capital Corp.
21
2. Class G-2 shall consist of all Secured Claims that may exist against CCH I and CCH I
Capital Corp.
3. Class G-3 shall consist of all General Unsecured Claims that may exist against CCH I and
CCH I Capital Corp.
4. Class G-4 shall consist of CCH I Notes Claims.
5. Class G-5 shall consist of all Section 510(b) Claims that may exist against CCH I and CCH I
Capital Corp.
6. Class G-6 shall consist of all Interests in CCH I and CCH I Capital Corp.
H. CCH II and CCH II Capital Corp.
1. Class H-1 shall consist of all Priority Non-Tax Claims that may exist against CCH II and
CCH II Capital Corp.
2. Class H-2 shall consist of all Secured Claims that may exist against CCH II and CCH II
Capital Corp.
3. Class H-3 shall consist of all General Unsecured Claims that may exist against CCH II and
CCH II Capital Corp.
4. Class H-4 shall consist of CCH II Notes Claims.
5. Class H-5 shall consist of all Section 510(b) Claims that may exist against CCH II and CCH
II Capital Corp.
6. Class H-6 shall consist of all Interests in CCH II and CCH II Capital Corp.
I. CCOH and CCO Holdings Capital Corp.
1. Class I-1 shall consist of CCOH Credit Facility Claims.
2. Class I-2 shall consist of CCOH Notes Claims.
3. Class I-3 shall consist of all Priority Non-Tax Claims that may exist against CCOH and CCO
Holdings Capital Corp.
4. Class I-4 shall consist of all Secured Claims that may exist against CCOH and CCO Holdings
Capital Corp.
5. Class I-5 shall consist of all General Unsecured Claims that may exist against CCOH and CCO
Holdings Capital Corp.
6. Class I-6 shall consist of all Interests in CCOH and CCO Holdings Capital
Corp.
22
J. CCO (and its direct and indirect subsidiaries)
The classifications set forth in Classes J-4 to J-9 shall be deemed to apply to CCO and each of its
direct and indirect subsidiaries.2
1. Class J-1 shall consist of CCO Credit Facility Claims.
2. Class J-2 shall consist of CCO Swap Agreements Claims.
3. Class J-3 shall consist of CCO Notes Claims.
4. Class J-4 shall consist of all Priority Non-Tax Claims that may exist against CCO and its
direct and indirect subsidiaries.
5. Class J-5 shall consist of all Secured Claims that may exist against CCO and its direct and
indirect subsidiaries.
6. Class J-6 shall consist of all General Unsecured Claims that may exist against CCO and its
direct and indirect subsidiaries.
7. Class J-7 shall consist of all Interests in CCO and its direct and indirect subsidiaries
(other than CC VIII Preferred Units held by a CII Settlement Claim Party).
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For the avoidance of doubt, Classes J-4 to J-7 shall apply to the Debtors listed on Exhibit
21 to the Plan Supplement. |
23
ARTICLE IV.
TREATMENT OF CLAIMS AND INTERESTS
To the extent a Class contains Allowed Claims or Interests with respect to a particular
Debtor, the treatment provided to each Class for distribution purposes is specified below. For the
avoidance of doubt, notwithstanding any other provision of the Plan, (a) CII shall not be liable
for any payment or distributions on account of Claims, Interests or amounts to be paid or owing by
or other obligations of any kind of the Debtors (other than CII) under or in connection with the
Plan and (b) the Debtors other than CII shall not be liable for any payment or distributions on
account of Claims, Interest of amounts to be paid or owing by or other obligations of any kind of
CII under or in connection with the Plan (other than the CII Settlement Claim).
A. CCI
1. Class A-1: Priority Non-Tax Claims
(a) Classification. Class A-1 consists of all Priority Non-Tax Claims that may exist
against CCI.
(b) Impairment and Voting. Class A-1 is Unimpaired by the Plan. Each Holder of an
Allowed Priority Non-Tax Claim against CCI is not entitled to vote to accept or reject the Plan and
shall be deemed conclusively to have accepted the Plan.
(c) Distributions. Except to the extent that a Holder of an Allowed Priority Non-Tax Claim
against CCI and the applicable Debtors agree to less favorable treatment to such Holder, each
Holder of such Allowed Priority Non-Tax Claim shall be paid in full in Cash, plus Post-Petition
Interest, on the later of the Distribution Date, the date such Priority Non-Tax Claim is Allowed
and the date such Allowed Priority Non-Tax Claim becomes due and payable, or as soon thereafter as
is practicable; provided, however, that Priority Non-Tax Claims that arise in the ordinary course
of the Debtors’ business and which are not due and payable on or before the Effective Date shall be
paid in the ordinary course of business in accordance with the terms thereof.
2. Class A-2: Secured Claims
(a) Classification. Class A-2 consists of all Secured Claims that may exist
against CCI.
(b) Impairment and Voting. Class A-2 is Unimpaired by the Plan. Each Holder of an
Allowed Secured Claim against CCI is not entitled to vote to accept or reject the Plan and shall be
deemed conclusively to have accepted the Plan.
(c) Distributions. Except to the extent that a Holder of an Allowed Secured Claim
against CCI and the applicable Debtors agree to less favorable treatment to such Holder, at the
sole option of the Debtors, (i) each Allowed Secured Claim against CCI shall be reinstated and
rendered Unimpaired in accordance with section 1124 of the Bankruptcy Code, (ii) each Holder of an
Allowed Secured Claim against CCI shall be paid in full in Cash, plus Post-Petition Interest, on
the later of the Distribution Date and the date such Secured Claim becomes an Allowed Secured
Claim, or as soon thereafter as is practicable or (iii) each Holder of an Allowed Secured Claim
against CCI shall receive the collateral securing its Allowed Secured Claim, plus Post-Petition
Interest, on the later of the Distribution Date and the date such Secured Claim becomes an Allowed
Secured Claim, or as soon thereafter as is practicable.
| |
3. Class A-3: General Unsecured Claims |
(a) Classification. Class A-3 consists of all General Unsecured Claims that may exist
against CCI other than all General Unsecured Claims against CCI held by any CII Settlement Claim
Party.
(b) Impairment and Voting. Class A-3 is Impaired by the Plan. Each Holder of an
Allowed General Unsecured Claim against CCI is entitled to vote to accept or reject the Plan.
24
(c) Distributions. Except to the extent that a Holder of an Allowed General Unsecured
Claim against CCI and the applicable Debtors agree to less favorable treatment to such Holder, at
the sole option of the Debtors, (i) each Allowed General Unsecured Claim against CCI shall be
reinstated and rendered Unimpaired in accordance with section 1124 of the Bankruptcy Code, or (ii)
each Holder of an Allowed General Unsecured Claim against CCI shall be paid in full in Cash on the
Distribution Date or as soon thereafter as is practicable.
4. Class A-4: CCI Notes Claims
(a) Classification. Class A-4 consists of all CCI Notes Claims.
(b) Impairment and Voting. Class A-4 is Impaired by the Plan. Each Holder of an Allowed CCI
Notes Claim is entitled to vote to accept or reject the Plan.
(c) Distributions. The CCI Notes Claims shall be deemed Allowed in the aggregate
amount of $497,489,463. On the Distribution Date, each Holder of an Allowed CCI Notes Claim shall
receive its Pro Rata share of (i) New Preferred Stock and (ii) Cash in an aggregate amount equal to
$24,549,331.
5. Class A-5: Section 510(b) Claims
(a) Classification. Class A-5 consists of all Section 510(b) Claims that may exist
against CCI other than all Section 510(b) Claims against CCI held by any CII Settlement Claim
Party.
(b) Impairment and Voting. Class A-5 is Impaired by the Plan. Each Holder of a Section
510(b) Claim against CCI is not entitled to vote to accept or reject the Plan and shall be deemed
conclusively to have rejected the Plan.
(c) Distributions. Section 510(b) Claims shall be cancelled, released, and extinguished and
the Holders of Section 510(b) Claims shall receive no distribution under the Plan on account of
such Claims.
6. Class A-6: Interests
(a) Classification. Class A-6 consists of all Interests in CCI other than all
Interests in CCI held by any CII Settlement Claim Party.
(b) Impairment and Voting. Class A-6 is Impaired by the Plan. Each Holder of an
Interest in CCI is not entitled to vote to accept or reject the Plan and shall be deemed
conclusively to have rejected the Plan.
(c) Distributions. Interests in CCI, whether represented by stock, preferred share
purchase rights or otherwise, shall be cancelled, released, and extinguished and the Holders of
such Interests shall receive no distribution under the Plan on account thereof.
B. CII
1. Class B-1: Priority Non-Tax Claims
(a) Classification. Class B-1 consists of all Priority Non-Tax Claims that may exist
against CII.
(b) Impairment and Voting. Class B-1 is Unimpaired by the Plan. Each Holder of an
Allowed Priority Non-Tax Claim against CII is not entitled to vote to accept or reject the Plan and
shall be deemed conclusively to have accepted the Plan.
(c) Distributions. Except to the extent that a Holder of an Allowed Priority Non-Tax
Claim against CII and the applicable Debtors agree to less favorable treatment to such Holder, each
Holder of such Allowed Priority Non-Tax Claim shall be paid in full in Cash, plus Post-Petition
Interest, on the later of the
25
Distribution Date under the Plan, the date such Priority Non-Tax Claim is Allowed, and the date
such Allowed Priority Non-Tax Claim becomes due and payable, or as soon thereafter as is
practicable; provided, however, that Priority Non-Tax Claims that arise in the ordinary course of
business and which are not due and payable on or before the Effective Date shall be paid in the
ordinary course of business in accordance with the terms thereof.
2. Class B-2: Secured Claims
(a) Classification. Class B-2 consists of all Secured Claims that may exist
against CII.
(b) Impairment and Voting. Class B-2 is Unimpaired by the Plan. Each Holder of an
Allowed Secured Claim against CII is not entitled to vote to accept or reject the Plan and shall be
deemed conclusively to have accepted the Plan.
(c) Distributions. Except to the extent that a Holder of an Allowed Secured Claim
against CII and the applicable Debtors agree to less favorable treatment to such Holder, at the
sole option of CII, (i) each Allowed Secured Claim against CII shall be reinstated and rendered
Unimpaired in accordance with section 1124 of the Bankruptcy Code, (ii) each Holder of an Allowed
Secured Claim against CII shall be paid in full in Cash, plus Post-Petition Interest, on the later
of the Distribution Date under the Plan and the date such Secured Claim becomes an Allowed Secured
Claim, or as soon thereafter as is practicable or (iii) each Holder of an Allowed Secured Claim
against CII shall receive the collateral securing its Allowed Secured Claim, plus Post-Petition
Interest, on the later of the Distribution Date under the Plan and the date such Secured Claim
becomes an Allowed Secured Claim, or as soon thereafter as is practicable.
3. Class B-3: General Unsecured Claims
(a) Classification. Class B-3 consists of all General Unsecured Claims that may exist
against CII.
(b) Impairment and Voting. Class B-3 is Impaired by the Plan. Each Holder of an
Allowed General Unsecured Claim against CII is entitled to vote to accept or reject the Plan.
(c) Distributions. Except to the extent that a Holder of an Allowed General Unsecured
Claim against CII and the applicable Debtors agree to less favorable treatment to such Holder, at
the sole option of the applicable Debtors, (i) each Allowed General Unsecured Claim against CII
shall be reinstated and rendered Unimpaired in accordance with section 1124 of the Bankruptcy Code
or (ii) each Holder of an Allowed General Unsecured Claim against CII shall be paid in full in Cash
on the Distribution Date or as soon thereafter as is practicable.
4. Class B-4: CII Shareholder Claims
(a) Classification. Class B-4 consists of CII Shareholder Claims.
(b) Impairment and Voting. Class B-4 is Impaired by the Plan. The Holder of an Allowed CII
Shareholder Claim is entitled to vote to accept or reject the Plan.
(c) Distributions. The Holder of Allowed CII Shareholder Claims shall receive 100,000
newly issued shares of Class A Voting Common Stock of Reorganized CII on the Effective Date.
26
C. Holdco, Enstar Communications Corporation, and Charter Gateway, LLC
1. Class C-1: Priority Non-Tax Claims
(a) Classification. Class C-1 consists of all Priority Non-Tax Claims that may exist
against Holdco, Enstar Communications Corporation, and Charter Gateway, LLC.
(b) Impairment and Voting. Class C-1 is Unimpaired by the Plan. Each Holder of an
Allowed Priority Non-Tax Claim against Holdco, Enstar Communications Corporation, and Charter
Gateway, LLC is not entitled to vote to accept or reject the Plan and shall be deemed conclusively
to have accepted the Plan.
(c) Distributions. Except to the extent that a Holder of an Allowed Priority Non-Tax
Claim against Holdco, Enstar Communications Corporation, and Charter Gateway, LLC and the
applicable Debtors agree to less favorable treatment to such Holder, each Holder of such Allowed
Priority Non-Tax Claim shall be paid in full in Cash, plus Post-Petition Interest, on the later of
the Distribution Date, the date such Priority Non-Tax Claim is Allowed and the date such Allowed
Priority Non-Tax Claim becomes due and payable, or as soon thereafter as is practicable; provided,
however, that Priority Non-Tax Claims that arise in the ordinary course of the Debtors’ business
and which are not due and payable on or before the Effective Date shall be paid in the ordinary
course of business in accordance with the terms thereof.
2. Class C-2: Secured Claims
(a) Classification. Class C-2 consists of all Secured Claims that may exist against
Holdco, Enstar Communications Corporation, and Charter Gateway, LLC.
(b) Impairment and Voting. Class C-2 is Unimpaired by the Plan. Each Holder of an
Allowed Secured Claim against Holdco, Enstar Communications Corporation, and Charter Gateway, LLC
is not entitled to vote to accept or reject the Plan and shall be deemed conclusively to have
accepted the Plan.
(c) Distributions. Except to the extent that a Holder of an Allowed Secured Claim
against Holdco, Enstar Communications Corporation, and Charter Gateway, LLC and the applicable
Debtors agree to less favorable treatment to such Holder, at the sole option of the Debtors, (i)
each Allowed Secured Claim against Holdco, Enstar Communications Corporation, and Charter Gateway,
LLC shall be reinstated and rendered Unimpaired in accordance with section 1124 of the Bankruptcy
Code, (ii) each Holder of an Allowed Secured Claim against Holdco, Enstar Communications
Corporation, and Charter Gateway, LLC shall be paid in full in Cash, plus Post-Petition Interest,
on the later of the Distribution Date and the date such Secured Claim becomes an Allowed Secured
Claim, or as soon thereafter as is practicable or (iii) each Holder of an Allowed Secured Claim
against Holdco, Enstar Communications Corporation, and Charter Gateway, LLC shall receive the
collateral securing its Allowed Secured Claim, plus Post-Petition Interest, on the later of the
Distribution Date and the date such Secured Claim becomes an Allowed Secured Claim, or as soon
thereafter as is practicable.
3. Class C-3: General Unsecured Claims
(a) Classification. Class C-3 consists of all General Unsecured Claims that may exist
against Holdco, Enstar Communications Corporation, and Charter Gateway, LLC.
(b) Impairment and Voting. Class C-3 is Impaired by the Plan. Each Holder of an
Allowed General Unsecured Claim against Holdco, Enstar Communications Corporation, and Charter
Gateway, LLC is entitled to vote to accept or reject the Plan.
(c) Distributions. Except to the extent that a Holder of an Allowed General Unsecured
Claim against Holdco, Enstar Communications Corporation, and Charter Gateway, LLC and the
applicable Debtors agree to less favorable treatment to such Holder, at the sole option of the
Debtors, (i)
each Allowed General Unsecured Claim against Holdco, Enstar Communications Corporation, and
Charter Gateway, LLC shall be reinstated and rendered Unimpaired in accordance with section 1124 of
the Bankruptcy Code or (ii) each Holder of
27
an Allowed General Unsecured Claim against Holdco, Enstar Communications Corporation, and Charter
Gateway, LLC shall be paid in full in Cash on the Distribution Date or as soon thereafter as is
practicable.
4. Class C-4: Holdco Notes Claims
(a) Classification. Class C-4 consists of Holdco Notes Claims.
(b) Impairment and Voting. Class C-4 is Impaired by the Plan. Each Holder of an
Allowed Holdco Notes Claim is entitled to vote to accept or reject the Plan.
(c) Distributions. The Holdco Notes Claims shall be Allowed in the aggregate amount of
$497,489,463. The aggregate amount distributed under the Plan on account of Class C-4 Allowed
Holdco Notes Claims shall be consideration equal to $19,549,331, which consideration shall be
distributed as set forth in Class A-4 as CCI is the sole Holder of Holdco Notes Claims.
5. Class C-5: Section 510(b) Claims
(a) Classification. Class C-5 consists of all Section 510(b) Claims that may exist
against Holdco, Enstar Communications Corporation, and Charter Gateway, LLC.
(b) Impairment and Voting. Class C-5 is Impaired by the Plan. Each Holder of a Section
510(b) Claim against Holdco, Enstar Communications Corporation, and Charter Gateway, LLC is not
entitled to vote to accept or reject the Plan and shall be deemed conclusively to have rejected the
Plan.
(c) Distributions. Section 510(b) Claims shall be cancelled, released, and
extinguished and the Holders of Section 510(b) Claims shall receive no distribution under the Plan
on account of such Claims.
6. Class C-6: Interests
(a) Classification. Class C-6 consists of all Interests in Holdco, Enstar
Communications Corporation, and Charter Gateway, LLC other than all Interests in Holdco held by any
CII Settlement Claim Party.
(b) Impairment and Voting. Class C-6 is Impaired by the Plan. Each Holder of an
Allowed Interest against Holdco, Enstar Communications Corporation, and Charter Gateway, LLC is not
entitled to vote to accept or reject the Plan and shall be deemed conclusively to have rejected the
Plan.
(c) Distributions. Interests in Holdco, Enstar Communications Corporation, and
Charter Gateway, LLC shall remain in place in exchange for New Value Consideration in the amount of
$2,000,000 to be contributed by CCI from the Rights Offering.
D. CCHC
1. Class D-1: Priority Non-Tax Claims
(a) Classification. Class D-1 consists of all Priority Non-Tax Claims that may exist
against CCHC.
(b) Impairment and Voting. Class D-1 is Unimpaired by the Plan. Each Holder of an
Allowed Priority Non-Tax Claim against CCHC is not entitled to vote to accept or reject the Plan
and shall be deemed conclusively to have accepted the Plan.
(c) Distributions. Except to the extent that a Holder of an Allowed Priority Non-Tax
Claim against CCHC and the applicable Debtors agree to less favorable treatment to such Holder,
each Holder of such Allowed Priority Non-Tax Claim shall be paid in full in Cash, plus
Post-Petition Interest, on
the later of the Distribution Date, the date such Priority Non-Tax Claim is Allowed and the
date such Allowed Priority Non-Tax
28
Claim becomes due and payable, or as soon thereafter as is practicable; provided, however, that
Priority Non-Tax Claims that arise in the ordinary course of the Debtors’ business and which are
not due and payable on or before the Effective Date shall be paid in the ordinary course of
business in accordance with the terms thereof.
2. Class D-2: Secured Claims
(a) Classification. Class D-2 consists of all Secured Claims that may exist
against CCHC.
(b) Impairment and Voting. Class D-2 is Unimpaired by the Plan. Each Holder of an
Allowed Secured Claim against CCHC is not entitled to vote to accept or reject the Plan and shall
be deemed conclusively to have accepted the Plan.
(c) Distributions. Except to the extent that a Holder of an Allowed Secured Claim
against CCHC and the applicable Debtors agree to less favorable treatment to such Holder, at the
sole option of the Debtors, (i) each Allowed Secured Claim against CCHC shall be reinstated and
rendered Unimpaired in accordance with section 1124 of the Bankruptcy Code, (ii) each Holder of an
Allowed Secured Claim against CCHC shall be paid in full in Cash, plus Post-Petition Interest, on
the later of the Distribution Date and the date such Secured Claim becomes an Allowed Secured
Claim, or as soon thereafter as is practicable or (iii) each Holder of an Allowed Secured Claim
against CCHC shall receive the collateral securing its Allowed Secured Claim, plus Post-Petition
Interest, on the later of the Distribution Date and the date such Secured Claim becomes an Allowed
Secured Claim, or as soon thereafter as is practicable.
