Adelphia Communications Corp

A judge turned down an attempt by creditors of Adelphia Communications Corp. to throw out a lawsuit settlement because it put them in line for payments behind shareholders. Greenwood Village, Colo.-based Adelphia last year agreed to settle the suit with U.S. regulators by creating a $715-million fund to repay investors who lost millions when company founder John J. Rigas orchestrated an accounting fraud. U.S.

U.S. antitrust authorities said Tuesday that they had approved plans by Time Warner Inc. and Comcast Corp. to buy cable operator Adelphia Communications Corp. The Federal Trade Commission said its bureau of competition had closed its seven-month investigation into the deal without taking action. In April, Adelphia accepted a buyout offer from Time Warner and Comcast valued at an estimated $17.6 billion in cash and stock. The FTC's five commissioners did not vote on the matter.

The Federal Communications Commission has warned the nation's two leading cable TV companies that unwanted conditions could be imposed on their proposed acquisition of a rival if they do not agree to curb the proliferation of sexually explicit programming, according to company sources. Faced with what some are describing as an ultimatum, Time Warner Inc. and Comcast Corp. have sought to satisfy FCC Chairman Kevin J.

Time Warner received unanimous approval Wednesday from the Los Angeles City Council to eventually become the new cable provider for most Los Angeles residents. Time Warner and Comcast are buying Adelphia, one of the city's largest providers, pending approval from the Federal Trade Commission and Federal Communications Commission. As part of that deal, Time Warner would eventually assume Adelphia's and Comcast's customers in L.A., making it the provider for about 98% of the city.

Michael Rigas, the former vice president of cable operator Adelphia Communications Corp., pleaded guilty Wednesday to signing a false statement -- a reduced charge that could carry a sentence of up to three years in prison. The plea means that Rigas, 51, will not face a retrial on 15 securities fraud charges involving Adelphia's multibillion-dollar collapse. A federal jury in July 2004 deadlocked on counts against Rigas, who was accused of looting the company and lying about its finances.

Adelphia Communications Corp., the cable company operating under bankruptcy protection, said its third-quarter loss narrowed to $146.6 million on fewer write-downs. Its net loss shrank to 58 cents a share from $260.8 million, or $1.04 a share, a year earlier, the Greenwood Village, Colo.-based company said in a regulatory filing. Revenue rose to $1.09 billion from $1.04 billion. Adelphia is selling its assets to Time Warner Inc. and Comcast Corp. for $17.6 billion.

Officials in Los Angeles and elsewhere are concerned about a key element of the proposed sale of Adelphia to Time Warner and Comcast, because it would give one cable provider a near-monopoly in communities that now are served by several companies. At this point, their doubts appear unlikely to stop the mega-deal. But they could force the cable giants to make specific commitments to upgrade technology and improve customer service.

The founder of Adelphia Communications Corp. and his son, both already convicted of a massive fraud at the bankrupt cable-television company, have been indicted on charges that they and other family members didn't pay $300 million in taxes. Former Chief Executive John J. Rigas failed to report income of $143 million and his son Timothy J. Rigas, the company's former chief financial officer, failed to report income of $239 million, according to a federal grand jury indictment.

Adelphia Communications Corp. said its loss widened to $1.9 billion last year, more than double its $832-million loss in 2003. Adelphia, which filed for Chapter 11 bankruptcy protection in June 2002, said in a filing with the Securities and Exchange Commission that its 2004 loss equaled $7.56 a share. Total revenue in 2004 rose 16% to $4.14 billion, while the operating loss widened to $165 million from $148.5 million, the Greenwood Village, Colo.-based firm said.