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Virgin Media proactively chooses to react to credit crunch

The financial crisis may have forced a number of telco players to make minor tweaks to their strategies, but one company it won't get the better of is Virgin Media.

The television and telephony company last week announced it was seeking to push back its debt refinancing deadline from 2009 to 2012.

Total Telecom's Friday Review implied in no uncertain terms that Virgin Media, along with a number of other telcos, was forced to react to the unpredictable economic conditions.

However, it seems this assertion was misplaced, since we have been informed that Virgin Media chose to react to the credit crisis, rather than let it be forced into doing anything.

"In light of the disruption to the credit markets, the company has decided to proactively address its amortization payments that are due in 2010 and 2011", said a Virgin Media statement last week.

A shrewd move, since proactively choosing not to react to the prevailing economic conditions could prove to be a tad risky.

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