3. Class D-3: General Unsecured Claims
(a) Classification. Class D-3 consists of all General Unsecured Claims that may exist
against CCHC other than all General Unsecured Claims against CCHC held by any CII Settlement Claim
Party.
(b) Impairment and Voting. Class D-3 is Impaired by the Plan. Each Holder of an
Allowed General Unsecured Claim against CCHC is entitled to vote to accept or reject the Plan.
(c) Distributions. Except to the extent that a Holder of an Allowed General Unsecured
Claim against CCHC and the applicable Debtors agree to less favorable treatment to such Holder, at
the sole option of the Debtors, (i) each Allowed General Unsecured Claim against CCHC shall be
reinstated and rendered Unimpaired in accordance with section 1124 of the Bankruptcy Code, or (ii)
each Holder of an Allowed General Unsecured Claim against CCHC shall be paid in full in Cash on the
Distribution Date or as soon thereafter as is practicable.
4. Class D-4: Section 510(b) Claims
(a) Classification. Class D-4 consists of all Section 510(b) Claims that may exist
against CCHC.
(b) Impairment and Voting. Class D-4 is Impaired by the Plan. Each Holder of a Section
510(b) Claim against CCHC is not entitled to vote to accept or reject the Plan and shall be deemed
conclusively to have rejected the Plan.
(c) Distributions. Section 510(b) Claims shall be cancelled, released and extinguished
and the Holders of Section 510(b) Claims shall receive no distribution under the Plan on account of
such Claims.
(a) Classification. Class D-5 consists of all Interests in CCHC.
29
(b) Impairment and Voting. Class D-5 is Impaired by the Plan. Each Holder of an
Allowed Interest against CCHC is not entitled to vote to accept or reject the Plan and shall be
deemed conclusively to have rejected the Plan.
(c) Distributions. Interests in CCHC shall remain in place in exchange for New Value
Consideration in the amount of $2,000,000 to be contributed by CCI from the Rights Offering.
E. CCH and Charter Communications Holdings Capital Corp.
1. Class E-1: Priority Non-Tax Claims
(a) Classification. Class E-1 consists of all Priority Non-Tax Claims that may exist
against CCH and Charter Communications Holdings Capital Corp.
(b) Impairment and Voting. Class E-1 is Unimpaired by the Plan. Each Holder of an
Allowed Priority Non-Tax Claim against CCH and Charter Communications Holdings Capital Corp. is not
entitled to vote to accept or reject the Plan and shall be deemed conclusively to have accepted the
Plan.
(c) Distributions. Except to the extent that a Holder of an Allowed Priority Non-Tax
Claim against CCH and Charter Communications Holdings Capital Corp. and the applicable Debtors
agree to less favorable treatment to such Holder, each Holder of such Allowed Priority Non-Tax
Claim shall be paid in full in Cash, plus Post-Petition Interest, on the later of the Distribution
Date, the date such Priority Non-Tax Claim is Allowed and the date such Allowed Priority Non-Tax
Claim becomes due and payable, or as soon thereafter as is practicable; provided, however, that
Priority Non-Tax Claims that arise in the ordinary course of the Debtors’ business and which are
not due and payable on or before the Effective Date shall be paid in the ordinary course of
business in accordance with the terms thereof.
2. Class E-2: Secured Claims
(a) Classification. Class E-2 consists of all Secured Claims that may exist against
CCH and Charter Communications Holdings Capital Corp.
(b) Impairment and Voting. Class E-2 is Unimpaired by the Plan. Each Holder of an
Allowed Secured Claim against CCH and Charter Communications Holdings Capital Corp. is not entitled
to vote to accept or reject the Plan and shall be deemed conclusively to have accepted the Plan.
(c) Distributions. Except to the extent that a Holder of an Allowed Secured Claim
against CCH and Charter Communications Holdings Capital Corp. and the applicable Debtors agree to
less favorable treatment to such Holder, at the sole option of the Debtors, (i) each Allowed
Secured Claim against CCH and Charter Communications Holdings Capital Corp. shall be reinstated and
rendered Unimpaired in accordance with section 1124 of the Bankruptcy Code, (ii) each Holder of an
Allowed Secured Claim against CCH and Charter Communications Holdings Capital Corp. shall be paid
in full in Cash, plus Post-Petition Interest, on the later of the Distribution Date and the date
such Secured Claim becomes an Allowed Secured Claim, or as soon thereafter as is practicable or
(iii) each Holder of an Allowed Secured Claim against CCH and Charter Communications Holdings
Capital Corp. shall receive the collateral securing its Allowed Secured Claim, plus Post-Petition
Interest, on the later of the Distribution Date and the date such Secured Claim becomes an Allowed
Secured Claim, or as soon thereafter as is practicable.
3. Class E-3: General Unsecured Claims
(a) Classification. Class E-3 consists of all General Unsecured Claims that may exist
against CCH and Charter Communications Holdings Capital Corp.
30
(b) Impairment and Voting. Class E-3 is Impaired by the Plan. Each Holder of an
Allowed General Unsecured Claim against CCH and Charter Communications Holdings Capital Corp. is
entitled to vote to accept or reject the Plan.
(c) Distributions. Except to the extent that a Holder of an Allowed General Unsecured
Claim against CCH and Charter Communications Holdings Capital Corp. and the applicable Debtors
agree to less favorable treatment to such Holder, at the sole option of the Debtors, (i) each
Allowed General Unsecured Claim against CCH and Charter Communications Holdings Capital Corp. shall
be reinstated and rendered Unimpaired in accordance with section 1124 of the Bankruptcy Code or
(ii) each Holder of an Allowed General Unsecured Claim against CCH and Charter Communications
Holdings Capital Corp. shall be paid in full in Cash on the Distribution Date or as soon thereafter
as is practicable.
4. Class E-4: CCH Notes Claims
(a) Classification. Class E-4 consists of CCH Notes Claims.
(b) Impairment and Voting. Class E-4 is Impaired by the Plan. Each Holder of an
Allowed CCH Notes Claim is entitled to vote to accept or reject the Plan.
(c) Distributions. CCH Notes Claims shall be Allowed in the aggregate amount of $599,379,759.
On the Distribution Date, each Holder of an Allowed CCH Notes Claim shall receive its Pro Rata
share of the CCH Warrants.
5. Class E-5: Section 510(b) Claims
(a) Classification. Class E-5 consists of all Section 510(b) Claims that may exist
against CCH and Charter Communications Holdings Capital Corp.
(b) Impairment and Voting. Class E-5 is Impaired by the Plan. Each Holder of a Section
510(b) Claim against CCH and Charter Communications Holdings Capital Corp. is not entitled to vote
to accept or reject the Plan and shall be deemed conclusively to have rejected the Plan.
(c) Distributions. Section 510(b) Claims shall be cancelled, released, and extinguished and
the Holders of Section 510(b) Claims shall receive no distribution under the Plan on account of
such Claims.
6. Class E-6: Interests
(a) Classification. Class E-6 consists of all Interests in CCH and Charter
Communications Holdings Capital Corp.
(b) Impairment and Voting. Class E-6 is Impaired by the Plan. Each Holder of an
Allowed Interest against CCH and Charter Communications Holdings Capital Corp. is not entitled to
vote to accept or reject the Plan and shall be deemed conclusively to have rejected the Plan.
(c) Distributions. Interests in CCH and Charter Communications Holdings Capital Corp.
shall remain in place in exchange for New Value Consideration in the amount of $1,533,180 to be
contributed by CCI from the Rights Offering.
F. CIH and CCH I Holdings Capital Corp.
1. Class F-1: Priority Non-Tax Claims
(a) Classification. Class F-1 consists of all Priority Non-Tax Claims that may exist
against CIH and CCH I Holdings Capital Corp.
31
(b) Impairment and Voting. Class F-1 is Unimpaired by the Plan. Each Holder of an
Allowed Priority Non-Tax Claim against CIH and CCH I Holdings Capital Corp. is not entitled to vote
to accept or reject the Plan and shall be deemed conclusively to have accepted the Plan.
(c) Distributions. Except to the extent that a Holder of an Allowed Priority Non-Tax
Claim against CIH and CCH I Holdings Capital Corp. and the applicable Debtors agree to less
favorable treatment to such Holder, each Holder of such Allowed Priority Non-Tax Claim shall be
paid in full in Cash, plus Post-Petition Interest, on the later of the Distribution Date, the date
such Priority Non-Tax Claim is Allowed and the date such Allowed Priority Non-Tax Claim becomes due
and payable, or as soon thereafter as is practicable; provided, however, that Priority Non-Tax
Claims that arise in the ordinary course of the Debtors’ business and which are not due and payable
on or before the Effective Date shall be paid in the ordinary course of business in accordance with
the terms thereof.
2. Class F-2: Secured Claims
(a) Classification. Class F-2 consists of all Secured Claims that may exist against
CIH and CCH I Holdings Capital Corp.
(b) Impairment and Voting. Class F-2 is Unimpaired by the Plan. Each Holder of an
Allowed Secured Claim against CIH and CCH I Holdings Capital Corp. is not entitled to vote to
accept or reject the Plan and shall be deemed conclusively to have accepted the Plan.
(c) Distributions. Except to the extent that a Holder of an Allowed Secured Claim
against CIH and CCH I Holdings Capital Corp. and the applicable Debtors agree to less favorable
treatment to such Holder, at the sole option of the Debtors, (i) each Allowed Secured Claim against
CIH and CCH I Holdings Capital Corp. shall be reinstated and rendered Unimpaired in accordance with
section 1124 of the Bankruptcy Code, (ii) each Holder of an Allowed Secured Claim against CIH and
CCH I Holdings Capital Corp. shall be paid in full in Cash, plus Post-Petition Interest, on the
later of the Distribution Date and the date such Secured Claim becomes an Allowed Secured Claim, or
as soon thereafter as is practicable or (iii) each Holder of an Allowed Secured Claim against CIH
and CCH I Holdings Capital Corp. shall receive the collateral securing its Allowed Secured Claim,
plus Post-Petition Interest, on the later of the Distribution Date and the date such Secured Claim
becomes an Allowed Secured Claim, or as soon thereafter as is practicable.
3. Class F-3: General Unsecured Claims
(a) Classification. Class F-3 consists of all General Unsecured Claims that may exist
against CIH and CCH I Holdings Capital Corp.
(b) Impairment and Voting. Class F-3 is Impaired by the Plan. Each Holder of an
Allowed General Unsecured Claim against CIH and CCH I Holdings Capital Corp. is entitled to vote to
accept or reject the Plan.
(c) Distributions. Except to the extent that a Holder of an Allowed General Unsecured
Claim against CIH and CCH I Holdings Capital Corp. and the applicable Debtors agree to less
favorable treatment to such Holder, at the sole option of the Debtors, (i) each Allowed General
Unsecured Claim against CIH and CCH I Holdings Capital Corp. shall be reinstated and rendered
Unimpaired in accordance with section 1124 of the Bankruptcy Code, or (ii) each Holder of an
Allowed General Unsecured Claim against CIH and CCH I Holdings Capital Corp. shall be paid in full
in Cash on the Distribution Date or as soon thereafter as is practicable.
4. Class F-4: CIH Notes Claims
(a) Classification. Class F-4 consists of CIH Notes Claims.
(b) Impairment and Voting. Class F-4 is Impaired by the Plan. Each Holder of an
Allowed CIH Notes Claim is entitled to vote to accept or reject the Plan.
32
(c) Distributions. CIH Notes Claims shall be Allowed in the aggregate amount of
$2,625,060,226. On the Distribution Date, each Holder of CIH Notes Claim shall receive its Pro Rata
share of the CIH Warrants.
5. Class F-5: Section 510(b) Claims
(a) Classification. Class F-5 consists of all Section 510(b) Claims that may exist
against CIH and CCH I Holdings Capital Corp.
(b) Impairment and Voting. Class F-5 is Impaired by the Plan. Each Holder of a Section
510(b) Claim against CIH and CCH I Holdings Capital Corp. is not entitled to vote to accept or
reject the Plan and shall be deemed conclusively to have rejected the Plan.
(c) Distributions. Section 510(b) Claims shall be cancelled, released, and
extinguished and the Holders of Section 510(b) Claims shall receive no distribution under the Plan
on account of such Claims.
6. Class F-6: Interests
(a) Classification. Class F-6 consists of all Interests in CIH and CCH I Holdings
Capital Corp.
(b) Impairment and Voting. Class F-6 is Impaired by the Plan. Each Holder of an
Allowed Interest against CIH and CCH I Holdings Capital Corp. is not entitled to vote to accept or
reject the Plan and shall be deemed conclusively to have rejected the Plan.
(c) Distributions. Interests in CIH and CCH I Holdings Capital Corp. shall remain in
place in exchange for New Value Consideration in the amount of $8,932,440 to be contributed by CCI
from the Rights Offering.
G. CCH I and CCH I Capital Corp.
1. Class G-1: Priority Non-Tax Claims
(a) Classification. Class G-1 consists of all Priority Non-Tax Claims that may exist
against CCH I and CCH I Capital Corp.
(b) Impairment and Voting. Class G-1 is Unimpaired by the Plan. Each Holder of an
Allowed Priority Non-Tax Claim against CCH I and CCH I Capital Corp. is not entitled to vote to
accept or reject the Plan and shall be deemed conclusively to have accepted the Plan.
(c) Distributions. Except to the extent that a Holder of an Allowed Priority Non-Tax
Claim against CCH I and CCH I Capital Corp. and the applicable Debtors agree to less favorable
treatment to such Holder, each Holder of such Allowed Priority Non-Tax Claim shall be paid in full
in Cash, plus Post-Petition Interest, on the later of the Distribution Date, the date such Priority
Non-Tax Claim is Allowed and the date such Allowed Priority Non-Tax Claim becomes due and payable,
or as soon thereafter as is practicable; provided, however, that Priority
Non-Tax Claims that arise
in the ordinary course of the Debtors’ business and which are not due and payable on or before the
Effective Date shall be paid in the ordinary course of business in accordance with the terms
thereof.
2. Class G-2: Secured Claims
(a) Classification. Class G-2 consists of all Secured Claims that may exist against
CCH I and CCH I Capital Corp. (but excluding any Secured Claim that is also a CCH I Notes Claim).
33
(b) Impairment and Voting. Class G-2 is Unimpaired by the Plan. Each Holder of an
Allowed Secured Claim against CCH I and CCH I Capital Corp. is not entitled to vote to accept or
reject the Plan and shall be deemed conclusively to have accepted the Plan.
(c) Distributions. Except to the extent that a Holder of an Allowed Secured Claim
against CCH I and CCH I Capital Corp. and the applicable Debtors agree to less favorable treatment
to such Holder, at the sole option of the Debtors, (i) each Allowed Secured Claim against CCH I and
CCH I Capital Corp. shall be reinstated and rendered Unimpaired in accordance with section 1124 of
the Bankruptcy Code, (ii) each Holder of an Allowed Secured Claim against CCH I and CCH I Capital
Corp. shall be paid in full in Cash, plus Post-Petition Interest, on the later of the Distribution
Date and the date such Secured Claim becomes an Allowed Secured Claim, or as soon thereafter as is
practicable or (iii) each Holder of an Allowed Secured Claim against CCH I and CCH I Capital Corp.
shall receive the collateral securing its Allowed Secured Claim, plus Post-Petition Interest, on
the later of the Distribution Date and the date such Secured Claim becomes an Allowed Secured
Claim, or as soon thereafter as is practicable.
3. Class G-3: General Unsecured Claims
(a) Classification. Class G-3 consists of all General Unsecured Claims that may exist
against CCH I and CCH I Capital Corp.
(b) Impairment and Voting. Class G-3 is Impaired by the Plan. Each Holder of an
Allowed General Unsecured Claim against CCH I and CCH I Capital Corp. is entitled to vote to accept
or reject the Plan.
(c) Distributions. Except to the extent that a Holder of an Allowed General Unsecured
Claim against CCH I and CCH I Capital Corp. and the applicable Debtors agree to less favorable
treatment to such Holder, at the sole option of the Debtors, (i) each Allowed General Unsecured
Claim against CCH I and CCH I Capital Corp. shall be reinstated and rendered Unimpaired in
accordance with section 1124 of the Bankruptcy Code, or (ii) each Holder of an Allowed General
Unsecured Claim against CCH I and CCH I Capital Corp. shall be paid in full in Cash on the
Distribution Date or as soon thereafter as is practicable.
4. Class G-4: CCH I Notes Claims
(a) Classification. Class G-4 consists of CCH I Notes Claims.
(b) Impairment and Voting. Class G-4 is Impaired by the Plan. Each Holder of an
Allowed CCH I Notes Claim is entitled to vote to accept or reject the Plan.
(c) Distributions.
(i) The CCH I Notes Claims shall be Allowed in the aggregate amount of $4,170,040,378. On the
Distribution Date, each Holder of a CCH I Notes Claim shall receive its Pro Rata share of New Class
A Stock in an aggregate amount to all such Holders equal to 100% of the New Class A Stock
outstanding as of the Effective Date, prior to giving effect to the Rights Offering, the issuance
of Warrants and any other distributions of New Class A Stock contemplated by the Plan, which New
Class A Stock (prior to such effects) shall be deemed to have an aggregate value equal to the Plan
Value minus the Warrant Value minus 3% of the equity value of the Reorganized Company, after giving
effect to the Rights Offering, but prior to the issuance of Warrants and equity-based awards
provided for by the Plan.
Each Eligible CCH I Notes Claim Holder shall also receive Rights pursuant to the Rights
Offering, as set forth below.
(ii) Rights Offering. Each Eligible CCH I Notes Claim Holder shall be offered pursuant
to the Rights Offering Documents the right to purchase shares of New Class A Stock,
according to that Holder’s Pro Rata Participation Amount, for a Cash payment of the product of
the Per Share Purchase Price multiplied by such Pro Rata Participation Amount.
34
(iii) Equity Backstop by Members of the Crossover Committee. Pursuant to the
Commitment Letters, the Equity Backstop Parties have, severally and not jointly, committed to
purchase their respective Pro Rata Participation Amount in the Rights Offering.
(iv) Excess Backstop by the Excess Backstop Parties. Pursuant to the Commitment
Letters and the Excess Backstop Agreements, the Excess Backstop Parties have, severally and not
jointly, committed to purchase shares of New Class A Stock underlying Rights not exercised by
Eligible CCH I Notes Claim Holders other than the Equity Backstop Parties.
(v) Overallotment Option. Pursuant to the Commitment Letters and Excess Backstop
Agreements, each Excess Backstop Party shall be offered the Overallotment Option.
Each Holder of CCH I Notes Claims that affirmatively represents it is not an Eligible CCH I
Notes Claim Holder on a timely submitted investor certification shall receive an amount of New
Class A Stock equal to the value of the Rights that such Holder would have been offered if it were
an accredited investor or qualified institutional buyer participating in the Rights Offering.
5. Class G-5: Section 510(b) Claims
(a) Classification. Class G-5 consists of all Section 510(b) Claims that may exist
against CCH I and CCH I Capital Corp.
(b) Impairment and Voting. Class G-5 is Impaired by the Plan. Each Holder of a Section
510(b) Claim against CCH I and CCH I Capital Corp. is not entitled to vote to accept or reject the
Plan and shall be deemed conclusively to have rejected the Plan.
(c) Distributions. Section 510(b) Claims shall be cancelled, released, and
extinguished and the Holders of Section 510(b) Claims shall receive no distribution under the Plan
on account of such Claims.
6. Class G-6: Interests
(a) Classification. Class G-6 consists of all Interests in CCH I and CCH I
Capital Corp.
(b) Impairment and Voting. Class G-6 is Impaired by the Plan. Each Holder of an
Allowed Interest against CCH I and CCH I Capital Corp. is not entitled to vote to accept or reject
the Plan and shall be deemed conclusively to have rejected the Plan.
(c) Distributions. Interests in CCH I and CCH I Capital Corp. shall remain in place
in exchange for New Value Consideration in the amount of $12,000,000 to be contributed by CCI from
the Rights Offering.
