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Telewest UK’s most expensive restructuring ever

# 1 April 2004, 12:41 by Frank

The restructuring of cable company Telewest will cost £110 million in advisers’ fees for its £3.8 billion rescue – making it the most expensive restructuring ever seen in the UK!

Telewest also revealed that it is offering a pay and bonus package worth over £2.7 million to its acting chief executive, Barry Elson, who replaced Charles Burdick after he quit last month. Mr. Elson has also already been awarded 245,000 new shares to help extend his paltry $5,000 a day until the company’s restructuring is completed, putting him in the same league as money grabbing Barclay Knapp who came back as a consultant at ntl for $6,000 a day.

Banks, individual “advisors”, bond creditors, hedge fund operators and executive search companies are all there in line to collect some of the massive £100million payout while original investors will get one share in the new company for every 804 they currently hold.

More revelaing information on who grabs what in this financial free-for-all can be found @ TelecomTV.com and The Times Online.

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