RE: Debt Payments off of TD WebsiteI dont think they have a choice but to pay the divy on c and d preferred and they cant buy back more than 10% of shares per year, which may have been done already. And were not supposed to, in the credit arrangement they had with the banks, according to the banks. They were paying divies on the common and buying debt when they were not allowed to due to the credit rating drop.
In addition...."upon the downgrade of its credit rating announced on Aug 4 2011 yellow media became subject to a restriction contained in its credit arrangement that limits the aggregate amount of excess cash that can be paid as dividends and for the repurchase of securities during any trailing 12 month period. As part of the amendments , yellow media is receiving a waiver of this distribution restriction in respect to the previous 12 month period" This is from the sedar.com site.
They can pay divies on the preferreds but cant buy any more shares and cant stockpile money for the purpose of buying preferreds later. Its a long...long read.
Derek