H. CCH II and CCH II Capital Corp.
1. Class H-1: Priority Non-Tax Claims
(a) Classification. Class H-1 consists of all Priority Non-Tax Claims that may exist
against CCH II and CCH II Capital Corp.
(b) Impairment and Voting. Class H-1 is Unimpaired by the Plan. Each Holder of an
Allowed Priority Non-Tax Claim against CCH II and CCH II Capital Corp. is not entitled to vote to
accept or reject the Plan and shall be deemed conclusively to have accepted the Plan.
(c) Distributions. Except to the extent that a Holder of an Allowed Priority Non-Tax
Claim against CCH II and CCH II Capital Corp. and the applicable Debtors agree to less favorable
treatment to such Holder, each Holder of such Allowed Priority Non-Tax Claim shall be paid in
full in Cash, plus Post-Petition
35
Interest, on the later of the Distribution Date, the date such Priority Non-Tax Claim is Allowed
and the date such Allowed Priority Non-Tax Claim becomes due and payable, or as soon thereafter as
is practicable; provided, however, that Priority Non-Tax Claims that arise in the ordinary course
of the Debtors’ business and which are not due and payable on or before the Effective Date shall be
paid in the ordinary course of business in accordance with the terms thereof.
2. Class H-2: Secured Claims
(a) Classification. Class H-2 consists of all Secured Claims that may exist against
CCH II and CCH II Capital Corp.
(b) Impairment and Voting. Class H-2 is Unimpaired by the Plan. Each Holder of an
Allowed Secured Claim against CCH II and CCH II Capital Corp. is not entitled to vote to accept or
reject the Plan and shall be deemed conclusively to have accepted the Plan.
(c) Distributions. Except to the extent that a Holder of an Allowed Secured Claim
against CCH II and CCH II Capital Corp. and the applicable Debtors agree to less favorable
treatment to such Holder, at the sole option of the Debtors, (i) each Allowed Secured Claim against
CCH II and CCH II Capital Corp. shall be reinstated and rendered Unimpaired in accordance with
section 1124 of the Bankruptcy Code, (ii) each Holder of an Allowed Secured Claim against CCH II
and CCH II Capital Corp. shall be paid in full in Cash, plus Post-Petition Interest, on the later
of the Distribution Date and the date such Secured Claim becomes an Allowed Secured Claim, or as
soon thereafter as is practicable, or (iii) each Holder of an Allowed Secured Claim against CCH II
and CCH II Capital Corp. shall receive the collateral securing its Allowed Secured Claim, plus
Post-Petition Interest, on the later of the Distribution Date and the date such Secured Claim
becomes an Allowed Secured Claim, or as soon thereafter as is practicable.
3. Class H-3: General Unsecured Claims
(a) Classification. Class H-3 consists of all General Unsecured Claims that may exist
against CCH II and CCH II Capital Corp.
(b) Impairment and Voting. Class H-3 is Impaired by the Plan. Each Holder of an
Allowed General Unsecured Claim against CCH II and CCH II Capital Corp. is entitled to vote to
accept or reject the Plan.
(c) Distributions. Except to the extent that a Holder of an Allowed General Unsecured
Claim against CCH II and CCH II Capital Corp. and the applicable Debtors agree to less favorable
treatment to such Holder, at the sole option of the Debtors, (i) each Allowed General Unsecured
Claim against CCH II and CCH II Capital Corp. shall be reinstated and rendered Unimpaired in
accordance with section 1124 of the Bankruptcy Code, or (ii) each Holder of an Allowed General
Unsecured Claim against CCH II and CCH II Capital Corp. shall be paid in full in Cash on the
Distribution Date or as soon thereafter as is practicable.
4. Class H-4: CCH II Notes Claims
(a) Classification. Class H-4 consists of CCH II Notes Claims.
(b) Impairment and Voting. Class H-4 is Impaired by the Plan. Each Holder of an
Allowed CCH II Notes Claim is entitled to vote to accept or reject the Plan.
(c) Distributions. The CCH II Notes Claims shall be Allowed in the aggregate amount of
$2,575,678,701, plus Post-Petition Interest. Each Holder of CCH II Notes Claims shall be paid in
full in Cash in an amount equal to the Allowed amount of its Claim plus Post-Petition Interest, on
the Distribution Date, unless such Holder is a Rollover Commitment Party or elects to exchange CCH
II Notes for New CCH II Notes pursuant to the Exchange by noting such election on such Holder’s
ballot. Each
Holder of an Allowed CCH II Notes Claim that elects to exchange as set forth above or is a
Rollover Commitment Party, shall receive the New CCH II Notes as set
36
forth below in a principal amount equal to the Allowed amount of its CCH II Notes Claim plus
Post-Petition Interest, subject to the Exchange Cutback set forth below. No partial Exchange of CCH
II Notes shall be allowed.
(i) Exchange. CCH II shall effectuate the Exchange pursuant to the Plan. The
aggregate principal amount of the New CCH II Notes shall be equal to the sum of (x) the Target
Amount and (y) $85 million. Each Holder of an Allowed CCH II Notes Claim that elects to exchange
CCH II Notes for New CCH II Notes pursuant to the Exchange, and each Rollover Commitment Party, in
each case subject to the Exchange Cutback, shall be entitled to receive (A) New CCH II Notes with a
principal amount equal to the Allowed principal amount of the CCH II Notes held by such Holder or
Rollover Commitment Party, (B) New CCH II Notes with a principal amount equal to the accrued but
unpaid interest on such CCH II Notes held by such Holder or Rollover Commitment Party to the
Petition Date, and (C) New CCH II Notes with a principal amount equal to Post-Petition Interest on
such CCH II Notes. No Holder or Rollover Commitment Party shall be entitled to receive any amounts
for any call premiums or prepayment penalty with respect to the CCH II Notes.
Rollover Commitment. Pursuant to the Commitment Letters, the Rollover Commitment
Parties have, severally and not jointly (in the respective amounts set forth on Annex C), committed
to exchange on the Effective Date an aggregate of $1.21 billion in principal amount of CCH II
Notes, plus accrued but unpaid interest to the Petition Date, plus Post-Petition Interest, but
excluding any call premiums or any prepayment penalties, for New CCH II Notes pursuant to the
Exchange, subject to the Exchange Cutback.
Exchange Cutback. Notwithstanding the foregoing, if the aggregate principal amount of
New CCH II Notes to be issued to Holders of CCH II Notes Claims (including the Rollover Commitment
Parties) electing to participate in the Exchange would exceed the Target Amount, then each
participating Holder (including the Rollover Commitment Parties) shall receive its pro rata portion
of the Target Amount of New CCH II Notes in the same proportion that the Allowed amount of CCH II
Notes sought to be exchanged by such Holder bears to the total Allowed amount of CCH II Notes
sought to be exchanged, and the remainder of such Holder’s Allowed CCH II Notes Claims shall be
paid in full in Cash on the Distribution Date.
(ii) New CCH II Notes Commitment. Pursuant to the Commitment Letters, the New CCH II
Notes Commitment Parties have, severally and not jointly (in the respective amounts set forth on
Annex D), committed to purchase additional New CCH II Notes in an aggregate principal amount of
$267 million. If the aggregate principal amount of New CCH II Notes to be issued to Holders
(including the Rollover Commitment Parties) electing to participate in the Exchange is less than
the Target Amount, then the New CCH II Notes Commitment shall be funded up to the extent of such
shortfall.
5. Class H-5: Section 510(b) Claims
(a) Classification. Class H-5 consists of all Section 510(b) Claims that may exist
against CCH II and CCH II Capital Corp.
(b) Impairment and Voting. Class H-5 is Impaired by the Plan. Each Holder of a Section
510(b) Claim against CCH II and CCH II Capital Corp. is not entitled to vote to accept or reject
the Plan and shall be deemed conclusively to have rejected the Plan.
(c) Distributions. Section 510(b) Claims shall be cancelled, released, and
extinguished and the Holders of Section 510(b) Claims shall receive no distribution under the Plan
on account of such Claims.
6. Class H-6: Interests
(a) Classification. Class H-6 consists of all Interests in CCH II and CCH II
Capital Corp.
(b) Impairment and Voting. Class H-6 is Impaired by the Plan. Each Holder of an
Allowed Interest against CCH II and CCH II Capital Corp. is not entitled to vote to accept or
reject the Plan and shall be deemed conclusively to have rejected the Plan.
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(c) Distributions. Interests in CCH II and CCH II Capital Corp. shall remain in place
in exchange for New Value Consideration in the amount of $15,000,000 to be contributed by CCI from
the Rights Offering.
I. CCOH and CCO Holdings Capital Corp.
1. Class I-1: CCOH Credit Facility Claims
(a) Classification. Class I-1 consists of CCOH Credit Facility Claims.
(b) Impairment and Voting. Class I-1 is Unimpaired by the Plan. Each Holder of an
Allowed CCOH Credit Facility Claim is not entitled to vote to accept or reject the Plan and shall
be deemed conclusively to have accepted the Plan.
(c) Distributions. Each Allowed CCOH Credit Facility Claim shall be reinstated and
rendered Unimpaired in accordance with section 1124 of the Bankruptcy Code.
2. Class I-2: CCOH Notes Claims
(a) Classification. Class I-2 consists of CCOH Notes Claims.
(b) Impairment and Voting. Class I-2 is Unimpaired by the Plan. Each Holder of an
Allowed CCOH Notes Claim is not entitled to vote to accept or reject the Plan and shall be deemed
conclusively to have accepted the Plan.
(c) Distributions. Each Allowed CCOH Notes Claim shall be reinstated and rendered
Unimpaired in accordance with section 1124 of the Bankruptcy Code.
3. Class I-3: Priority Non-Tax Claims
(a) Classification. Class I-3 consists of all Priority Non-Tax Claims that may exist
against CCOH and CCO Holdings Capital Corp.
(b) Impairment and Voting. Class I-3 is Unimpaired by the Plan. Each Holder of an
Allowed Priority Non-Tax Claim against CCOH and CCO Holdings Capital Corp. is entitled to vote to
accept or reject the Plan and shall be deemed conclusively to have accepted the Plan.
(c) Distributions. Except to the extent that a Holder of an Allowed Priority Non-Tax
Claim against CCOH and CCO Holdings Capital Corp. and the applicable Debtors agree to less
favorable treatment to such Holder, each Holder of such Allowed Priority Non-Tax Claim shall be
paid in full in Cash, plus Post-Petition Interest, on the later of the Distribution Date, the date
such Priority Non-Tax Claim is Allowed and the date such Allowed Priority Non-Tax Claim becomes due
and payable, or as soon thereafter as is practicable; provided, however, that Priority Non-Tax
Claims that arise in the ordinary course of the Debtors’ business and which are not due and payable
on or before the Effective Date shall be paid in the ordinary course of business in accordance with
the terms thereof.
4. Class I-4: Secured Claims
(a) Classification. Class I-4 consists of all Secured Claims (but excluding CCOH
Credit Facility Claims) that may exist against CCOH and CCO Holdings Capital Corp.
(b) Impairment and Voting. Class I-4 is Unimpaired by the Plan. Each Holder of an
Allowed Secured Claim against CCOH and CCO Holdings Capital Corp. is not entitled to vote to accept
or reject the Plan and shall be deemed conclusively to have accepted the Plan.
38
(c) Distributions. Except to the extent that a Holder of an Allowed Secured Claim
against CCOH and CCO Holdings Capital Corp. and the applicable Debtors agree to less favorable
treatment to such Holder, at the sole option of the Debtors, (i) each Allowed Secured Claim against
CCOH and CCO Holdings Capital Corp. shall be reinstated and rendered Unimpaired in accordance with
section 1124 of the Bankruptcy Code, (ii) each Holder of an Allowed Secured Claim against CCOH and
CCO Holdings Capital Corp. shall be paid in full in Cash, plus Post-Petition Interest, on the later
of the Distribution Date and the date such Secured Claim becomes an Allowed Secured Claim, or as
soon thereafter as is practicable or (iii) each Holder of an Allowed Secured Claim against CCOH and
CCO Holdings Capital Corp. shall receive the collateral securing its Allowed Secured Claim, plus
Post-Petition Interest, on the later of the Distribution Date and the date such Secured Claim
becomes an Allowed Secured Claim, or as soon thereafter as is practicable.
5. Class I-5: General Unsecured Claims
(a) Classification. Class I-5 consists of all General Unsecured Claims that may exist
against CCOH and CCO Holdings Capital Corp.
(b) Impairment and Voting. Class I-5 is Impaired by the Plan. Each Holder of an
Allowed General Unsecured Claim against CCOH and CCO Holdings Capital Corp. is entitled to vote to
accept or reject the Plan.
(c) Distributions. Except to the extent that a Holder of an Allowed General Unsecured
Claim against CCOH and CCO Holdings Capital Corp. and the applicable Debtors agree to less
favorable treatment to such Holder, at the sole option of the Debtors, (i) each Allowed General
Unsecured Claim against CCOH and CCO Holdings Capital Corp. shall be reinstated and rendered
Unimpaired in accordance with section 1124 of the Bankruptcy Code, or (ii) each Holder of an
Allowed General Unsecured Claim against CCOH and CCO Holdings Capital Corp. shall be paid in full
in Cash on the Distribution Date or as soon thereafter as is practicable.
6. Class I-6: Interests
(a) Classification. Class I-6 consists of all Interests in CCOH and CCO Holdings
Capital Corp.
(b) Impairment and Voting. Class I-6 is Unimpaired by the Plan. Each Holder of an
Allowed Interest against CCOH and CCO Holdings Capital Corp. is not entitled to vote to accept or
reject the Plan and shall be deemed conclusively to have accepted the Plan.
(c) Distributions. Interests in CCOH and CCO Holdings Capital Corp. shall be
reinstated and rendered Unimpaired in accordance with section 1124 of the Bankruptcy Code.
J. CCO (and its direct and indirect subsidiaries)
1. Class J-1: CCO Credit Facility Claims
(a) Classification. Class J-1 consists of CCO Credit Facility Claims.
(b) Impairment and Voting. Class J-1 is Unimpaired by the Plan. Each Holder of an
Allowed CCO Credit Facility Claim is not entitled to vote to accept or reject the Plan and shall be
deemed conclusively to have accepted the Plan.
(c) Distributions. Each Allowed CCO Credit Facility Claim shall be reinstated and
rendered Unimpaired in accordance with section 1124 of the Bankruptcy Code. The Debtors shall waive
and/or abjure any right to require any lender to make loans (whether term, incremental term,
revolving, or swingline loans) under the CCO Credit Facility, other than loans outstanding as of
the Effective Date.
2. Class J-2: CCO Swap Agreements Claims
39
(a) Classification. Class J-2 consists of CCO Swap Agreements Claims.
(b) Impairment and Voting. Class J-2 is Impaired by the Plan. Each Holder of an
Allowed CCO Swap Agreements Claim against CCO is entitled to vote to accept or reject the Plan;
provided, however, the Debtors reserve their right to argue the proposed distribution to each
Holder of an Allowed CCO Swap Agreements Claim renders Class J-2 Unimpaired, not entitled to vote
to accept or reject the Plan, and deemed conclusively to have accepted the Plan.
(c) Distributions. CCO Swap Agreements Claims shall be Allowed in the aggregate amount
determined by the Bankruptcy Court, plus Post-Petition Interest, but excluding any call premiums or
any prepayment penalties. Each Holder of an Allowed CCO Swap Agreements Claim shall be paid in full
in Cash, plus Post-Petition Interest, on the later of the Distribution Date and the date such CCO
Swap Agreements Claim becomes an Allowed CCO Swap Agreements Claim, or as soon thereafter as is
practicable.
3. Class J-3: CCO Notes Claims
(a) Classification. Class J-3 consists of CCO Notes Claims.
(b) Impairment and Voting. Class J-3 is Unimpaired by the Plan. Each Holder of an
Allowed CCO Notes Claim is not entitled to vote to accept or reject the Plan and shall be deemed
conclusively to have accepted the Plan.
(c) Distributions. Each Allowed CCO Notes Claim shall be reinstated and rendered
Unimpaired in accordance with section 1124 of the Bankruptcy Code.
4. Class J-4: Priority Non-Tax Claims
(a) Classification. Class J-4 consists of all Priority Non-Tax Claims that may exist
against CCO and its direct and indirect subsidiaries.
(b) Impairment and Voting. Class J-4 is Unimpaired by the Plan. Each Holder of an
Allowed Priority Non-Tax Claim against CCO and its direct and indirect subsidiaries is not entitled
to vote to accept or reject the Plan and shall be deemed conclusively to have accepted the Plan.
(c) Distributions. Except to the extent that a Holder of an Allowed Priority Non-Tax
Claim against CCO and its direct and indirect subsidiaries and the applicable Debtors agree to less
favorable treatment to such Holder, each Holder of such Allowed Priority Non-Tax Claim shall be
paid in full in Cash, plus Post-Petition Interest, on the later of the Distribution Date, the date
such Priority Non-Tax Claim is Allowed and the date such Allowed Priority Non-Tax Claim becomes due
and payable, or as soon thereafter as is practicable; provided, however, that Priority Non-Tax
Claims that arise in the ordinary course of the Debtors’ business and which are not due and payable
on or before the Effective Date shall be paid in the ordinary course of business in accordance with
the terms thereof.
5. Class J-5: Secured Claims
(a) Classification. Class J-5 consists of all Secured Claims (but excluding CCO
Credit Facility Claims, CCO Notes Claims and CCO Swap Agreements Claims) that may exist against CCO
and its direct and indirect subsidiaries.
(b) Impairment and Voting. Class J-5 is Unimpaired by the Plan. Each Holder of an
Allowed Secured Claim against CCO and its direct and indirect subsidiaries is not entitled to vote
to accept or reject the Plan and shall be deemed conclusively to have accepted the Plan.
(c) Distributions. Except to the extent that a Holder of an Allowed Secured Claim
against CCO and its direct and indirect subsidiaries and the applicable Debtors agree to less
favorable treatment to such
40
Holder, at the sole option of the Debtors, (i) each Allowed Secured Claim against CCO and its
direct and indirect subsidiaries shall be reinstated and rendered Unimpaired in accordance with
section 1124 of the Bankruptcy Code, (ii) each Holder of an Allowed Secured Claim against CCO and
its direct and indirect subsidiaries shall be paid in full in Cash, plus Post-Petition Interest, on
the later of the Distribution Date and the date such Secured Claim becomes an Allowed Secured
Claim, or as soon thereafter as is practicable or (iii) each Holder of an Allowed Secured Claim
against CCO and its direct and indirect subsidiaries shall receive the collateral securing its
Allowed Secured Claim, plus Post-Petition Interest, on the later of the Distribution Date and the
date such Secured Claim becomes an Allowed Secured Claim, or as soon thereafter as is practicable.
6. Class J-6: General Unsecured Claims
(a) Classification. Class J-6 consists of all General Unsecured Claims that may exist
against CCO and its direct and indirect subsidiaries other than all General Unsecured Claims
against CCO and its direct and indirect subsidiaries held by any CII Settlement Claim Party.
(b) Impairment and Voting. Class J-6 is Impaired by the Plan. Each Holder of an
Allowed General Unsecured Claim against CCO and its direct and indirect subsidiaries is entitled to
vote to accept or reject the Plan.
(c) Distributions. Except to the extent that a Holder of an Allowed General Unsecured
Claim against CCO and its direct and indirect subsidiaries and the applicable Debtors agree to less
favorable treatment to such Holder, at the sole option of the Debtors, (i) each Allowed General
Unsecured Claim against CCO and its direct and indirect subsidiaries shall be reinstated and
rendered Unimpaired in accordance with section 1124 of the Bankruptcy Code or (ii) each Holder of
an Allowed General Unsecured Claim against CCO and its direct and indirect subsidiaries shall be
paid in full in Cash on the Distribution Date or as soon thereafter as is practicable.
7. Class J-7: Interests (other than CC VIII Preferred Units held by a CII Settlement Claim
Party)
(a) Classification. Class J-7 consists of all Interests in CCO and its direct and
indirect subsidiaries (other than CC VIII Preferred Units held by a CII Settlement Claim Party).
(b) Impairment and Voting. Class J-7 is Unimpaired by the Plan. Each Holder of an
Allowed Interest against CCO and its direct and indirect subsidiaries (other than CC VIII Preferred
Units held by a CII Settlement Claim Party) is not entitled to vote to accept or reject the Plan
and shall be deemed conclusively to have accepted the Plan.
