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CBS sells $600 million in bonds

October 4, 2010 |  1:02 pm

CBS Corp. on Monday took advantage of lower interest rates to refinance $600 million in debt.

The company announced the pricing of two debt offerings, both for $300 million. In the first, the company is offering notes due 2021 at 4.30% interest.  The second batch, due 2040, has a rate of 5.90%.  CBS intends to use the money to repurchase $250 million in debt that was due in 2012 and pay off notes due in 2051.

CBS -- which includes the CBS broadcast network, TV stations, CBS radio stations, billboards and the premium cable channel Showtime -- is controlled by 87-year-old mogul Sumner Redstone. It has a market capitalization of $11 billion.

Handling the offering for CBS was Citigroup Global Markets Inc., Credit Suisse Securities, JPMorgan Securities Inc., Morgan Stanley & Co. Inc., Goldman Sachs & Co. and Wells Fargo Securities.

-- Meg James