(c) Distributions. Interests in CCO and its direct and indirect subsidiaries (other
than CC VIII Preferred Units held by a CII Settlement Claim Party) shall be reinstated and rendered
Unimpaired in accordance with section 1124 of the Bankruptcy Code.
41
ARTICLE V.
IDENTIFICATION OF IMPAIRED CLASSES OF CLAIMS AND INTERESTS; ACCEPTANCE OR
REJECTION OF THIS PLAN OF REORGANIZATION
A. Classes Entitled to Vote. The following Classes are Impaired by the Plan and thus are
entitled to vote to accept or reject the Plan.
Class A-3 (General Unsecured Claims against CCI)
Class A-4 (CCI Notes Claims)
Class B-3 (General Unsecured Claims against
CII)
Class B-4 (CII Shareholder Claims)
Class C-3 (General Unsecured Claims against Holdco, Enstar Communications Corporation, and
Charter Gateway LLC)
Class C-4 (Holdco Notes Claims)
Class D-3 (General Unsecured Claims against CCHC)
Class E-3 (General Unsecured Claims against CCH and Charter Communications Holdings Capital
Corp.)
Class E-4 (CCH Notes Claims)
Class F-3 (General Unsecured Claims against CIH and CCH I Holdings Capital
Corp.)
Class F-4 (CIH Notes Claims)
Class G-3 (General Unsecured Claims against CCH I and CCH I Capital Corp.)
Class G-4 (CCH I Notes Claims)
Class H-3 (General Unsecured Claims against CCH II and CCH II Capital
Corp.)
Class H-4 (CCH II Notes Claims)
Class I-5 (General Unsecured Claims against CCOH and CCO Holdings Capital Corp.)
Class J-2 (CCO Swap Agreements Claims)
Class J-6 (General Unsecured Claims against CCO and its direct and indirect
subsidiaries)
B. Classes Not Entitled to Vote; Deemed to Accept. The following Classes are Unimpaired by
the Plan—and thus not entitled to vote to accept or reject the Plan—and shall be deemed
conclusively to have accepted the Plan.
Class A-1 (Priority Non-Tax Claims against
CCI)
Class A-2 (Secured Claims against CCI)
Class B-1 (Priority Non-Tax Claims against
CII)
Class B-2 (Secured Claims against CII)
Class C-1 (Priority Non-Tax Claims against Holdco, Enstar Communications Corporation, and
Charter Gateway LLC)
Class C-2 (Secured Claims against Holdco, Enstar Communications Corporation, and Charter
Gateway LLC)
Class D-1 (Priority Non-Tax Claims against CCHC)
Class D-2 (Secured Claims against CCHC)
42
Class E-1 (Priority Non-Tax Claims against CCH and Charter Communications Holdings Capital
Corp.)
Class E-2 (Secured Claims against CCH and Charter Communications Holdings Capital Corp.)
Class F-1 (Priority Non-Tax Claims against CIH and CCH I Holdings Capital
Corp.)
Class F-2 (Secured Claims against CIH and CCH I Holdings Capital Corp.
Class G-1 (Priority Non-Tax Claims against CCH I and CCH I Capital
Corp.)
Class G-2 (Secured Claims against CCH I and CCH I Capital Corp.)
Class H-1 (Priority Non-Tax Claims against CCH II and CCH II Capital
Corp.)
Class H-2 (Secured Claims against CCH II and CCH II Capital Corp.)
Class I-1 (CCOH Credit Facility
Claims)
Class I-2 (CCOH Notes Claims)
Class I-3 (Priority Non-Tax Claims against CCOH and CCO Holdings Capital Corp.)
Class I-4 (Secured Claims against CCOH and CCO Holdings Capital Corp.)
Class I-6 (Interests in CCOH and CCO Holdings Capital Corp.)
Class J-1 (CCO Credit Facility
Claims)
Class J-3 (CCO Notes Claims)
Class J-4 (Priority Non-Tax Claims against CCO and its direct and indirect
subsidiaries)
Class J-5 (Secured Claims against CCO and its direct and indirect subsidiaries)
Class J-7 (Interests in CCO and its direct and indirect subsidiaries (other than CC VIII
Preferred Units held by a CII Settlement Claim Party))
C. Classes Not Entitled to Vote; Deemed to Reject. The following Classes are Impaired by
the Plan—but not entitled to vote to accept or reject the Plan—and shall be deemed conclusively to
have rejected the Plan.
Class A-5 (Section 510(b) Claims against CCI other than all Section 510(b) Claims against CCI
held by any CII Settlement Claim Party)
Class A-6 (Interests in CCI other than all Interests in CCI held by any CII Settlement Claim
Party)
Class C-5 (Section 510(b) Claims against Holdco, Enstar Communications Corporation, and
Charter Gateway LLC)
Class C-6 (Interests in Holdco, Enstar Communications Corporation, and Charter Gateway LLC
other than all Interests in Holdco held by any CII Settlement Claim Party)
Class D-4 (Section 510(b) Claims against CCHC)
Class D-5 (Interests in CCHC)
Class E-5 (Section 510(b) Claims against CCH and Charter Communications Holdings Capital
Corp.)
Class E-6 (Interests in CCH and Charter Communications Holdings Capital Corp.)
Class F-5 (Section 510(b) Claims against CIH and CCH I Holdings Capital
Corp.)
Class F-6 (Interests in CIH and CCH I Holdings Capital Corp.)
Class G-5 (Section 510(b) Claims against CCH I and CCH I Capital
Corp.)
Class G-6 (Interests in CCH I and CCH I Capital Corp.)
Class H-5 (Section 510(b) Claims against CCH II and CCH II Capital
Corp.)
Class H-6 (Interests in CCH II and CCH II Capital Corp.)
43
D. Nonconsensual Confirmation. Except as otherwise specifically provided in the Plan, if
any Impaired Class shall not accept the Plan by the requisite statutory majority provided in
section 1126(c) or (d) of the Bankruptcy Code, the Debtors reserve the right to amend the Plan
(subject to the Plan Support Agreements and conditions to the Effective Date set forth below) or
undertake to have the Bankruptcy Court confirm the Plan under section 1129(b) of the Bankruptcy
Code or both.
44
ARTICLE VI.
PROVISIONS FOR IMPLEMENTATION OF THE PLAN
A. Sources of Consideration for Plan Distributions. Cash Distributions under the Plan shall be
funded from: (1) operations, (2) the New CCH II Notes Commitment (as described in ARTICLE IV.H.4
above), and (3) the Rights Offering (as described in ARTICLE IV.G.4 above).
1. Use of Net Proceeds. CCI shall utilize the Net Proceeds as follows: (a) to pay the
expenses of the Rights Offering; (b) to contribute to CCH II an amount sufficient to fund the Cash
payments due on the CCH II Notes Claims; (c) to contribute to CCO to pay the CCO Swap Agreements
Claims; (d) to contribute, as necessary, to Holdco, CCHC, CCH, CIH, CCH I, and CCH II in
consideration for New Value Interests; (e) to pay Administrative Expense Claims and to make other
payments as needed to confirm the Plan and to cause the Effective Date to occur; and (f) to pay the
fees and expenses described in ARTICLE VI.A.2 below in the manner and order provided therein.
Subject to ARTICLE VI.A.2 below, plus Professional Fees, the remaining Net Proceeds, if any, will
be contributed to CCO on the Effective Date to fund CCO’s working capital requirements following
the Effective Date.
2. Specified Fees and Expenses.
(a) Allen Management Receivable. As partial consideration for the settlement and
compromise of the CII Settlement Claim, the Debtors (other than CII) shall pay to Mr. Allen (or his
designees) the Allen Management Receivable, in Cash, as provided in clause (d) below.
(b) Allen Fee Reimbursement. As partial consideration for the settlement and
compromise of the CII Settlement Claim, the Debtors (other than CII) shall pay to Mr. Allen (or his
designees) the Allen Fee Reimbursement, in Cash, as provided in clause (d) below.
(c) Other Fees and Expenses.
Each participating Holder (including the Rollover Commitment Parties) shall receive from the
Debtors (other than CII) the Rollover Fee for the use of capital, in Cash, as provided in clause
(d) below.
Each New CCH II Notes Commitment Party shall receive from the Debtors (other than CII) the New
CCH II Notes Commitment Fee (if such fee is payable), for the use of capital, in Cash, as provided
in clause (d) below; provided, that such New CCH II Notes Commitment Party shall not have
terminated its Commitment Letter with respect to the New CCH II Notes Commitment on or prior to the
Effective Date.
Each Equity Backstop Party shall receive from the Debtors (other than CII) the Equity Backstop
Fee (if such fee is payable), for the use of capital, in Cash, as provided in clause (d) below;
provided, that such Equity Backstop Party shall not have terminated its Commitment Letter
with respect to the Equity Backstop on or prior to the Effective Date.
(d) Priority of Payments. On the Effective Date, the Allen Management Receivable shall
be paid in Cash to the extent of Available Cash. If the Allen Management Receivable is not paid in
full on the Effective Date, then any unpaid portion thereof shall be paid in Cash within 30 days
after the end of the first calendar quarter following the Effective Date to the extent of Available
Cash on the last day of such calendar quarter, and within 20 days after the end of each following
calendar quarter to the extent of Available Cash on the last day of each such following calendar
quarter, until the Allen Management Receivable is paid in full.
On the Effective Date (or when the Overallotment Option is received by the Reorganized
Company), following payment of the Allen Management Receivable in full, the Commitment Fees, the
Allen Fee Reimbursement, and the VCP shall be paid in Cash to the extent of any remaining Available
Cash; provided, however, that, if there is not sufficient Available Cash for payment of the
Commitment Fees, the Allen Fee Reimbursement, and the VCP in full on the Effective Date, then
payment of such fees on such date shall be reduced pro rata based on the amount of each such fee in
proportion to the total amount of the Commitment Fees, the Allen
45
Fee Reimbursement, and the VCP. If the Commitment Fees, the Allen Fee Reimbursement, and the VCP
are not paid in full on the Effective Date, then any unpaid portion thereof shall be paid in Cash
within 20 days after the end of the first calendar quarter following the Effective Date in which
the Allen Management Receivable is paid in full in Cash if there is Available Cash on the last day
of such calendar quarter; provided, however, that, in the discretion of the Board
of Directors, the Allen Fee Reimbursement, the Commitment Fees, and the VCP on a pari passu basis
may be paid regardless of sufficient Available Cash. For the avoidance of doubt, in no event shall
the Commitment Fees (or any portion thereof), the Allen Fee Reimbursement (or any portion thereof)
or the VCP (or any portion thereof) be paid unless and until the Allen Management Receivable has
been paid in full.
If all Specified Fees and Expenses have not been paid in full on the Effective Date, Cash in
the full amount of the unpaid portion of the Specified Fees and Expenses shall be retained by CCI
pending payment, subject to the good faith determination of the Reorganized Company to contribute
all or any portion of such retained amount to direct or indirect subsidiaries. If such amounts are
contributed, alternative arrangements for actual funding by the Reorganized Company shall be made
by the Reorganized Company.
B. Reorganized Company Equity Interests. The Reorganized Company’s equity interests shall
consist of New Class A Stock, New Class B Stock, New Preferred Stock and Warrants.
1. New Class A Stock. Shares of New Class A Stock shall be issued to (a)
participants in the Rights Offering, (b) Equity Backstop Parties upon the exercise of
the Overallotment Option (if exercised), (c) Holders of Claims with respect to CCH I
Notes, (d) the Allen Entities upon exchange of their Reorganized Holdco equity
pursuant to the Reorganized Holdco Exchange Agreement, (e) holders of Warrants upon
exercise of such Warrants, and (f) holders of equity-based awards issued under the
Management Incentive Plan.
CCI shall cause the New Class A Stock to be listed on the NASDAQ Global Select Market as
promptly as practicable but in no event prior to the later of (x) the 46th day following the
Effective Date, and (y) October 15, 2009 (unless Mr. Allen and the Reorganized Company agree to an
earlier date), and the Reorganized Company shall maintain such listing thereafter.
2. New Class B Stock. The New Class B Stock issued to Mr. Allen or other
Authorized Class B Holders shall be identical to the New Class A Stock except with
respect to certain voting, transfer and conversion rights. Each share of New Class B
Stock shall be entitled to a number of votes such that the aggregate number of votes
attributable to the shares of New Class B Stock held by the Authorized Class B Holders
shall equal 35% of the combined voting power of the capital stock of the Reorganized
Company. Subject to the Lock-Up Agreement, each holder of New Class B Stock shall have
the right to convert its shares of New Class B Stock into shares of New Class A Stock
on a one-for-one basis. In addition, on or after January 1, 2011, Reorganized CCI
shall have the right to cause shares of New Class B Stock to convert into shares of
New Class A Stock on a one-for-one basis pursuant to and in accordance with the
provisions of the Amended and Restated Certificate of Incorporation. New Class B Stock
shall be subject to restrictions on conversion and transfer pursuant to the Lock-Up
Agreement.
3. New Preferred Stock. Shares of New Preferred Stock shall be issued to
Holders of CCI Notes Claims. The New Preferred Stock will not be publicly listed or
traded.
4. Warrants. Warrants to be issued pursuant to the Plan consist solely of CIH
Warrants, CCH Warrants and CII Settlement Claim Warrants.
5. Registration Rights. Holders of New Common Stock shall be entitled to registration
rights pursuant to the Equity Registration Rights Agreement.
6. Post-Confirmation Restrictions. For a period of at least six (6)
months following the Effective Date,
the Reorganized Company, Reorganized Holdco, Reorganized CCO and each of their
respective direct and indirect subsidiaries shall not negotiate, enter into
agreements, understandings or arrangements or consummate transactions in the
aggregate in excess of $500 million in total value to the extent that such
transactions shall occur at a price in excess of 110% of either the value implied
by the Plan or the appraised values, if any such appraisal is obtained pursuant to
ARTICLE VI.C.2. Any transactions occurring at a price that implies a value of 110%
or lower
46
than both of such value implied by the Plan and such appraised values (if
obtained) shall not be subject to restriction and shall not be taken into account in
determining whether the $500 million limitation has been exceeded.
C. CII Settlement Claim. Notwithstanding anything to the contrary herein, on the Effective
Date, the following consideration shall be transferred by the Debtors (other than CII) to Mr. Allen
(or his designees which, in the case of New Class B Stock, shall be limited to Authorized Class B
Holders) on account of the CII Settlement Claim: (a) shares of New Class B Stock representing, as
of the Effective Date, (i) 2% of the equity value of the Reorganized Company, after giving effect
to the Rights Offering, but prior to the issuance of the Warrants and equity-based awards under the
Management Incentive Plan, and (ii) 35% of the combined voting power of the capital stock of
Reorganized CCI; (b) the CII Settlement Claim Warrants; (c) $85 million principal amount of New CCH
II Notes, which shall be deemed transferred from Holders of CCH I Notes Claims automatically and
without further action by any party; (d) Cash in the amount of $25 million on account of the Allen
Management Receivable; (e) $150 million in Cash; and (f) Cash of up to $20 million on account of
the Allen Fee Reimbursement. In addition, on the Effective Date, CII shall retain a 1% direct
equity interest in Reorganized Holdco, including the right to exchange such interest into New Class
A Stock, pursuant to the Reorganized Holdco Exchange Agreement, and Mr. Allen shall retain all of
the Interests in Reorganized CII. Furthermore, on the Effective Date, the 7,282,183 CC VIII
Preferred Units held by the CII shall be deemed transferred, automatically and without further
action by any party, to Reorganized CCI.
1. Bankruptcy Rule 9019. The treatment set forth above and the rights and obligations
accorded elsewhere in this Plan on account of the CII Settlement Claim shall constitute the
compromise and settlement under Bankruptcy Rule 9019 by and among the Debtors (other than CII), on
the one hand, and the CII Settlement Claim Parties, on the other hand, that fully resolves any and
all legal, contractual and equitable rights, claims and remedies between such parties in exchange
for the consideration to be given to such parties. For the avoidance of doubt, CCH I Claims and CIH
Claims held by CII shall be treated identically to similar Claims held by Persons other than CII.
2. Independent Appraisal. Within 30 days after the Effective Date, at Mr. Allen’s
request, Reorganized CCI, Reorganized Holdco and Reorganized CCO shall obtain (at their expense) an
independent appraisal of the fair market value of Reorganized Holdco’s and Reorganized CCO’s (and
their respective subsidiaries’) tangible and intangible assets as of the Effective Date that will
include a reasonable allocation of value on an asset-by-asset basis, including any and all below
market financing arrangements as may be appropriate. The appraisal firm and scope of the appraisal
shall be reasonably acceptable to Mr. Allen and Reorganized CCI, Reorganized Holdco and Reorganized
CCO, but shall at all times be retained by and act under the direction of Reorganized CCI,
Reorganized Holdco and Reorganized CCO, consulting with Mr. Allen.
3. Retained Interest; Preservation of Exchange Right. As partial consideration for the
settlement and compromise of the CII Settlement Claim, CII will retain a 1% equity interest in
Reorganized Holdco and shall hold such interest pursuant to and in accordance with the Reorganized
Holdco LLC Agreement. After the Effective Date, CII or its transferee that is an Allen Entity shall
have the right to exchange all or a portion of their Reorganized Holdco equity for New Class A
Stock pursuant to the terms of the Reorganized Holdco Exchange Agreement.
There shall be no restrictions on the Allen Entities’ ability to liquidate or sell CII
following consummation of the Plan; provided, that CII shall have transferred all interests
in Reorganized Holdco to one or more Allen Entities (or to Reorganized CCI pursuant to the
Reorganized Holdco Exchange Agreement) prior to or as part of such liquidation or sale as provided
in the Reorganized Holdco LLC Agreement.
4. Other Matters. The Parties agree to use reasonable best efforts to ensure that Plan
Confirmation and the Effective Date occur in the same calendar year. The Debtors shall not seek to
schedule, and shall use all commercially reasonable efforts to avoid scheduling the hearing to
confirm the Plan during the month of December.
5. Post-Effective Date Lock-Up Agreement. Shares of New Class B Stock received by Mr.
Allen under the Plan shall be subject to restrictions on transfer and conversion as set forth in
the Lock-Up Agreement.
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For the avoidance of doubt, notwithstanding any other provision of the Plan, CII shall not be
liable for any payment or distributions on account of Claims, Interests or amounts to be paid or
owing by or other obligations of any kind of the Debtors (other than CII) under or in connection
with the Plan.
D. Section 1145 Exemption. Pursuant to section 1145 of the Bankruptcy Code, the offering,
issuance, and distribution of any Securities pursuant to the Plan and any and all settlement
agreements incorporated herein shall be exempt from, among other things, the registration
requirements of section 5 of the Securities Act and any other applicable law requiring registration
prior to the offering, issuance, distribution or sale of Securities. In addition, except as
otherwise provided in the Plan, under section 1145 of the Bankruptcy Code, any Securities
contemplated by the Plan and any and all settlement agreements incorporated therein will be freely
tradable by the recipients thereof, subject to (a) the provisions of section 1145(b)(1) of the
Bankruptcy Code relating to the definition of an underwriter in section 2(a)(11) of the Securities
Act, and compliance with any rules and regulations of the Securities and Exchange Commission, if
any, applicable at the time of any future transfer of such Securities or instruments; (b) the
restrictions, if any, on the transferability of such Securities and instruments; and (c) applicable
regulatory approval. Notwithstanding the foregoing, shares of New Class A Stock issued to Eligible
CCH I Notes Claim Holders pursuant to the Rights Offering and New CCH II Notes issued to Rollover
Commitment Parties and New CCH II Note Commitment Parties shall be issued pursuant to the exemption
provided under section 4(2) of the Securities Act. The holders of such equity and debt securities
and certain other affiliates of the Reorganized Company shall receive registration rights as set
forth in the Equity Registration Rights Agreement and the Debt Registration Rights Agreement,
respectively.
E. Corporate Existence. Except as otherwise provided in the Plan, each Debtor shall
continue to exist after the Effective Date as a separate corporate Entity, limited liability
company, partnership or other form, as the case may be, with all the powers of a corporation,
limited liability company, partnership or other form, as the case may be, pursuant to the
applicable law in the jurisdiction in which each applicable Debtor is incorporated or formed and
pursuant to the respective certificate of incorporation and bylaws (or other formation documents)
in effect prior to the Effective Date, except to the extent such certificate of incorporation and
bylaws (or other formation documents) are amended by the Plan or otherwise, and to the extent such
documents are amended, such documents are deemed to be pursuant to the Plan and require no further
action or approval.
F. Vesting of Assets in the Reorganized Debtors. Except as otherwise provided in the Plan
or any agreement, instrument, or other document incorporated therein, on the Effective Date, all
property in each Estate, all Causes of Action, and any property acquired by any of the Debtors
pursuant to the Plan shall vest in each respective Reorganized Debtor, free and clear of all Liens,
Claims, charges or other encumbrances (except for Liens, if any, granted to secure any indebtedness
that is Unimpaired by the Plan). On and after the Effective Date, except as otherwise provided in
the Plan, each Reorganized Debtor may operate its business and may use, acquire or dispose of
property and compromise or settle any Claims, Interests or Causes of Action without supervision or
approval by the Bankruptcy Court and free of any restrictions of the Bankruptcy Code or Bankruptcy
Rules.
G. Discharge of Debtors. Except as otherwise provided in the Plan, on the Effective Date
and effective as of the Effective Date: (1) the rights afforded in the Plan and the treatment of
all Claims and Interests shall be in exchange for and in complete satisfaction, discharge and
release of all Claims and Interests of any nature whatsoever, including any interest accrued on
such Claims from and after the Petition Date, against the Debtors, or any of their assets, property
or Estates; (2) the Plan shall bind all Holders of Claims and Interests, notwithstanding whether
any such Holders failed to vote to accept or reject the Plan or voted to reject the Plan; (3) all
Claims against and Interests in the Debtors shall be satisfied, discharged and released in full,
and the Debtors’ liability with respect thereto shall be extinguished completely, including any
liability of the kind specified under section 502(g) of the Bankruptcy Code; and (4) all Entities
shall be precluded from asserting against the Debtors, the Debtors’ Estates, the Reorganized
Debtors, each of their successors and assigns, and each of their assets and properties, any other
Claims or Interests based upon any documents, instruments or any act or omission, transaction or
other activity of any kind or nature that occurred prior to the Effective Date. All debt under the
Plan that shall be surrendered, redeemed, exchanged or cancelled shall be deemed for all purposes,
including income tax purposes, to be outstanding until the Effective Date, and such debt shall not
be deemed surrendered, redeemed, exchanged or cancelled on any date earlier than the Effective
Date.
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H. Restructuring Transactions. On the Effective Date or as soon as reasonably practicable
thereafter, the Reorganized Debtors may take all actions as may be necessary or appropriate to
effect any transaction described in, approved by, contemplated by or necessary to effectuate the
Plan, including: (1) certain transactions in conjunction with the Effective Date in accordance with
Exhibit 22 to the Plan Supplement; (2) the execution and delivery of appropriate agreements or
other documents of merger, consolidation or reorganization containing terms that are consistent
with the terms of the Plan and that satisfy the requirements of applicable law; (3) the execution
and delivery of appropriate instruments of transfer, assignment, assumption or delegation of any
property, right, liability, duty or obligation on terms consistent with the terms of the Plan; (4)
the filing of appropriate certificates of incorporation,
merger or consolidation with the appropriate governmental authorities pursuant to applicable law;
and (5) all other actions that the Reorganized Debtors determine are necessary or appropriate.
I. Corporate Action. Each of the matters provided for by the Plan involving the corporate
structure of the Debtors or corporate or related actions to be taken by or required of the
Reorganized Debtors shall, as of the Effective Date, be deemed to have occurred and be effective as
provided in the Plan (except to the extent otherwise indicated), and shall be authorized, approved,
and, to the extent taken prior to the Effective Date, ratified in all respects without any
requirement of further action by Holders of Claims or Interests, directors of the Debtors or any
other Entity. Without limiting the foregoing, such actions may include: the adoption and (as
applicable) filing of the Amended and Restated Certificate of Incorporation and the Amended and
Restated Bylaws; the adoption of the Reorganized Holdco LLC Agreement; the appointment of officers
and (as applicable) directors for the Reorganized Debtors; and the adoption, implementation, and
amendment of the Management Incentive Plan.
J. Post-Effective Date Governance. The Reorganized Debtors shall enter into such agreements
and amend their corporate governance documents to the extent necessary to implement the terms and
conditions of the Plan. Without limiting the generality of the foregoing, as of the Effective Date,
Reorganized CCI shall be governed by the Amended and Restated Certificate of Incorporation and the
Amended and Restated Bylaws. On and as of the Effective Date, the Rights Agreement between CCI and
Mellon Investor Services LLC, dated as of August 14, 2007, as amended thereafter, shall be
automatically terminated.
K. Limited Liability Company Agreement. The Holdco LLC Agreement shall be in effect and
govern Holdco for the period up to and including the Effective Date. At the Effective Date, the
Holdco LLC Agreement shall be amended and restated and the Reorganized Holdco LLC Agreement shall
be in effect as of the day immediately following the Effective Date for federal, state, local and
foreign income tax purposes. Reorganized Holdco shall effect a “closing of the books” as of the
Effective Date, and the provisions of the Holdco LLC Agreement, taking into account each member’s
Percentage Interest (as defined in the Holdco LLC Agreement) immediately before the transactions
contemplated by this Plan, shall govern with respect to allocations of items of income, gain, loss,
credit and deduction for the period up to and including the Effective Date, including any items of
income, gain, loss, credit and deduction arising on the Effective Date and/or arising as a result
of the transactions effective as of the Effective Date as contemplated by this Plan. Reorganized
Holdco shall not make the election under section 108(i) of the U.S. Internal Revenue Code of 1986,
as amended (or any similar election under state or local law), with respect to any cancellation of
indebtedness income relating to the consummation of the Plan. Notwithstanding anything to the
contrary in the Reorganized Holdco LLC Agreement, in the event of any dispute, challenge, audit or
examination of Holdco’s tax affairs for any period prior to or including the Effective Date, the
consent of Mr. Allen shall be required to settle any such dispute and Mr. Allen and CII shall be
entitled to participate alongside Reorganized CCI in any such examinations, judicial
determinations, and administrative proceedings, with respect to any portion of the dispute relating
to the period prior to and including the Effective Date.
L. Effectuating Documents; Further Transactions. On and after the Effective Date, the
Reorganized Debtors, and the officers and members of the boards of directors or managers, as
applicable, thereof, are authorized to and may issue, execute, deliver, file or record such
contracts, Securities, instruments, releases, and other agreements or documents and take such
actions as may be necessary or appropriate to effectuate, implement, and further evidence the terms
and conditions of the Plan and the Securities issued pursuant to the Plan in the name of and on
behalf of the Reorganized Debtors, without the need for any approvals, authorizations, or consents
except for those expressly required pursuant to the Plan.
M. Exemption from Certain Transfer Taxes and Recording Fees. Pursuant to section 1146(a)
of the Bankruptcy Code, any transfer from a Debtor to a Reorganized Debtor or to any Entity
pursuant to, in contemplation
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of, or in connection with the Plan or pursuant to: (1) the issuance, distribution, transfer, or
exchange of any debt, equity Security, or other interest in the Debtors or the Reorganized Debtors;
(2) the creation, modification, consolidation, or recording of any mortgage, deed of trust or other
security interest, or the securing of additional indebtedness by such or other means; (3) the
making, assignment, or recording of any lease or sublease; or (4) the making, delivery, or
recording of any deed or other instrument of transfer under, in furtherance of, or in connection
with, the Plan, including any deeds, bills of sale, assignments, or other instrument of transfer
executed in connection with any transaction arising out of, contemplated by, or in any way related
to the Plan, shall not be subject to any document recording tax, stamp tax, conveyance fee,
intangibles or similar tax, mortgage tax, real estate transfer tax, mortgage recording tax, Uniform
Commercial Code filing or recording fee, regulatory filing or recording fee, or other similar tax
or governmental assessment, and the appropriate state or local governmental officials or agents
shall forego the collection of any such tax or governmental assessment and to accept for filing and
recordation any of the foregoing instruments or other documents without the payment of any such tax
or governmental assessment.
N. Board Representation. The Amended and Restated Certificate of Incorporation and the
Amended and Restated Bylaws shall provide that the Board of Directors shall be fixed at 11 members.
Each projected holder of 10% or more of the voting power of the Reorganized Company on the
Effective Date (and giving effect to the Overallotment Option) based on such holder’s pro rata
share of New Class A Stock (i) to be received in respect of its CCH I Notes Claims, (ii) to be
purchased pursuant to its exercise of Rights and (iii) to be purchased pursuant to the exercise by
such holder of its Overallotment Option, if any, on or prior to the date that is five business days
prior to the commencement of the Confirmation Hearing, shall have the right to appoint one member
of the initial Board of Directors upon emergence for each 10% of the voting power attributable to
such holder’s New Class A Stock. Mr. Allen shall have the right to appoint four (4) of the eleven
(11) members of the initial Board of Directors, and Neil Smit, the President and Chief Executive
Officer of the Reorganized Company, will also serve on the Reorganized Company’s Board of
Directors. The identity of these members will be disclosed on Exhibit 23 to the Plan Supplement
prior to the hearing on Confirmation of the Plan. Subject to the Amended and Restated Bylaws
relating to the filling of vacancies, if any, on the Board of Directors, the members of the Board
of Directors as constituted on the Effective Date will continue to serve at least until the first
annual meeting of stockholders after the Effective Date, which meeting shall not take place until
at least 12 months after the Effective Date. Starting at such first annual meeting of stockholders
and so long as shares of New Class B Stock are outstanding, holders of New Class B Stock shall have
the right to elect 35% of the members of the Board of Directors (rounded up to the next whole
number), and all other members of the Board of Directors shall be elected by majority vote of New
Class A Stock and New Preferred Stock, voting together as a single class.
The members of the Board of Directors elected by holders of New Class B Stock shall have no
less than proportionate representation on each committee of the Board of Directors, except for any
committee (1) required by applicable stock exchange rules to be comprised solely of independent
directors or (2) formed solely for the purpose of reviewing, recommending and/or authorizing any
transaction in which holders of Class B Stock or their affiliates (other than Reorganized CCI or
its subsidiaries) are interested parties. In addition, CCI’s current Chief Executive Officer and
Chief Operating Officer will continue in their same positions.
O. Senior Management. The CEO and the COO of the Reorganized Company shall be the same as
the CEO and COO of CCI on the date hereof. The CEO and COO shall receive Cash and bonus
compensation and benefits on substantially the same terms as (but not less economically favorable
than) those contained in their respective employment agreements in effect on the date hereof. The
CEO shall receive (1) long-term incentive compensation having substantially the same value as the
long-term incentive compensation contained in his employment agreement in effect on the date
hereof, and (2) a waiver with respect to the retention bonus clawback provision contained in his
employment agreement in effect on the date hereof.
Key Executives of the Reorganized Debtors shall be determined by the Board of Directors in
consultation with the CEO. The Reorganized Debtors shall provide Key Executives with Cash and
bonus compensation and benefits consistent with (but not less economically favorable than) such Key
Executives’ respective employment agreements in effect on the date hereof.
P. Management Incentive Plan and VCP. The Reorganized Company shall be deemed to have
adopted the Management Incentive Plan and VCP on the Effective Date.
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Q. Employee and Retiree Benefits. Except with respect to any rejected employment
agreements, on and after the Effective Date, the Reorganized Debtors may: (1) honor, in the
ordinary course of business, any contracts, agreements, policies, programs, and plans for, among
other things, compensation (including equity based and bonus compensation), health care benefits,
disability benefits, deferred compensation benefits, travel benefits, savings, severance benefits,
retirement benefits, welfare benefits, workers’ compensation insurance, and accidental death and
dismemberment insurance for the directors, officers, and employees of any of the Debtors who served
in such capacity at any time; and (2) honor, in the ordinary course of business, Claims of
employees employed as of the Effective Date for accrued vacation time arising prior to the Petition
Date; provided, however, that the Debtors’ or Reorganized Debtors’ performance of
any employment agreement that is not a rejected employment agreement will not entitle any Person to
any benefit or alleged entitlement under any policy, program or plan that has expired or been
terminated before the Effective Date, or restore, reinstate, or revive any such benefit or alleged
entitlement under any such policy, program, or plan. Nothing in the Plan shall limit, diminish, or
otherwise alter the Reorganized Debtors’ defenses, claims, Causes of Action, or other rights with
respect to any such contracts, agreements, policies, programs, and plans. Notwithstanding the
foregoing, pursuant to section 1129(a)(13) of the Bankruptcy Code, on and after the Effective Date,
all retiree benefits (as that term is defined in section 1114 of the Bankruptcy Code), if any,
shall continue to be paid in accordance with applicable law.
R. Creation of Professional Fee Escrow Account. On the Effective Date, the Reorganized
Debtors shall establish the Professional Fee Escrow Account and reserve an amount necessary to pay
all of the Accrued Professional Compensation.
S. Preservation of Rights of Action. Subject to the releases set forth in ARTICLE X.D and
ARTICLE X.E below, and in accordance with section 1123(b) of the Bankruptcy Code, the Reorganized
Debtors shall retain and may enforce all rights to commence and pursue, as appropriate, any and all
Causes of Action, whether arising before or after the Petition Date, including any actions
specifically enumerated in the Plan Supplement, and the Reorganized Debtors’ rights to commence,
prosecute, or settle such Causes of Action shall be preserved notwithstanding the occurrence of the
Effective Date. The Reorganized Debtors may pursue such Causes of Action, as appropriate, in
accordance with the best interests of the Reorganized Debtors. No Entity may rely on the absence
of a specific reference in the Plan, the Plan Supplement or the Disclosure Statement to any Cause
of Action against them as any indication that the Debtors or Reorganized Debtors, as applicable,
will not pursue any and all available Causes of Action against them. The Debtors or Reorganized
Debtors, as applicable, expressly reserve all rights to prosecute any and all Causes of Action
against any Entity, except as otherwise expressly provided in the Plan. Unless any Causes of Action
against an Entity are expressly waived, relinquished, exculpated, released, compromised or settled
in the Plan or a Bankruptcy Court order, the Reorganized Debtors expressly reserve all Causes of
Action, for later adjudication, and, therefore no preclusion doctrine, including the doctrines of
res judicata, collateral estoppel, issue preclusion, claim preclusion, estoppel (judicial,
equitable or otherwise) or laches, shall apply to such Causes of Action upon, after, or as a
consequence of the Confirmation or the Effective Date.
Further, subject to the releases set forth in ARTICLE X.D and ARTICLE X.D below, the
Reorganized Debtors reserve and shall retain the foregoing Causes of Action notwithstanding the
rejection or repudiation of any Executory Contract during the Chapter 11 Cases or pursuant to the
Plan. In accordance with section 1123(b)(3) of the Bankruptcy Code, any Causes of Action that a
Debtor may hold against any Entity shall vest in the Reorganized Debtors, as the case may be. The
applicable Reorganized Debtor, through its authorized agents or representatives, shall retain and
may exclusively enforce any and all such Causes of Action. The Reorganized Debtors shall have the
exclusive right, authority, and discretion to determine and to initiate, file, prosecute, enforce,
abandon, settle, compromise, release, withdraw or litigate to judgment any such Causes of Action
and to decline to do any of the foregoing without the consent or approval of any third party or
further notice to or action, order or approval of the Bankruptcy Court.
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ARTICLE VII.
TREATMENT OF EXECUTORY CONTRACTS
A. Assumption and Rejection of Executory Contracts. With the exception of Executory
Contracts between a Debtor (other than CII) and a CII Settlement Claim Party, which shall be deemed
rejected unless set forth in clause (b) of the definition of “CII Settlement Claim,” each of the
Debtors’ Executory Contracts, including the Management Agreement, the Mutual Services Agreement,
and the Employment Agreements (subject to the conditions in ARTICLES VI.O and VII.A), shall be
deemed assumed as of the Effective Date, unless listed on Exhibit 24 to the Plan Supplement and
mutually agreed to by the Debtors, the Requisite Holders, and Mr. Allen.
The Employment Agreements of the CEO and COO shall be modified as set forth in ARTICLE VI.O
and be deemed assumed as of the Effective Date.
The Employment Agreements of the Chief Financial Officer, Chief Restructuring Officer, General
Counsel and Corporate Secretary, Chief Marketing Officer, and Chief Technology Officer as of the
Petition Date shall be deemed assumed as of the Effective Date, contingent upon amending such
Employment Agreements, to the extent applicable, to: (i) conform the definition of “Change in
Control” to the corresponding definition in the VCP; (ii) provide that “Good Reason” shall not
exist under the Employment Agreements by virtue of the filing of the Chapter 11 Cases or the
implementation of the Plan; and (iii) include an acknowledgement that, contingent upon the VCP
becoming effective as set forth in the Plan, no awards will be granted in 2009 under the Incentive
Program in place as of the Petition Date.
The Employment Agreements of the Chief Accounting Officer, Treasurer, SVP–IT, SVP–Business
Development, SVP–Customer Operations, SVP–Media, President–West Division and President–East
Division shall be deemed assumed as of the Effective Date, contingent upon amending such Employment
Agreements to: (i) conform the definition of “Change in Control” to the corresponding definition in
the VCP; and (ii) provide that “Good Reason” shall not exist under the Employment Agreements by
virtue of the filing of the Chapter 11 Cases or the implementation of
the Plan.
Except as expressly provided otherwise, the Plan shall give effect to any subordination rights
as required by section 510(a) of the Bankruptcy Code.
Entry of the Confirmation Order shall constitute a Bankruptcy Court order approving the
assumptions or rejections of such Executory Contracts as set forth in the Plan, all pursuant to
sections 365(a) and 1123 of the Bankruptcy Code. Unless otherwise indicated, all assumptions or
rejections of such Executory Contracts in the Plan are effective as of the Effective Date. Each
such Executory Contract assumed pursuant to the Plan or by Bankruptcy Court order but not assigned
to a third party prior to the Effective Date shall revest in and be fully enforceable by the
applicable contracting Reorganized Debtor in accordance with its terms, except as such terms may
have been modified by such order. Notwithstanding anything to the contrary in the Plan, the Debtors
or Reorganized Debtors, as applicable, reserve the right, with the consent of the Requisite Holders
and Mr. Allen, to alter, amend, modify or supplement the Exhibit of Executory Contracts identified
in the Plan Supplement.
B. Indemnification Obligations. Notwithstanding anything to the contrary herein, the
obligations of the Debtors as provided in the Debtors’ respective certificates of incorporation,
bylaws, applicable law or other applicable agreements as of the Petition Date to indemnify, defend,
reimburse, exculpate, advance fees and expenses to, or limit the liability of directors or officers
who were directors or officers of such Debtor at any time prior to the Effective Date,
respectively, against any claims or causes of action, whether direct or derivative, liquidated or
unliquidated, fixed or contingent, disputed or undisputed, matured or unmatured, known or unknown,
foreseen or unforeseen, asserted or unasserted, shall survive confirmation of the Plan, remain
unaffected thereby after the Effective Date and not be discharged, irrespective of whether such
indemnification, defense, advancement, reimbursement, exculpation or limitation is owed in
connection with an event occurring before or after the Petition Date. Any Claim based on the
Debtors’ obligations herein shall not be a Disputed Claim or subject to any objection in either
case by reason of section 502(e)(1)(B) of the Bankruptcy Code.
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As of the Effective Date, each Debtor’s bylaws shall provide for the indemnification, defense,
reimbursement, exculpation, and/or limitation of liability of, and advancement of fees and expenses
to, directors and officers who were directors or officers of such Debtor, at any time prior to the
Effective Date at least to the same extent as the bylaws of each of the Respective Debtors on the
Petition Date, against any claims or causes of action whether direct or derivative, liquidated or
unliquidated, fixed or contingent, disputed or undisputed, matured or unmatured, known or unknown,
foreseen or unforeseen, asserted or unasserted, and none of the Reorganized Debtors shall amend
and/or restate its certificate of incorporation or bylaws before or after the Effective Date to
terminate or materially adversely affect any of the Reorganized Debtors’ obligations or such
directors’ or officers’ rights.
In addition, after the Effective Date, none of the Reorganized Debtors shall terminate or
otherwise reduce the coverage under any directors’ and officers’ insurance policies (including any
“tail policy”) in effect on the Petition Date, with respect to conduct occurring prior thereto, and
all directors and officers of the Debtors who served in such capacity at any time prior to the
Effective Date shall be entitled to the full benefits of any such policy for the full term of such
policy regardless of whether such directors and/or officers remain in such positions after the
Effective Date.
C. Cure of Defaults for Assumed Executory Contracts. With respect to each of the Debtors’
Executory Contracts to be assumed, the Debtors shall have designated a proposed Cure, and the
assumption of such Executory Contract may be conditioned upon the disposition of all issues with
respect to Cure. Any provisions or terms of the Debtors’ Executory Contracts to be assumed pursuant
to the Plan that are, or may be, alleged to be in default, shall be satisfied solely by Cure or by
an agreed-upon waiver of Cure. Except with respect to Executory Contracts in which the Debtors and
the applicable counterparties have stipulated in writing to payment of Cure, all requests for
payment of Cure that differ from the amounts proposed by the Debtors must be Filed with the Notice,
Claims and Solicitation Agent on or before the Cure Bar Date. The Cure Bar Date shall not apply to
any franchise or Executory Contract with a state or local franchise authority. Any request for
payment of Cure that is not timely Filed shall be disallowed automatically and forever barred from
assertion and shall not be enforceable against any Reorganized Debtor, without the need for any
objection by the Reorganized Debtors or further notice to or action, order, or approval of the
Bankruptcy Court, and any Claim for Cure shall be deemed fully satisfied, released, and discharged
upon payment by the applicable Debtor of the amount listed on the Debtors’ proposed Cure schedule,
notwithstanding anything included in the Schedules or in any Proof of Claim to the contrary;
provided, however, that nothing shall prevent the applicable Reorganized Debtor from paying any
Cure despite the failure of the relevant counterparty to File such request for payment of such
Cure. The Reorganized Debtors also may settle any Cure without further notice to or action, order,
or approval of the Bankruptcy Court.
If the Debtors or Reorganized Debtors, as applicable, object to any Cure or any other matter
related to
assumption, the Bankruptcy Court shall determine the Allowed amount of such Cure and any
related issues. If there is a dispute regarding such Cure, the ability of the applicable
Reorganized Debtor or any assignee to provide “adequate assurance of future performance” within the
meaning of section 365 of the Bankruptcy Code, or any other matter pertaining to assumption, then
Cure shall occur as soon as reasonably practicable after entry of a Final Order resolving such
dispute, approving such assumption (and, if applicable, assignment), or as may be agreed upon by
the applicable Debtor or Reorganized Debtor, and the counterparty to the Executory Contract. Any
counterparty to an Executory Contract that fails to object timely to the proposed assumption of any
Executory Contract will be deemed to have consented to such assumption. The Debtors or Reorganized
Debtors, as applicable, reserve the right, with the consent of the Requisite Holders and Mr. Allen,
either to reject or nullify the assumption of any Executory Contract no later than thirty days
after a Final Order determining the Cure or any request for adequate assurance of future
performance required to assume such Executory Contract.
Assumption of any Executory Contract pursuant to the Plan or otherwise, except any Executory
Contract with a state or local franchise authority shall result in the full release and
satisfaction of any Claims or defaults, whether monetary or nonmonetary, including defaults of
provisions restricting the change in control or ownership interest composition or other
bankruptcy-related defaults, arising under any assumed Executory Contract at any time prior to the
effective date of assumption. Any Proof of Claim Filed with respect to an Executory Contract that
has been assumed shall be deemed disallowed and expunged, without further notice to or action,
order or approval of the Bankruptcy Court.
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D. Claims Based on Rejection or Repudiation of Executory Contracts. Unless otherwise
provided by a Bankruptcy Court order, any Proofs of Claim asserting Claims arising from the
rejection or repudiation of the Debtors’ Executory Contracts pursuant to the Plan or otherwise must
be Filed with the Notice, Claims and Solicitation Agent no later than thirty days after the later
of the Effective Date or the effective date of rejection or repudiation. Any Proofs of Claim
arising from the rejection or repudiation of the Debtors’ Executory Contracts that are not timely
Filed shall be disallowed automatically, forever barred from assertion, and shall not be
enforceable against any Reorganized Debtor without the need for any objection by the Reorganized
Debtors or further notice to or action, order, or approval of the Bankruptcy Court, and any Claim
arising out of the rejection or repudiation of the Executory Contract shall be deemed fully
satisfied, released, and discharged, notwithstanding anything in the Schedules or a Proof of Claim
to the contrary.
E. Reservation of Rights. Neither the exclusion nor inclusion of any contract or lease in
the Plan Supplement, nor anything contained in the Plan, shall constitute an admission by the
Debtors that any such contract or lease is in fact an Executory Contract or that any Reorganized
Debtor has any liability thereunder. If there is a dispute regarding whether a contract or lease
is or was executory or unexpired at the time of assumption or rejection, the Debtors or Reorganized
Debtors, as applicable, shall have thirty (30) days following entry of a Final Order resolving such
dispute to alter their treatment of such contract or lease.
F. Nonoccurrence of Effective Date. In the event that the Effective Date does not occur,
the Bankruptcy Court shall retain jurisdiction with respect to any consensual request to extend the
deadline for assuming or rejecting unexpired leases pursuant to section 365(d)(4) of the Bankruptcy
Code.
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ARTICLE VIII.
PROCEDURES FOR RESOLVING CLAIMS AND DISPUTES
A. Allowance of Claims and Interests. After the Effective Date, each Reorganized Debtor
shall have and retain any and all rights and defenses such Debtor had with respect to any Claim or
Interest immediately prior to the Effective Date.
B. Claims and Interests Administration Responsibilities. Except as otherwise specifically
provided in the Plan, after the Effective Date, the Reorganized Debtors shall have the sole
authority: (1) to File, withdraw or litigate to judgment, objections to Claims or Interests; (2) to
settle or compromise any Disputed Claim without any further notice to or action, order or approval
by the Bankruptcy Court; and (3) to administer and adjust the Claims Register to reflect any such
settlements or compromises without any further notice to or action, order or approval by the
Bankruptcy Court.
C. Estimation of Claims and Interests. Before or after the Effective Date, the Debtors or
Reorganized Debtors, as applicable, may (but are not required to) at any time request that the
Bankruptcy Court estimate any Disputed Claim or Interest that is contingent or unliquidated
pursuant to section 502(c) of the Bankruptcy Code for any reason, regardless of whether any party
previously has objected to such Claim or Interest or whether the Bankruptcy Court has
ruled on any such objection, and the Bankruptcy Court shall retain jurisdiction to estimate any
such Claim or Interest, including during the litigation of any objection to any Claim or Interest
or during the appeal relating to such objection. Notwithstanding any provision otherwise in the
Plan, a Claim or Interest that has been expunged from the Claims Register, but that either is
subject to appeal or has not been the subject of a Final Order, shall be deemed to be estimated at
zero dollars, unless otherwise ordered by the Bankruptcy Court. In the event that the Bankruptcy
Court estimates any contingent or unliquidated Claim or Interest, that estimated amount shall
constitute a maximum limitation on such Claim or Interest for all purposes under the Plan
(including for purposes of distributions), and the relevant Reorganized Debtor may elect to pursue
any supplemental proceedings to object to any ultimate distribution on such Claim or Interest.
D. Adjustment to Claims and Interests Without Objection. Any Claim or Interest that has
been paid or satisfied, or any Claim or Interest that has been amended or superseded, may be
adjusted or expunged on the Claims Register by the Reorganized Debtors without a claims objection
having to be Filed and without any further notice to or action, order, or approval of the
Bankruptcy Court. Beginning on the end of the first full calendar quarter that is at least 90 days
after the Effective Date, the Reorganized Debtors shall publish every calendar quarter a list of
all Claims or Interests that have been paid, satisfied, amended or superseded during such prior
calendar quarter.
E. Disallowance of Claims or Interests. Any Claims or Interests held by Entities from
which property is recoverable under section 542, 543, 550, or 553 of the Bankruptcy Code or that is
a transferee of a transfer avoidable under section 522(f), 522(h), 544, 545, 547, 548, 549 or
724(a) of the Bankruptcy Code, shall be deemed disallowed pursuant to section 502(d) of the
Bankruptcy Code, and Holders of such Claims and Interests may not receive any distributions on
account of such Claims and Interests until such time as such Causes of Action against that Entity
have been settled or a Bankruptcy Court order with respect thereto has been entered and all sums
due, if any, to the Debtors by that Entity have been turned over or paid to the Reorganized
Debtors. All Claims Filed on account of an Indemnification Obligation to a director, officer or
employee shall be deemed satisfied and expunged from the Claims Register as of the Effective Date
to the extent such Indemnification Obligation is assumed (or honored or reaffirmed, as the case may
be) pursuant to the Plan, without any further notice to or action, order or approval of the
Bankruptcy Court. All Claims Filed on account of an employee benefit shall be deemed satisfied and
expunged from the Claims Register as of the Effective Date to the extent the Reorganized Debtors
elect to honor such employee benefit, without any further notice to or action, order or approval of
the Bankruptcy Court.
F. Offer of Judgment. The Reorganized Debtors are authorized to serve upon a Holder of a
Claim an offer to allow judgment to be taken on account of such Claim, and, pursuant to Bankruptcy
Rules 7068 and 9014, Federal Rule of Civil Procedure 68 shall apply to such offer of judgment. To
the extent the Holder of a Claim or Interest must pay the costs incurred by the Reorganized Debtors
after the making of such offer, the Reorganized Debtors are entitled to setoff such amounts against
the amount of any distribution to be paid to such Holder without any further notice to or action,
order, or approval of the Bankruptcy Court.
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G. Amendments to Claims. On or after the Effective Date, a Claim may not be Filed or
amended without the prior authorization of the Bankruptcy Court or the Reorganized Debtors, and any
such new or amended Claim Filed shall be deemed disallowed in full and expunged without any further
action.
56
ARTICLE IX.
PROVISIONS GOVERNING DISTRIBUTIONS
A. Distributions on Account of Claims and Interests Allowed As of the Effective Date.
Except as otherwise provided in the Plan, a Final Order, or as agreed to by the relevant parties,
distributions under the Plan on account of Claims and Interests Allowed on or before the Effective
Date shall be made on the Distribution Date; provided, however, that (1) Allowed
Administrative Expense Claims with respect to liabilities incurred by the Debtors in the ordinary
course of business during the Chapter 11 Cases or assumed by the Debtors prior to the Effective
Date shall be paid or performed in the ordinary course of business in accordance with the terms and
conditions of any controlling agreements, course of dealing, course of business or industry
practice, and (2) Allowed Priority Tax Claims, unless otherwise agreed, shall be paid in full in
Cash on the Distribution Date.
B. Distributions on Account of Claims and Interests Allowed After the Effective Date.
1. Payments and Distributions on Disputed Claims. Except as otherwise
provided in the Plan, a Final
Order, or as agreed to by the relevant parties, distributions under the Plan on account of Disputed
Claims that become
Allowed after the Effective Date shall be made on the Periodic Distribution Date that is at least
thirty (30) days after the Disputed Claim becomes an Allowed Claim or Interest; provided, however,
that (a) Disputed Administrative Expense Claims with respect to liabilities incurred by the Debtors
in the ordinary course of business during the Chapter 11 Cases or assumed by the Debtors on or
before the Effective Date that become Allowed after the Effective Date shall be paid or performed
in the ordinary course of business in accordance with the terms and conditions of any controlling
agreements, course of dealing, course of business, or industry practice and (b) Disputed Priority
Tax Claims that become Allowed Priority Tax Claims after the Effective Date, unless otherwise
agreed, shall be paid in full in Cash on the Periodic Distribution Date that is at least thirty
(30) days after the Disputed Claim becomes an Allowed Claim.
2. Special Rules for Distributions to Holders of Disputed Claims. Notwithstanding any
provision otherwise in the Plan and except as otherwise agreed by the relevant parties: (a) no
partial payments and no partial distributions shall be made with respect to a Disputed Claim until
all such disputes in connection with such Disputed Claim have been resolved by settlement or Final
Order and (b) any Entity that holds both an Allowed Claim and a Disputed Claim shall not receive
any distribution on the Allowed Claim unless and until all objections to the Disputed Claim have
been resolved by settlement or Final Order and the Claims have been Allowed.
C. Delivery of Distributions.
1. Record Date for Distributions. On the Effective Date, the Claims Register shall be
closed and any party responsible for making distributions shall instead be authorized and entitled
to recognize only those record Holders listed on the Claims Register as of the close of business on
the Effective Date. Notwithstanding the foregoing, if a Claim or Interest, other than one based on
a publicly-traded Certificate is transferred twenty or fewer days before the Effective Date, the
Distribution Agent shall make distributions to the transferee only to the extent practical and in
any event only if the relevant transfer form contains an unconditional and explicit certification
and waiver of any objection to the transfer by the transferor.
2. Distribution Agent. The Distribution Agent shall make all distributions required
under the Plan, except that distributions to Holders of Allowed Claims and Interests governed by a
separate agreement and administered by a Servicer shall be deposited with the appropriate Servicer,
at which time such distributions shall be deemed complete, and the Servicer shall deliver such
distributions in accordance with the Plan and the terms of the governing agreement.
3. Delivery of Distributions in General. Except as otherwise provided in the Plan,
and notwithstanding any authority to the contrary, distributions to Holders of Allowed Claims and
Interests shall be made to Holders of record as of the Effective Date by the Distribution Agent or
a Servicer, as appropriate: (a) in accordance with Federal Rule of Civil Procedure 4, as modified
and made applicable by Bankruptcy Rule 7004; (b) to the signatory set forth on any of the Proofs of
Claim or Interest Filed by such Holder or other representative identified therein (or at the last
known addresses of such Holder if no Proof of Claim or Interest is Filed or if the
57
Debtors have been notified in writing of a change of address); (c) at the addresses set forth in
any written notices of address changes delivered to the Distribution Agent after the date of any
related Proof of Claim or Interest; (d) at the addresses reflected in the Schedules if no Proof of
Claim or Interest has been Filed and the Distribution Agent has not received a written notice of a
change of address; or (e) on any counsel that has appeared in the Chapter 11 Cases on the Holder’s
behalf. Distributions under the Plan on account of Allowed Claims and Interests shall not be
subject to levy, garnishment, attachment, or like legal process, so that each Holder of an Allowed
Claim or Interest shall have and receive the benefit of the distributions in the manner set forth
in the Plan. The Debtors, the Reorganized Debtors, and the Distribution Agent, as applicable, shall
not incur any liability whatsoever on account of any distributions under the Plan except for gross
negligence or willful misconduct.
4. Compliance Matters. In connection with the Plan, to the extent applicable, the
Reorganized Debtors and the Distribution Agent shall comply with all tax withholding and reporting
requirements imposed on them by any governmental unit, and all distributions pursuant to the Plan
shall be subject to such withholding and reporting requirements. Notwithstanding any provision in
the Plan to the contrary, the Reorganized Debtors and the Distribution Agent shall be authorized to
take all actions necessary or appropriate to comply with such withholding and reporting
requirements, including liquidating a portion of the distribution to be made under the Plan to
generate sufficient funds to pay applicable withholding taxes, withholding distributions pending
receipt of information necessary to facilitate such distributions, or establishing any other
mechanisms they believe are reasonable and appropriate. The Reorganized Debtors reserve the right
to allocate all distributions made under the Plan in compliance with all applicable wage
garnishments, alimony, child support, and other spousal awards, liens, and encumbrances.
5. Undeliverable Distributions. If any distribution to a Holder of an Allowed Claim or
Interest is returned to a Distribution Agent as undeliverable, no further distributions shall be
made to such Holder unless and until such Distribution Agent is notified in writing of such
Holder’s then-current address, at which time all currently due missed distributions shall be made
to such Holder on the next Periodic Distribution Date. Undeliverable distributions shall remain in
the possession of the Reorganized Debtors until such time as a distribution becomes deliverable, or
such distribution reverts to the Reorganized Debtors and shall not be supplemented with any
interest, dividends or other accruals of any kind.
6. Reversion. Any distribution under the Plan that is an Unclaimed
Distribution for a period of six (6) months after distribution shall be deemed
unclaimed property under section 347(b) of the Bankruptcy Code and such Unclaimed
Distribution shall revest in the Reorganized Debtors. Upon such revesting, the Claim
or Interest of any Holder or its successors with respect to such property shall be
cancelled, discharged, and forever barred notwithstanding any applicable federal or
state escheat, abandoned or unclaimed property laws to the contrary. The provisions of
the Plan regarding undeliverable distributions and Unclaimed Distributions shall apply
with equal force to distributions that are issued by the Debtors, made pursuant to any
indenture or Certificate (but only with respect to the distribution by the Servicer to
Holders that are entitled to be recognized under the relevant indenture or Certificate
and not with respect to Entities to whom those recognized Holders distribute),
notwithstanding any provision in such indenture or Certificate to the contrary and
notwithstanding any otherwise applicable federal or state escheat, abandoned or
unclaimed property law.
7. Manner of Payment Pursuant to the Plan. Any payment in Cash to be made pursuant to
the Plan shall be made at the election of the Reorganized Debtors by check or by wire transfer.
Checks issued by the Distribution Agent or applicable Servicer on account of Allowed Claims and
Interests shall be null and void if not negotiated within ninety (90) days after issuance, but may
be requested to be reissued until the distribution revests in the Reorganized Debtors.
8. Surrender of Cancelled Instruments or Securities. On the Effective Date or as soon
as reasonably practicable thereafter, each Holder of a Certificate shall be deemed to have
surrendered such Certificate to the Distribution Agent or a Servicer (to the extent the relevant
Claim or Interest is governed by an agreement and administered by a Servicer). Such surrendered
Certificate shall be cancelled solely with respect to the Debtors, and such cancellation shall not
alter the obligations or rights of any non-Debtor third parties vis-à-vis one another with respect
to such Certificate. Notwithstanding anything to the contrary herein, this paragraph shall not
apply to Certificates evidencing Claims that are rendered Unimpaired under the Plan.
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D. Claims Paid or Payable by Third Parties.
1. Claims Paid by Third Parties. The Notice, Claims and Solicitation
Agent shall reduce in full a Claim, and such Claim shall be disallowed without a
Claims objection having to be Filed and without any further notice to or action, order
or approval of the Bankruptcy Court, to the extent that the Holder of such Claim
receives payment in full on account of such Claim from a party that is not a Debtor or
Reorganized Debtor. Subject to the last sentence of this paragraph, to the extent a
Holder of a Claim receives a distribution on account of such Claim and receives
payment from a party that is not a Debtor or a Reorganized Debtor on account of such
Claim, such Holder shall, within two weeks of receipt thereof, repay or return the
distribution to the applicable Reorganized Debtor, to the extent the Holder’s total
recovery on account of such Claim from the third party and under the Plan exceeds the
amount of such Claim as of the date of any such distribution under the Plan. The
failure of such Holder to timely repay or return such distribution shall result in the
Holder owing the applicable Reorganized Debtor annualized interest at the Federal
Judgment Rate on such amount owed for each Business Day after the two-week grace
period specified above until the amount is repaid.
2. Claims Payable by Third Parties. No distributions under the Plan
shall be made on account of an
Allowed Claim that is payable pursuant to one of the Debtors’ insurance policies until the Holder
of such Allowed Claim has exhausted all remedies with respect to such insurance policy. To the
extent that one or more of the Debtors’ insurers agrees to satisfy in full a Claim (if and to the
extent adjudicated by a court of competent jurisdiction), then immediately upon such insurers’
agreement, such Claim may be expunged to the extent of any agreed upon satisfaction on the Claims
Register by the Notice, Claims and Solicitation Agent without a Claims objection having to be Filed
and without any further notice to or action, order or approval of the Bankruptcy Court.
E. Allocation Between Principal and Accrued Interest. Except as otherwise provided in the
Plan (e.g,, in Class H-4), the aggregate consideration paid to Holders with respect to their
Allowed Claims shall be treated pursuant to the Plan as allocated first to the principal amount of
such Allowed Claim (to the extent thereof) and, thereafter, to the interest, if any, accrued
through the Effective Date.
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ARTICLE X.
EFFECT OF PLAN CONFIRMATION
A. Discharge of Claims and Termination of Interests. Pursuant to section 1141(d) of the Bankruptcy
Code, and except as otherwise specifically provided in the Plan, the distributions, rights, and
treatment that are provided in the Plan shall be in complete satisfaction, discharge, and release,
effective as of the Effective Date, of Claims, Interests, and Causes of Action of any nature
whatsoever, including any interest accrued on Claims or Interests from and after the Petition Date,
whether known or unknown, against, liabilities of, Liens on, obligations of, rights against, and
Interests in, the Debtors or any of their assets or properties, regardless of whether any property
shall have been distributed or retained pursuant to the Plan on account of such Claims and
Interests, including demands, liabilities, and Causes of Action that arose before the Effective
Date, any liability (including withdrawal liability) to the extent such Claims or Interests relate
to services performed by employees of the Debtors prior to the Effective Date and that arise from a
termination of employment or a termination of any employee or retiree benefit program, regardless
of whether such termination occurred prior to or after the Effective Date, any contingent or
non-contingent liability on account of representations or warranties issued on or before the
Effective Date, and all debts of the kind specified in sections 502(g), 502(h), or 502(i) of the
Bankruptcy Code, in each case whether or not: (1) a Proof of Claim or Interest based upon such
debt, right or Interest is Filed or deemed Filed pursuant to section 501 of the Bankruptcy Code;
(2) a Claim or Interest based upon such debt, right or Interest is Allowed pursuant to section 502
of the Bankruptcy Code; or (3) the Holder of such a Claim or Interest has accepted the Plan. Any
default by the Debtors or their Affiliates with respect to any Claim or Interest that existed
immediately prior to or on account of the filing of the Chapter 11 Cases shall be deemed Cured on
the Effective Date. The Confirmation Order shall be a judicial determination of the discharge of
all Claims and Interests subject to the Effective Date occurring.
B. Compromise and Settlement of Claims and Controversies. Pursuant to section 363 of the Bankruptcy
Code and Bankruptcy Rule 9019 and in consideration for the distributions and other benefits
provided pursuant to the Plan, the provisions of the Plan shall constitute a good faith compromise
of all Claims, Interests, and controversies relating to the contractual, legal, and subordination
rights that a Holder of a Claim may have with respect to any Allowed Claim or Interest, or any
distribution to be made on account of such an Allowed Claim or Interest. The entry of the
Confirmation Order shall constitute the Bankruptcy Court’s approval of the compromise or settlement
of all such Claims, Interests, and controversies, as well as a finding by the Bankruptcy Court that
such compromise or settlement is in the best interests of the Debtors, their Estates, and Holders
of Claims and Interests and is fair, equitable, and reasonable. In accordance with the provisions
of the Plan, pursuant to section 363 of the Bankruptcy Code and Bankruptcy Rule 9019(a), without
any further notice to or action, order or approval of the Bankruptcy Court, after the Effective
Date, the Reorganized Debtors may compromise and settle Claims against them and Causes of Action
against other Entities.
C. CCO Credit Facility. Without reservation or qualification, the Debtors (1) irrevocably waive and
abjure any right to engage in any additional borrowing under the reinstated CCO Credit Facility,
and (2) commit to Cash collateralize, if required by section 1124 of the Bankruptcy Code, by the
Effective Date, any letters of credit issued pursuant to the CCO Credit Facility that remain
outstanding as of the Effective Date.
D. Releases by the Debtors. On the Effective Date and effective as of the Effective Date, for the
good and valuable consideration provided by each of the Debtor Releasees (as defined below),
including: (1) the discharge of debt and all other good and valuable consideration paid pursuant to
the Plan; (2) the obligations of the Holders of Claims party to Plan Support Agreements to provide
the support necessary for the Effective Date of the Plan; and (3) the services of the Debtors’
present and former officers and directors in facilitating the expeditious implementation of the
restructuring contemplated by the Plan, each of the Debtors shall provide a full discharge and
release to each Releasing Party, including each other Debtor, and each of their respective members,
officers, directors, agents, financial advisors, attorneys, employees, partners, affiliates and
representatives (collectively, the “Debtor Releasees” (and each such Debtor Releasee so released
shall be deemed
released and discharged by the Debtors)) and their respective properties from any and all Causes of
Action, whether known or unknown, whether for tort, fraud, contract, violations of federal or state
securities laws or otherwise, arising from or related in any way to the Debtors, including those
that any of the Debtors or Reorganized Debtors would have been legally entitled to assert against a
Debtor Releasee in their own right (whether individually or collectively) or that any Holder of a
Claim or Interest or other Entity, would
60
have been legally entitled to assert on behalf of any of the Debtors or any of their Estates,
including those in any way related to the Chapter 11 Cases or the Plan to the fullest extent of the
law; provided, however, that the foregoing “Debtor Release” shall not operate to waive or release
any person or Entity other than a Releasing Party from any causes of action expressly set forth in
and preserved by the Plan. Notwithstanding anything in the Plan to the contrary, the Debtors or the
Reorganized Debtors will not release any Causes of Action that they may have now or in the future
against the Non-Released Parties.
E. Third Party Releases. On the Effective Date and effective as of the Effective Date,
the Holders of Claims and Interests shall be deemed to provide a full discharge and
release to the Debtor Releasees and their respective property from any and all Causes of
Action, whether known or unknown, whether for tort, contract, violations of federal or
state securities laws or otherwise, arising from or related in any way to the Debtors,
including those in any way related to the Chapter 11 Cases or the Plan; provided, that the
foregoing “Third Party Release” shall not operate to waive or release any person or Entity
(other than a Debtor Releasee) from any Causes of Action expressly set forth in and
preserved by the Plan, the Plan Supplement or related documents, and provided further that
the foregoing “Third Party Release” shall not impair the rights (a) to which an Allowed
Unimpaired Claim entitles the Holder of such Allowed Unimpaired Claim or (b) of a Holder
of a General Unsecured Claim as to any General Unsecured Claim. Notwithstanding anything
in the Plan to the contrary, the Releasing Parties will not release any Causes of Action
that they, the Debtors or the Reorganized Debtors may have now or in the future against
the Non-Released Parties. Entry of the Confirmation Order shall constitute the Bankruptcy
Court’s approval, pursuant to Bankruptcy Rule 9019, of the Third Party Release, and
further, shall constitute its finding that the Third Party Release is: (1) in exchange
for the good and valuable consideration provided by the Debtor Releasees, a good faith
settlement and compromise of the claims released by the Third Party Release; (2) in the
best interests of the Debtors and all Holders of Claims; (3) fair, equitable and
reasonable; (4) given and made after due notice and opportunity for hearing; and (5) a bar
to any of the Holders of Claims and Interests asserting any claim released by the Third
Party Release against any of the Debtor Releasees.
Nothing in the Confirmation Order or the Plan shall affect a release of any claim by the
United States Government or any of its agencies or any state and local authority whatsoever,
including any claim arising under the Internal Revenue Code, federal securities laws, the
environmental laws or any criminal laws of the United States or any state and local authority
against the Released Parties, nor shall anything in the Confirmation Order or the Plan enjoin the
United States Government or any of its agencies or any state or local authority from bringing any
claim, suit, action or other proceedings against the Released Parties for any liability whatsoever,
including without limitation any claim, suit or action arising under the Internal Revenue Code,
federal securities laws, the environmental laws or any criminal laws of the United States
Government or any of its agencies or any state or local authority, nor shall anything in the
Confirmation Order or the Plan exculpate any party from any liability to the United States
Government or any of its agencies or any state and local authority whatsoever, including any
liabilities arising under the Internal Revenue Code, federal securities laws, the environmental
laws or any criminal laws of the United States Government or any of its agencies or any state and
local authority against the Released Parties. This paragraph, however, shall in no way affect or
limit the discharge granted to the Debtors under sections 524 and 1141 of the Bankruptcy Code.
F. Injunction. From and after the Effective Date, all Entities are permanently enjoined from
commencing or continuing in any manner, any Cause of Action released or to be released pursuant to
the Plan or the Confirmation Order.
G. Exculpation. The Exculpated Parties shall neither have, nor incur any liability to any Entity
for any pre-petition or post-petition act taken or omitted to be taken in connection with, or
related to
formulating, negotiating, preparing, disseminating, implementing, administering, confirming or
effecting the Effective Date of the Plan, the Disclosure Statement or any contract, instrument,
release or other agreement or document created or entered into in connection with the Plan or any
other pre-petition or post-petition act taken or omitted to be taken in connection with or in
contemplation of the restructuring of the Company; provided, that the foregoing provisions of this
exculpation shall have no effect on the liability of any Entity that results from any such act or
omission that is determined in a final order to have constituted gross negligence or willful
misconduct; provided, further, that each Exculpated Party shall be entitled to rely upon
61
the advice of counsel concerning his, her or its duties pursuant to, or in connection with, the
Plan; provided further, that the foregoing “Exculpation” shall not apply to any acts or omissions
expressly set forth in and preserved by the Plan, the Plan Supplement or related documents, except
for acts or omissions of Releasing Parties.
H. Protection Against Discriminatory Treatment. Consistent with section 525 of the Bankruptcy Code
and the Supremacy Clause of the U.S. Constitution, all Entities, including Governmental Units,
shall not discriminate against the Reorganized Debtors or deny, revoke, suspend or refuse to renew
a license, permit, charter, franchise or other similar grant to, condition such a grant to,
discriminate with respect to such a grant against, the Reorganized Debtors or another Entity with
whom such Reorganized Debtors have been associated, solely because one of the Debtors has been a
debtor under chapter 11, has been insolvent before the commencement of the Chapter 11 Cases (or
during the Chapter 11 Cases but before the Debtor is granted or denied a discharge) or has not paid
a debt that is dischargeable in the Chapter 11 Cases.
I. Setoffs and Recoupment. The Debtors may setoff against or recoup from any Claims of
any nature whatsoever that the Debtors may have against the claimant, but neither the
failure to do so nor the allowance of any Claim hereunder shall constitute a waiver or
release by the Debtors or the Reorganized Debtors of any such Claim it may have against
such claimant.
In no event shall any Holder of Claims or Interests be entitled to setoff any Claim or
Interest against any Claim, right, or Cause of Action of the Debtors or Reorganized Debtors unless
such Holder has Filed a motion with the Bankruptcy Court requesting the authority to perform such
setoff on or before the Confirmation Date, and notwithstanding any indication in any Proof of Claim
or Interest or otherwise that such Holder asserts, has, or intends to preserve any right of setoff
pursuant to section 553 or otherwise.
In no event shall any Holder of Claims or Interests be entitled to recoup any Claim or
Interest against any Claim, right, or Cause of Action of the Debtors or the Reorganized Debtors
unless such Holder actually has performed such recoupment and provided notice thereof in writing to
the Debtors on or before the Confirmation Date, notwithstanding any indication in any Proof of
Claim or Interest or otherwise that such Holder asserts, has, or intends to preserve any right of
recoupment.
J. Release of Liens. Except as otherwise provided in the Plan (including as to reinstated debt) or
in any contract, instrument, release, or other agreement or document created pursuant to the Plan,
on the Effective Date and concurrently with the applicable distributions made pursuant to the Plan
and, in the case of a Secured Claim, satisfaction in full of the portion of the Secured Claim that
is Allowed as of the Effective Date, all mortgages, deeds of trust, Liens, pledges, or other
security interests against any property of the Estates shall be fully released, and discharged, and
all of the right, title, and interest of any Holder of such mortgages, deeds of trust, Liens,
pledges, or other security interests shall revert to the Reorganized Debtor and its successors and
assigns.
K. Document Retention. On and after the Effective Date, the Reorganized Debtors may maintain
documents in accordance with their current document retention policy, as may be altered, amended,
modified or supplemented by the Reorganized Debtors in the ordinary course of business.
L. Reimbursement or Contribution. If the Bankruptcy Court disallows a Claim for reimbursement or
contribution of an Entity pursuant to section 502(e)(1)(B) of the Bankruptcy Code, then to the
extent that such Claim is contingent as of the time of allowance or disallowance, such Claim shall
be forever disallowed notwithstanding section 502(j) of the Bankruptcy Code, unless prior to the
Effective Date: (1) such Claim has been adjudicated as noncontingent or (2) the relevant Holder of
a Claim has Filed a noncontingent Proof of Claim on account of such Claim and a Final Order has
been entered determining such Claim as no longer contingent.
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ARTICLE XI.
ALLOWANCE AND PAYMENT OF CERTAIN ADMINISTRATIVE EXPENSE CLAIMS
A. Professional Claims.
1. Final Fee Applications. All final requests for Professional Compensation and
Reimbursement
Claims shall be Filed no later than 45 days after the Effective Date. After notice and a hearing in
accordance with the procedures established by the Bankruptcy Code and prior Bankruptcy Court
orders, the Allowed amounts of such Professional Compensation and Reimbursement Claims shall be
determined by the Bankruptcy Court.
2. Payment of Interim Amounts. Except as otherwise provided in the Plan, Professionals shall
be paid pursuant to the Interim Compensation Order.
3. Professional Fee Escrow Account. On the Effective Date, the Reorganized
Debtors (other than Reorganized CII) shall fund the Professional Fee Escrow Account
with Cash equal to the aggregate Professional Fee Reserve Amount for all
Professionals. The Professional Fee Escrow Account shall be maintained in trust for
the Professionals with respect to whom fees or expenses have been held back pursuant
to the Interim Compensation Order. Such funds shall not be considered property of the
Reorganized Debtors. The remaining amount of Professional Compensation and
Reimbursement Claims owing to the Professionals shall be paid in Cash to such
Professionals by the Reorganized Debtors (other than Reorganized CII) from the
Professional Fee Escrow Account, without interest or other earnings therefrom, when
such Claims are Allowed by a Bankruptcy Court order. When all Claims by Professional
have been paid in full, amounts remaining in the Professional Fee Escrow Account, if
any, shall be paid to the Reorganized Debtors (other than Reorganized CII).
4. Professional Fee Reserve Amount. To receive payment for unbilled fees and expenses incurred
through the Effective Date, on or before the Effective Date, the Professionals shall estimate their
Accrued Professional Compensation prior to and as of the Effective Date and shall deliver such
estimate to the Debtors (other than CII). If a Professional does not provide an estimate, the
Reorganized Debtors (other than Reorganized CII) may estimate the unbilled fees and expenses of
such Professional; provided, however, that such estimate shall not be considered an admission with
respect to the fees and expenses of such Professional. The total amount so estimated as of the
Effective Date shall comprise the Professional Fee Reserve Amount.
5. Post-Effective Date Fees and Expenses. Except as otherwise specifically provided in the
Plan, from and after the Effective Date, each Reorganized Debtor shall, in the ordinary course of
business and without any further notice to or action, order or approval of the Bankruptcy Court,
pay in Cash the reasonable legal, Professional or other fees and expenses incurred by that
Reorganized Debtor after the Effective Date pursuant to the Plan. Upon the Effective Date, any
requirement that Professionals comply with sections 327 through 331 and 1103 of the Bankruptcy Code
in seeking retention or compensation for services rendered after such date shall terminate, and
each Reorganized Debtor may employ and pay any Professional in the ordinary course of business
without any further notice to or action, order or approval of the Bankruptcy Court.
6. Substantial Contribution Compensation and Expenses. Except as otherwise specifically
provided in the Plan, any Entity that requests compensation or expense reimbursement for making a
substantial contribution in the Chapter 11 Cases pursuant to sections 503(b)(3), (4), and (5) of
the Bankruptcy Code must File an application and serve such application on counsel for the Debtors
or Reorganized Debtors, as applicable, and as otherwise required by the Bankruptcy Court, the
Bankruptcy Code, and the Bankruptcy Rules.
7. Indenture Trustee, Administrative Agent, and Collateral Trustee Fees, and
Indemnification Obligations. Unless otherwise ordered by the Bankruptcy Court or
specifically provided for in the Plan, all reasonable fees and expenses of the
indenture trustees, administrative agents, and collateral trustees (and their counsel,
agents, and advisors) that are provided for under the respective indentures or credit
agreements shall be paid in full in Cash without a reduction to the recoveries of
applicable Holders of Allowed Claims as soon as reasonably practicable after the
Effective Date. Notwithstanding the foregoing, to the extent any fees or expenses of
the indenture trustees, the administrative agents, and the collateral trustees are not
paid (including, without limitation, any fees or expenses incurred in connection with
any unresolved litigation relating to Disputed Claims),
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the indenture trustees, the administrative agents, and the collateral trustees may assert their
charging liens against any recoveries received on behalf of their respective Holders for payment of
such unpaid amounts. The contractual indemnification obligations of the Debtors (other than CII) to
these Professionals shall be reinstated as unsecured obligations of the Reorganized Debtors (other
than Reorganized CII). All disputes related to the fees and expenses of the indenture trustees,
administrative agents, and collateral trustees (and their counsel, agents, and advisors) shall be
subject to the jurisdiction of and decided by the Bankruptcy Court. Notwithstanding anything to the
contrary herein, this Article XI.A.7 will not apply to Claims rendered Unimpaired by the Plan.
8. Other Fees. The Debtors (other than CII) shall promptly pay the reasonable,
documented out-of-pocket fees and expenses of Paul, Weiss, Rifkind, Wharton & Garrison
LLP, Houlihan Lokey Howard & Zukin Capital, Inc., and UBS Securities LLC, the legal
and financial advisors engaged by the Crossover Committee, without Paul, Weiss,
Rifkind, Wharton & Garrison LLP, Houlihan Lokey Howard & Zukin Capital, Inc., or UBS
Securities LLC having to file fee applications to receive payment for such fees and
expenses.
The Debtors (other than CII) shall pay the reasonable, documented out-of-pocket fees and
expenses incurred by the members of the Crossover Committee in connection with the negotiation of
the Plan, as well as their due diligence review and the approval and consummation of the
transactions contemplated by the Plan, without such members of the Crossover Committee having to
file fee applications to receive payment for such fees and expenses.
The Debtors (other than CII) shall pay the reasonable, documented out-of-pocket fees incurred
by the members of the Creditors’ Committee.
B. Other Administrative Expense Claims. All requests for payment of an Administrative Expense Claim
must be Filed with the Notice, Claims and Solicitation Agent and served upon counsel to the Debtors
or Reorganized Debtors, as applicable. The Reorganized Debtors may settle and pay any
Administrative Expense Claim in the ordinary course of business without any further notice to or
action, order, or approval of the Bankruptcy Court. In the event that any party with standing
objects to an Administrative Expense Claim, the Bankruptcy Court shall determine the Allowed amount
of such Administrative Expense Claim. Notwithstanding the foregoing, no request for payment of an
Administrative Expense Claim need be Filed with respect to an Administrative Expense Claim
previously Allowed by Final Order.
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ARTICLE XII.
CONDITIONS PRECEDENT TO EFFECTIVE DATE
A. Conditions Precedent to Effective Date. The following shall be satisfied or waived as conditions
precedent to the Effective Date.
1. The Bankruptcy Court shall have approved the Disclosure Statement, in a manner acceptable
to the Debtors, the Requisite Holders and Mr. Allen, as containing adequate information with
respect to the Plan within the meaning of section 1125 of the Bankruptcy Code.
2. The final version of the Plan, the Plan Supplement and all of the documents and exhibits
contained therein shall have been Filed and approved in form and substance reasonably acceptable to
the Debtors, the Requisite Holders and Mr. Allen.
3. The Bankruptcy Court shall enter the Confirmation Order, in form and substance reasonably
satisfactory to the Debtors, the Requisite Holders and Mr. Allen, and such order shall not have
been stayed or modified or vacated on appeal.
4. All governmental, regulatory, and material third party approvals and
consents, including
Bankruptcy Court approval, necessary in connection with the transactions contemplated herein shall
have been obtained and be in full force and effect, and all applicable waiting periods shall have
expired without any action being taken or threatened by any competent authority that would
restrain, prevent or otherwise impose materially adverse conditions on such transactions.
5. All consents, approvals and waivers necessary in connection with the transactions
contemplated herein with respect to Franchises (as defined in the Communications Act of 1934, as
amended, 47 U.S.C. Sections 151 et seq.) or similar authorizations for the provision of cable
television service in areas serving no less than 80% of CCI’s individual basic subscribers in the
aggregate at such time shall have been obtained, unless the condition set forth in this clause
shall have been waived by the Requisite Holders and Mr. Allen.
6. The Confirmation Date shall have occurred.
7. The Debtors shall have received the funds contemplated by the Commitment
Letters and the New
CCH II Notes Commitment Parties shall have fulfilled all of the obligations under the Commitment
Letters.
B. Waiver of Conditions Precedent. The Debtors or the Reorganized Debtors, as applicable, with the
consent of the Requisite Holders and Mr. Allen, may waive any of the conditions to the Effective
Date set forth above at any time, without any notice to parties in interest and without any further
notice to or action, order or approval of the Bankruptcy Court, and without any formal action other
than proceeding to confirm the Plan. The failure of the Debtors or Reorganized Debtors, as
applicable, the Requisite Holders or Mr. Allen to exercise any of the foregoing rights shall not be
deemed a waiver of any other rights, and each such right shall be deemed an ongoing right, which
may be asserted at any time.
C. Effect of Non-Occurrence of Conditions to the Effective Date. Each of the conditions to the
Effective Date must be satisfied or duly waived, and the Effective Date must occur within 180 days
after Confirmation, or by such later date established by Bankruptcy Court order. If the Effective
Date has not occurred within 180 days of Confirmation, then upon motion by a party-in-interest made
before the Effective Date and a hearing, the Confirmation Order may be vacated by the Bankruptcy
Court; provided, however, that notwithstanding the Filing of such motion to vacate, the
Confirmation Order may not be vacated if the Effective Date occurs before the Bankruptcy Court
enters an order granting such motion. If the Confirmation Order is vacated, then except as
provided in any order of the Bankruptcy Court vacating the Confirmation Order, the Plan will be
null and void in all respects, including the discharge of Claims and termination of Interests
pursuant to the Plan and section 1141 of the Bankruptcy Code and the assumptions,
assignments or rejections of Executory Contracts, and nothing contained in the Plan or Disclosure
Statement shall: (1) constitute a waiver or release of any Claims, Interests or Causes of
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Action; (2) prejudice in any manner the rights of any Debtor or any other Entity; or (3) constitute
an admission, acknowledgment, offer or undertaking of any sort by such Debtor or any other Entity.
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ARTICLE XIII.
MODIFICATION, REVOCATION, OR WITHDRAWAL OF THE PLAN
A. Modification or Amendments. Except as otherwise specifically provided in the Plan, and subject
to the Plan Support Agreements and conditions to the Effective Date, the Debtors reserve the right
to modify the Plan and seek Confirmation consistent with the Bankruptcy Code. Subject to certain
restrictions and requirements set forth in section 1127 of the Bankruptcy Code and Bankruptcy Rule
3019 and those restrictions on modifications set forth in the Plan, each of the Debtors expressly
reserves its respective rights to revoke or withdraw or to alter, amend or modify materially the
Plan with respect to such Debtor, one or more times, after Confirmation, and, to the extent
necessary, may initiate proceedings in the Bankruptcy Court to so alter, amend or modify the Plan,
or remedy any defect or omission, or reconcile any inconsistencies in the Plan, the Disclosure
Statement or the Confirmation Order, in such matters as may be necessary to carry out the purposes
and intent of the Plan, subject to the terms of the Plan Support Agreement and conditions to the
Effective Date. Upon its Filing, the Plan Supplement may be inspected in the office of the clerk of
the Bankruptcy Court or its designee during normal business hours, at the Bankruptcy Court’s
website at www.nysb.uscourts.gov, and at the Debtors’ private website at
http://www.kccllc.net/charter. The documents contained in the Plan Supplement are an integral part
of the Plan and shall be approved by the Bankruptcy Court pursuant to the Confirmation Order.
B. Effect of Confirmation on Modifications. Entry of a Confirmation Order shall mean that all
modifications or amendments to the Plan since the solicitation thereof are approved pursuant to
section 1127(a) of the Bankruptcy Code and do not require additional disclosure or resolicitation
under Bankruptcy Rule 3019.
C. Revocation or Withdrawal of Plan. Subject to the Plan Support Agreements and conditions to the
Effective Date, the Debtors reserve the right to revoke or withdraw the Plan prior to the
Confirmation Date and to file subsequent plans of reorganization. If the Debtors revoke or withdraw
the Plan, or if Confirmation or the Effective Date does not occur, then: (1) the Plan shall be
null and void in all respects; (2) any settlement or compromise embodied in the Plan (including the
fixing or limiting to an amount certain of any Claim or Interest or Class of Claims or Interests),
assumption or rejection of executory contracts effected by the Plan, and any document or agreement
executed pursuant to the Plan, shall be deemed null and void with the exception of the Plan Support
Agreements; and (3) nothing contained in the Plan shall: (a) constitute a waiver or release of any
Claims or Interests; (b) prejudice in any manner the rights of such Debtor or any other Entity; or
(c) constitute an admission, acknowledgement, offer, or undertaking of any sort by such Debtor or
any other Entity.
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ARTICLE XIV.
RETENTION OF JURISDICTION
A. Notwithstanding the entry of the Confirmation Order and the occurrence of the Effective Date,
the Bankruptcy Court shall retain exclusive jurisdiction over all matters arising out of, or
related to, the Chapter 11 Cases and the Plan pursuant to sections 105(a) and 1142 of the
Bankruptcy Code, including jurisdiction to:
1. Allow, disallow, determine, liquidate, classify, estimate, or establish the priority,
Secured or unsecured status, or amount of any Claim or Interest, including the resolution of any
request for payment of any Administrative Expense Claim and the resolution of any and all
objections to the Secured or unsecured status, priority, amount, or allowance of Claims or
Interests;
2. Decide and resolve all matters related to the granting and denying, in whole or in part,
any applications for allowance of compensation or reimbursement of expenses to Professionals
authorized pursuant to the Bankruptcy Code or the Plan;
3. Resolve any matters related to: (a) the assumption, assumption and
assignment, or rejection of any Executory Contract to which a Debtor is party or with
respect to which a Debtor may be liable and to hear, determine, and, if necessary,
liquidate, any Cure or Claims arising therefrom, including Cure or Claims pursuant to
section 365 of the Bankruptcy Code; (b) any potential contractual obligation under any
Executory Contract that is assumed; and (c) any dispute regarding whether a contract
or lease is or was executory or expired;
4. Ensure that distributions to Holders of Allowed Claims and Interests are accomplished
pursuant to the provisions of the Plan;
5. Adjudicate, decide or resolve any motions, adversary proceedings, contested or litigated
matters, and any other matters, and grant or deny any applications involving a Debtor that may be
pending on the Effective Date;
6. Adjudicate, decide or resolve any and all matters related to Causes of
Action;
7. Adjudicate, decide or resolve any and all matters related to section 1141 of
the Bankruptcy Code;
8. Enter and implement such orders as may be necessary or appropriate to execute, implement,
or consummate the provisions of the Plan and all contracts, instruments, releases, indentures, and
other agreements or documents created in connection with the Plan or the Disclosure Statement;
9. Enter and enforce any order for the sale of property pursuant to sections 363, 1123, or
1146(a) of the Bankruptcy Code;
10. Resolve any cases, controversies, suits, disputes or Causes of Action that may arise in
connection with the interpretation or enforcement of the Plan or any Entity’s obligations incurred
in connection with the Plan;
11. Issue injunctions, enter and implement other orders or take such other actions as may be
necessary or appropriate to restrain interference by any Entity with enforcement of the Plan;
12. Resolve any cases, controversies, suits, disputes or Causes of Action with respect to the
releases, injunctions, and other provisions contained in the Plan and enter such orders as may be
necessary or appropriate to implement such releases, injunctions, and other provisions;
13. Resolve any cases, controversies, suits, disputes, or Causes of Action with respect to the
repayment or return of distributions and the recovery of additional amounts owed by the Holder of a
Claim or Interest for amounts not timely repaid;
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14. Enter and implement such orders as are necessary or appropriate if the Confirmation Order
is for any reason modified, stayed, reversed, revoked or vacated;
15. Determine any other matters that may arise in connection with or relate to the Plan, the
Disclosure Statement, the Confirmation Order, or any contract, instrument, release, indenture, or
other agreement or document created in connection with the Plan or the Disclosure Statement;
16. Enter an order or Final Decree concluding or closing the Chapter 11 Cases;
17. Adjudicate any and all disputes arising from or relating to distributions under the
Plan;
18. Consider any modifications of the Plan, to cure any defect or omission, or to reconcile
any inconsistency in any Bankruptcy Court order, including the Confirmation Order;
19. Determine requests for the payment of Claims and Interests entitled to priority pursuant
to section 507 of the Bankruptcy Code;
20. Hear and determine disputes arising in connection with the interpretation, implementation,
or enforcement of the Plan, or the Confirmation Order, including disputes arising under agreements,
documents or instruments executed in connection with the Plan;
21. Hear and determine matters concerning state, local, and federal taxes in accordance with
sections 346, 505, and 1146 of the Bankruptcy Code;
22. Hear and determine all disputes involving the existence, nature, or scope of the Debtors’
discharge, including any dispute relating to any liability arising out of the termination of
employment or the termination of any employee or retiree benefit program, regardless of whether
such termination occurred prior to or after the Effective Date;
23. Enforce all orders previously entered by the Bankruptcy Court; and
24. Hear any other matter not inconsistent with the Bankruptcy Code.
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ARTICLE XV.
MISCELLANEOUS PROVISIONS
A. Immediate Binding Effect. Notwithstanding Bankruptcy Rules 3020(e), 6004(g), or 7062 or
otherwise, upon the occurrence of the Effective Date, the terms of the Plan and the Plan Supplement
shall be immediately effective and enforceable and deemed binding upon the Debtors, the Reorganized
Debtors, and any and all Holders of Claims or Interests (irrespective of whether Holders of such
Claims or Interests are deemed to have accepted the Plan), all Entities that are parties to or are
subject to the settlements, compromises, releases, discharges, and injunctions described in the
Plan or herein, each Entity acquiring property under the Plan, and any and all non-Debtor parties
to Executory Contracts with the Debtors.
B. Additional Documents. On or before the Effective Date, the Debtors may File with the Bankruptcy
Court such agreements and other documents as may be necessary or appropriate to effectuate and
further evidence the terms and conditions of the Plan. The Debtors or Reorganized Debtors, as
applicable, and all Holders of Claims or Interests receiving distributions pursuant to the Plan and
all other parties in interest shall, from time to time, prepare, execute, and deliver any
agreements or documents and take any other actions as may be necessary or advisable to effectuate
the provisions and intent of the Plan.
C. Payment of Statutory Fees. All fees payable pursuant to section 1930(a) of the Judicial Code,
as determined by the Bankruptcy Court at a hearing pursuant to section 1128 of the Bankruptcy Code,
shall be paid for each quarter (including any fraction thereof) until the Chapter 11 Cases are
converted, dismissed or closed, whichever occurs first.
D. Reservation of Rights. Except as expressly set forth in the Plan, the Plan shall have no force
or effect unless the Bankruptcy Court shall enter the Confirmation Order. None of the Filing of the
Plan, any statement or provision contained in the Plan, or the taking of any action by any Debtor
with respect to the Plan, the Disclosure Statement, or the Plan Supplement shall be or shall be
deemed to be an admission or waiver of any rights of any Debtor with respect to the Holders of
Claims or Interests prior to the Effective Date.
E. Successors and Assigns. The rights, benefits, and obligations of any Entity named or referred to
in the Plan shall be binding on, and shall inure to the benefit of any heir, executor,
administrator, successor or assign, affiliate, officer, director, agent, representative, attorney,
beneficiaries or guardian, if any, of each Entity.
F. Service of Documents.
1. After the Effective Date, any pleading, notice, or other document required by the Plan to
be served on or delivered to the Reorganized Debtors shall be served on:
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Debtors
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Counsel to Debtors |
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Charter Communications, Inc.
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Kirkland & Ellis LLP |
12405 Powerscourt Drive, Suite 100
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153 East 53rd Street |
St. Louis, Missouri 63131-3660
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New York, New York 10022-4611 |
Attn.: Gregory L. Doody, Esq.
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Attn.: Richard M. Cieri, Esq. |
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Paul M. Basta, Esq. |
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Stephen E. Hessler, Esq. |
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- and - |
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Kirkland & Ellis LLP |
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200 East Randolph Street |
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Chicago, Illinois 60601-6636 |
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Attn.: Ray C. Schrock, Esq. |
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Counsel to CII
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United States Trustee |
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Togut, Segal & Segal, LLP
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Office of the United States Trustee |
One Penn Plaza
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for the Southern District of New York |
New York, New York 10119
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33 Whitehall Street, 21st Floor |
Attn.: Albert Togut, Esq.
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New York, New York 10004 |
Frank Oswald, Esq.
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Attn.: Paul K. Schwartzberg, Esq. |
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Counsel to the Agent for the Debtors’ Prepetition
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Counsel to the Crossover Committee |
First Lien Facility |
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Simpson Thacher & Bartlett LLP
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Paul, Weiss, Rifkind, Wharton & Garrison LLP |
425 Lexington Avenue
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1285 Avenue of the Americas |
New York, New York 10017
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New York, New York 10019-6064 |
Attn.: Peter V. Pantaleo, Esq.
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Attn.: Alan W. Kornberg, Esq. |
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Kenneth M. Schneider, Esq. |
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Counsel to the Creditors’ Committee |
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Ropes & Gray LLP |
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1211 Avenue of the Americas |
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New York, New York 10036-8704 |
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Attn.: Mark R. Somerstein, Esq. |
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Keith H. Wofford, Esq. |
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2. After the Effective Date, the Debtors have authority to send a notice to Entities that to
continue to receive documents pursuant to Bankruptcy Rule 2002, they must File a renewed request to
receive documents pursuant to Bankruptcy Rule 2002. After the Effective Date, the Debtors are
authorized to limit the list of Entities receiving documents pursuant to Bankruptcy Rule 2002 to
those Entities who have Filed such renewed requests.
3. In accordance with Bankruptcy Rules 2002 and 3020(c), within ten (10) Business Days of the
date of entry of the Confirmation Order, the Debtors shall serve the Notice of Confirmation by
United States mail, first class postage prepaid, by hand, or by overnight courier service to all
parties served with the Confirmation Hearing Notice; provided, however, that no notice or service
of any kind shall be required to be mailed or made upon any Entity to whom the Debtors mailed a
Confirmation Hearing Notice, but received such notice returned marked “undeliverable as addressed,”
“moved, left no forwarding address” or “forwarding order expired,” or similar reason, unless the
Debtors have been informed in writing by such Entity, or are otherwise aware, of that Entity’s new
address. To supplement the notice described in the preceding sentence, within twenty days of the
date of the Confirmation Order the Debtors shall publish the Notice of Confirmation once in The
Wall Street Journal (National Edition). Mailing and publication of the Notice of Confirmation in
the time and manner set forth in the this paragraph shall be good and sufficient notice under the
particular circumstances and in accordance with the requirements of Bankruptcy Rules 2002 and
3020(c), and no further notice is necessary.
G. Term of Injunctions or Stays. Unless otherwise provided in the Plan or in the Confirmation
Order, all injunctions or stays in effect in the Chapter 11 Cases pursuant to sections 105 or 362
of the Bankruptcy Code or any order of the Bankruptcy Court, and extant on the Confirmation Date
(excluding any injunctions or stays contained in
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the Plan or the Confirmation Order) shall remain in full force and effect until the Effective Date.
All injunctions or stays contained in the Plan or the Confirmation Order shall remain in full force
and effect in accordance with their terms.
H. Entire Agreement. On the Effective Date, the Plan and the Plan Supplement supersede all previous
and contemporaneous negotiations, promises, covenants, agreements, understandings, and
representations on such subjects, all of which have become merged and integrated into the Plan.
I. Governing Law. Unless a rule of law or procedure is supplied by federal law (including the
Bankruptcy Code and Bankruptcy Rules) or unless otherwise specifically stated, the laws of the
State of New York, without giving effect to the principles of conflict of laws, shall govern the
rights, obligations, construction, and implementation of the Plan, any agreements, documents,
instruments, or contracts executed or entered into in connection with the Plan (except as otherwise
set forth in those agreements, in which case the governing law of such agreement shall control),
and corporate governance matters; provided, however, that corporate governance matters relating to
Debtors or Reorganized Debtors, as applicable, not incorporated in New York shall be governed by
the laws of the state of incorporation of the applicable Debtor or Reorganized Debtor, as
applicable.
J. Exhibits. All exhibits and documents included in the Plan Supplement are incorporated into and
are a part of the Plan as if set forth in full in the Plan. Except as otherwise provided in the
Plan, such exhibits and documents included in the Plan Supplement shall be Filed with the
Bankruptcy Court on or before the Plan Supplement Filing Date. After the exhibits and documents are
Filed, copies of such exhibits and documents shall have been available upon written request to the
Debtors’ counsel at the address above or by downloading such exhibits and documents from the
Debtors’ private website at http://www.kccllc.net/charter or the Bankruptcy Court’s website at
www.nysb.uscourts.gov. To the extent any exhibit or document is inconsistent with the terms of the
Plan, unless otherwise ordered by the Bankruptcy Court, the non-exhibit or non-document portion of
the Plan shall control.
K. Nonseverability of Plan Provisions upon Confirmation. If, prior to Confirmation, any term or
provision of the Plan is held by the Bankruptcy Court to be invalid, void, or unenforceable, the
Bankruptcy Court shall have the power to alter and interpret such term or provision to make it
valid or enforceable to the maximum extent practicable, consistent with the original purpose of the
term or provision held to be invalid, void or unenforceable, and such term or provision shall then
be applicable as altered or interpreted. Notwithstanding any such holding, alteration, or
interpretation, the remainder of the terms and provisions of the Plan will remain in full force and
effect and will in no way be affected, impaired, or invalidated by such holding, alteration, or
interpretation. The Confirmation Order shall constitute a judicial determination and shall provide
that each term and provision of the Plan, as it may have been altered or interpreted in accordance
with the foregoing, is: (1) valid and enforceable pursuant to its terms; (2) integral to the Plan
and may not be deleted or modified without the consent of the Debtors, the Crossover Committee, and
Mr. Allen; and (3) nonseverable and mutually dependent.
L. Closing of Chapter 11 Cases. The Reorganized Debtors shall, promptly after the full
administration of the Chapter 11 Cases, File with the Bankruptcy Court all documents required by
Bankruptcy Rule 3022 and any applicable order of the Bankruptcy Court to close the Chapter 11
Cases.
M. Waiver or Estoppel. Each Holder of a Claim or an Interest shall be deemed to have waived any
right to assert any argument, including the right to argue that its Claim or Interest should be
Allowed in a certain amount, in a certain priority, Secured or not subordinated by virtue of an
agreement made with the Debtors or their counsel, or any other Entity, if such agreement was not
disclosed in the Plan, the Disclosure Statement, or papers Filed with the Bankruptcy Court prior to
the Confirmation Date.
N. Conflicts. Except as set forth in the Plan, to the extent that any provision of the Disclosure
Statement, the Plan Supplement, or any other order (other than the Confirmation Order) referenced
in the Plan (or any exhibits, appendices, supplements, or amendments to any of the foregoing),
conflict with or are in any way inconsistent with any provision of the Plan, the Plan shall govern
and control.
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New York, New York
Dated: , ___2009
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CHARTER COMMUNICATIONS, INC.
(for itself and all other Debtors, except
CII) |
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Name:
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Title:
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CHARTER INVESTMENT, INC. |
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By: |
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Name:
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73
EXHIBIT B
DISCLOSURE STATEMENT ORDER
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EXHIBIT C
REORGANIZED DEBTORS’ PROJECTIONS
113
EXHIBIT D
REORGANIZED DEBTORS’ VALUATION
114
EXHIBIT E
LIQUIDATION ANALYSIS
115
EXHIBIT F
RECONCILIATION OF NON-GAAP MEASURES
116